medium · Corporate Credit Analysis cap-structure
Veneer Corp is looking to draw on its Asset-Based Lending (ABL) facility. Its borrowing base is determined by $120M in eligible accounts receivable (AR) with an 85% advance rate and $80M in eligible inventory with a 60% advance rate.
If the lender applies a $10M liquidity reserve, what is the maximum available credit?
- $170M
- $140M
- $132M
- $150M
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