Economics · Economy
When assessing a company's proposal for a long-term term loan, which factor is most critical for a lender?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1Company credit score alone without financial trends
- 2Ultra short-term daily profit potential
- 3Specific purpose of the loan and cash-flow backed repayment capability✓
- 4Current week inventory turnover levels
Correct answer
Specific purpose of the loan and cash-flow backed repayment capability
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