• • Discussion Question 1: Choose between relying on debt or equity to finance the purchase of a new manufacturing facility for your business. Briefly discuss your reason for your choice and address any advantages, disadvantages and inherent risks, if any, associates with your financing choice.
• • Discussion Question 2: Assume a business issued fifty $10,000, 4% bonds throughout the year. A few bonds were sold for $10,000, a few more bonds were sold for less than $10,000 and the remaining bonds were sold for more than $10,000. Explain the reason some bonds being issued at face amount while other bonds were issued at a premium and discount.