Question

A conventional revolving credit agreement allows a firm: to borrow a fixed amount for the entire commitment period to borrow for a short-period with a right to renew the loan during the commitment period to possibly include a provision to convert the credit agreement into a term loancontract at maturity to do all of the above

Answer 1

Answer:

Conventional revolving credit agreement

Explanation:

According to me,the correct answer would be option (4) all of the above.

In the above question,we are asker that A conventional revolving credit agreement allows a firm:

1) to borrow a fixed amount for the entire commitment period

2) to borrow for a short-period with a right to renew the loan during the commitment period to possibly include a provision

3) to convert the credit agreement into a term loan contract at maturity 4)to do all of the above