Homa has also spoken to the bank and it is willing to provide her with two products: a) a 7-year loan of $20,000 at 7.25% per year requiring monthly repayments, or b) a revolving line of credit of 18,000 at 7.00% per year Homa wants a detailed analysis on how much she will need to borrow and which structure is better for her. She doesn't understand the difference between a business loan and a line of credit, so an explanation there would also help