[ www.vuZs.net ] FIN623 Assignment solution shared by Hadayat-u-Allah

fin623

Ans:

            I think internal borrowing is the best option. I am saying so because of the following reasons…

1. It will prove a best strategy to lessen the business pressures and there are minimized chances for interest giving back.
2. Internal Borrowing is fewer burdens to the business and internal resources know better about business than external resources.
3. Using internal borrowing there will a great impact on local currency and on the shares in the market?
4. Local funds will provide strength, confidence and keep free of tension to the organization.
5. Through borrowing local funds or internal borrowing, there is possible for the circulation of money in the market and in the country.
6. External resources will be a threat for the business and will remain a tension to pay back which will be become a cause to running smooth business activities so internal borrowing is the opposite of that.

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Regards

Aniqa Malik

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