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Author Question: Which of the following reasons for considering long-term loans inherently more risky than short-term ... (Read 161 times)

mydiamond

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Which of the following reasons for considering long-term loans inherently more risky than short-term loans is most accurate?
◦ The loan values are very sensitive to changes in market interest rates.
◦ The penalties for closing out a long term loan early make them unattractive to many investors.
◦ There is a greater chance that a borrower will default in a longer time-frame.
◦ Long term loans typically have ongoing costs that accumulate over the life of the loan.


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Marked as best answer by mydiamond on Jul 9, 2019

fffftttt

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mydiamond

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Reply 2 on: Jul 9, 2019
YES! Correct, THANKS for helping me on my review


flexer1n1

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Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

 

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