$1$ out of $15$

Review Later

Cyclicality, Risks, and Opportunities $-$ Financing Opportunities

Production expenses and financing opportunities.

A feeder$-$to$-$finish producer is looking to expand by financing the purchase of a farrow$-$to$-$feeder farm. Which of the following considerations appears to be least relevant to a potential lender? $($select the best answer$)$

Quality of the existing and new farm as collateral.

Cost to buy feeders versus the benefit of breeding their own weaners to raise.

Succession planning for the next generation of the family farm.

A local politician $($and partial owner of the farrow farm$)$ will benefit financially from the purchase.