vish Ltd is entering into an interstate expansion phase and requires $10,000,000 to fund this project. The company does not have the funding for this investment today and need to borrow the funds. Income from new branches will fund operation and borrowing costs over the 10 year term of the loan.

The company is considering the following options:

AFK Bank: Annual repayments due at the end of each year. The interest rate will be 4% p.a.

compounding annually.

DMZ Bank: Repayments to be made at the en