The financial manager for Eastern Bay Brewery is working with the firm's marketing department to bring out a new line of pumpkin ale. The new product development and subsequent production will require a long-term investment of funds by the company. Which of the following sources of financing would be representative of such a long-term funding requirement

The complete question should be:

The financial manager for Bellandro Bay Brewery is working with the firm's marketing department to bring out a new line of pumpkin ale. The new product development and subsequent production will require a long-term investment of funds by the company. Which of the following sources of financing would be representative of such a long-term funding requirement?

a) Issuance of bonds

b) Commercial paper

c) Line of credit

d) Factoring

Issuance of bonds

Explanation:

Bellandro Bay Brewery can get capital to fund their new product by obtaining a bond to be repaid after a long period. A bond is a sum of money borrowed to be repaid, it is similar to a loan in that it is being repaid but the duration for repayment of a bond is longer, as a bond is paid in full at the maturity date of the bond.

Issuance of bonds

Explanation:

Base on the scenario been described in the question, the manager of Eastern Bay Brewery are planning bringing a new line of pumpkin ale that will require much funds because of the production of other goods. The source of the income that the company will need for a long term investment is issuance of bond. A bond is a fixed income instrument that represents a loan made by an investor to a borrower typically corporate or governmental.

forbearance of student loan payments. under forbearance, your loan payments are postponed (or reduced) but interest continues to accrue during the period of forbearance. if you don't pay the interest during that period, the interest may be “capitalized,” which means it is added to your principal balance.