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firm neds to borrow $1 0 million for one yoar The fem has no other short term bonowings and it's combined state Which one ill

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firm neds to borrow $1 0 million for one yoar The fem has no other short term bonowings and it's combined state Which one ill you choose? and foderal taoc rate s 25% Yur banker o ers several lending O a 550% discount interest wth a 1500% compensating balance b 700% smole narest c 5 75% sample nterest with a 20 00% compensang telarcn d 725% discount interest O n 12 year-$100 facovakin tords with i. 8 50% cocon pa d maally and avoid tomaturity of 7 250% rhe bois ire canati, n hoe yen a, a aprend 1,005 If you beiove that the bonds will be called how much wil you ea Select ono b. 729% c 491% d1104% U e768%

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