True/False

1. In an LBO transaction it is important to calculate the total "Sources and Uses" of funds. In this context, any transaction financing that comes from a bond issuance or a bank loan is part of the "Sources."

2. From the borrowers perspective, one of the advantages of bonds over bank loans is that the bonds do not amortize evenly over the life of the bond. Instead, bonds pay back the principal at the end of the life of the bond in a single bullet payment.