Im answering a question for finance 351. My question is asking me to discuss the impact on yeild as well as the cost of borrowing. On of the questions in this heading is, “a start-up company is struggling with financing for it’s projects. I was thinking this would have a higher impact on yeild and thus have a decreased cost of borrowing. Is the relationship between yield and cost of borrowing inverse? Is my assumptiona nd understanding of this concept good?
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