Which of the Following Is Not a Common Type of Short

question 49

Multiple Choice

Which of the following is not a common type of short term financing?

• A)Commercial paper.
• B)Accruals.
• C)Trade credit.
• D)Corporate bonds.
• E)Bank loans.

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Definitions:

Support Department Cost

Support department cost refers to the expenses associated with departments that provide essential services or support to production departments but do not directly engage in the production process.

Investment Turnover

A measure of a company's efficiency in using its assets to generate sales or revenue; the ratio of net sales to average invested assets.

Minimum Return on Investment

The lowest acceptable rate of return on an investment, below which an investment is deemed unattractive.

Return on Investment

A financial ratio used to evaluate the efficiency or profitability of an investment, calculated by dividing net profit by the cost of the investment.