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How do you think companies decide which type of private debt they will use? Do they...

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Finance

How do you think companies decide which type of private debtthey will use? Do they have a choice? Do managers consider what isbeing offered by financial institutions? Conversely, what dofinancial institutions look for in firms? What considerations aretaken into account by both sides? What kinds of negotiations do youthink are involved?

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Companies decide to choose private debt by keeping in mind following factors 1 Interest rate and fee structures Since debt taken from bank needs to be paid company analyses interest rate and applicable fee of banks Finding favorable company raises debt 2 Considering    See Answer
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