Question: Please see attachment below and help: Variable rates loans are sensible: O If you expect the company revenues to increase when interest rates fall and

Please see attachment below and help:

Variable rates loans are sensible: O If you expect the company revenues to increase when interest rates fall and vice versa O If your profits increase when rates increase, and vice versa If you are financing a long-term asset, such as a factory O Never. A prudent company should not use variable rate financing

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