Although Short-Term Interest Rates Have Historically Averaged Less Than Long-Term

question 42

True/False

Although short-term interest rates have historically averaged less than long-term rates,the heavy use of short-term debt is considered to be an aggressive current asset financing strategy because of the inherent risks of using short-term financing.

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Definitions:

Nuclear Family

A family unit consisting of two parents and their children, considered a traditional social unit.

Urbanization

The process by which cities grow and higher percentages of the population come to live in urban areas.

Polygamy

A marriage system in which an individual has more than one spouse simultaneously.

Spouse

A partner in a marital relationship, defined by a legal or customary bond.