Which of the Following Statements Is FALSE

question 19

Multiple Choice

Which of the following statements is FALSE?

• A)When following a conservative financing policy,a firm would use long-term sources of funds to finance its fixed assets,permanent working capital,and some of its seasonal needs.
• B)An aggressive financing policy also increases the possibility that managers of the firm will use excess cash nonproductively-for example,on perquisites for themselves.
• C)A firm could finance its short-term needs with long-term debt,a practice known as a conservative financing policy.
• D)To implement a conservative financing policy effectively,there will necessarily be periods when excess cash is available-those periods when the firm requires little or no investment in temporary working capital.

---

Definitions:

Retook

The act of taking an examination or a course again, usually to achieve a better score or grade.

Galton's Perspective

A viewpoint based on the work of Francis Galton, focusing on the importance of heredity and genetic inheritance in human traits and abilities.

Intelligence

A general cognitive capability that includes reasoning, problem-solving, planning, abstract thinking, complex idea comprehension, learning quickly, and learning from experience.

Binet-Simon

The first practical intelligence test, developed by Alfred Binet and Théodore Simon, aimed at identifying children who needed special educational interventions.