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Assuming you're considering borrowing $100 million to finance your business for 2 years. One option is to use fixed-rate financing with interest payments on a
Assuming you're considering borrowing $100 million to finance your business for 2 years. One option is to use fixed-rate financing with interest payments on a semi-annual basis. The other alternative is a floating rate financing based on Libor with interest payments on a quarterly basis.
How and when could Libor or other index change to impact the decision? How will the current and near-term economic environment impact your recommendation?
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