The major type of loan made by banks to businesses is the

fixed-asset-based loan

short-term secured loan

short-term self-liquidating loan

capital improvement loan

An important cash inflow in the analysis of initial cash flows for a replacement project is

taxes

the cost of the new asset

installation cost

the sale value of the old asset

The approximate before-tax cost of debt for a 10-year, 8 percent, $1,000 par value bond selling at $1,150 is

6 percent

8.3 percent

8.8 percent

9 percent