Question: 1. Under normal circumstances why would it not be advisable to use short-term bank borrowings to fund capital expenditure? 2. How can the basic interest

1. Under normal circumstances why would it not be advisable to use short-term bank borrowings to fund capital expenditure?

2.  How can the basic interest expense, formula Interest, and Principle Rate Time be used to estimate the annualized cost of short-term credit?

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