Financing an investment through loan

Assignment Help Financial Management

Reference no: EM131332131

Choose one of the following and explain your answer:

Financing an investment through a loan can be a financially sound decision if:

A. The sum of the differences of annual interest paid minus payments towards the principle is positive

B. The sum of the differences of annual net cash flows minus annual after-tax payments is positive

C. The sum of the differences of net annuities over time is positive

D. The sum of the differences of net cash flows minus tax savings is positive

Reference no: EM131332131

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