A fiRm Which Employs a Restrictive Short-Term fiNancial Policy Will

question 302

Multiple Choice

A firm which employs a restrictive short-term financial policy will have a relatively __________.

• A) High ratio of current assets to sales.
• B) High amount of marketable securities.
• C) High amount of short-term debt relative to long-term debt.
• D) Low amount of long-term debt.
• E) Low amount of accounts payable.

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