Ask Question
BusinessBusiness
18 February, 02:35

Which one of the following statements about risk-based financing is false?

A. If you are a low risk, you should pay less to borrow money.

B. You can ignore risk-basked financing.

+5
Answers (1)
  1. 18 February, 03:00
    0
    Are you sure these are the only options? From what is given, the most suitable answer is B. You can ignore risk-basked financing.

    You cannot ignore the risk factor when it comes to financing. Mainly, because it is the risk that dictates mainly over the interest and the cost of financing.

    The option A is correct, when the risk is low you have ro pay a lesser amount as interest and other related costs while when it is high, you'll have to pay more.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “Which one of the following statements about risk-based financing is false? A. If you are a low risk, you should pay less to borrow money. ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
Carlos plans to start a new dry cleaning business. For that he purchased a space which costed him $100,000. For that he withdrew his savings worth $50,000 and borrowed the remaining $50,000 from a bank.
Answers (1)
A joint product is: a. any product produced by a company with more than one product line. b. one of several products produced from a common input. c. any product which consists of several parts. d. any product involved in a make or buy decision.
Answers (1)
What are the three kinds of maintenance a manager has to carry out for a managed property?
Answers (1)
The Federal Reserve System performs many functions, but its most important one is a. issuing currency. b. controlling the money supply. c. providing for check clearing and collection. d. acting as a fiscal agent for the U. S. government.
Answers (1)
Say that Alland can produce 32 units of food per person per year or 16 units of clothing per person per year, but Georgeland can produce 36 units of food per year or 18 units of clothing. Which of the following is true? a.
Answers (1)
New Questions in Business
Which of the following is not an issue that is central to the debate regarding market efficiency? A. The magnitude issueB. The tax-loss selling issueC. The lucky event issueD. The selection bias issue
Answers (1)
Which of the following statements is most correct? Many large firms operate different divisions in different industries, and this makes it hard to develop a meaningful set of industry benchmarks for these types of firms.
Answers (1)
A taxpayer sells a warehouse for a recognized gain. Depreciation had been properly claimed on the property based on the straight-line method over a 39-year recovery period.
Answers (1)
Edelman Engines has $11 billion in total assets. Its balance sheet shows $1.1 billion in current liabilities, $7.7 billion in long-term debt, and $2.2 billion in common equity.
Answers (1)
Video quiz the story in the video describes how the ceo of japan airlines, haruka nishimatsu, serves as an example of
Answers (1)
Home » Business » Which one of the following statements about risk-based financing is false? A. If you are a low risk, you should pay less to borrow money. B. You can ignore risk-basked financing.
Sign Up Forgot Password?