Use of debt to finance a new venture involves a payback of the funds plus an interest fee (interest) for the use of the money.

Name: Use of debt to finance a new venture involves a payback of the funds plus an interest fee (interest) for the use of the money.
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Using debt to finance a venture means the borrower must repay the principal amount borrowed plus an additional amount of interest, which compensates the lender for the risk and opportunity cost of lending the money.

Use of Debt to Finance a New Venture Involves a Payback