In relation to the financing of capital asset with loan, which statement is correct?

1. Lenders prefer short-term lending to avoid the risk of their security failing the vale before loan is paid off
2. Lenders are willing to finance capital assets with short-term loans since this agreement provides flexibility to both lender and borrower.
3. Lenders are willing to finance capital asset with long-term loan since the loans can be secured against asset.
4. Lenders are willing to finance capital assets with either long-term or short-term loans, providing they set interest rates appropriately.