Answer:
b. term loan
Explanation:
Based on the scenario being described within the question it can be said that the best type of loan financing for this investment is a term loan. This is a type of loan in which the individual repays in regular pre-set payments over a specific pre-set period of time. Since the project has a fixed amount and date, then this would be the best option since payments can be spread across the months leading up to the due date.
Answer:
Term loan
Explanation:
A term loan is a loan received from a bank that has a scheduled date of payment at either a floating or fixed interest rate. These loans are usually handed to established small businesses that have accurate and up to date financial statements.
The project that involves the construction of a new hotel by Martin has a completion date and requires a specific amount. Due to the specificity of the project and the amount needed, a term loan is needed to finance the project.
