What is the main financial reason for a financing bank in a


1. The simple pay back (without discount) and the pay back discounted from the same investment project:

a. The simple pay back is always lower than the discounted

b. Discounted payback is always lower than the simple one

c. They are always the same

d. Depending on the applied discount rate, sometimes one is higher, sometimes the other one

2. What is the main financial reason for a financing bank in a transaction financed through a project financing scheme?

a. Internal Rate of Return of the Project

b. Internal Shareholder Return Rate

c. Net present value

d. Coverage of debt service coverage

Request for Solution File

Ask an Expert for Answer!!
Financial Management: What is the main financial reason for a financing bank in a
Reference No:- TGS02368264

Expected delivery within 24 Hours