Kuznets Rental Center requires $1000000 in financingover the next two years. Kuz

Kuznets Rental Center requires $1000000 in financingover the next two years. Kuznets can borrow long-term at 9 percentinterest per year for two years. Alternatively Kuznets can borrowshort-term and pay 7 percent interest in the first year. ThenKuznets projects paying 10 percent interest in the second year.Assuming Kuznets pays off the accrued interest at the end of eachyear which of the following statements is true?A. Kuznets will definitely end up paying less under thelong-term financing plan.B. Kuznets will probably pay more under the short-termfinancing plan.C. Kuznets will definitely end up paying more under thelong-term financing plan.D. Kuznets will probably pay less under the short-termfinancing plan