Which of the Following Is More Likely for a Firm

question 83

Multiple Choice

Which of the following is more likely for a firm practicing the "relaxed" strategy of long- versus short-term borrowing at the height of sales demand?

• A)it will borrow heavily on a short-term basis
• B)it will invest heavily in marketable securities
• C)it will borrow heavily on a long-term basis
• D)long-term financing will approximate capital requirements

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Definitions:

Intellectual Openness

A disposition towards being receptive to new ideas, knowledge, and ways of thinking, often characterized by curiosity and a lack of prejudice.

Adjustment

The process of adapting or becoming accustomed to new conditions or environments.

External Locus

A belief that one’s outcomes or circumstances are determined by external factors, events, or influences, as opposed to one's own effort or actions.

Self-esteem

A person's personal assessment of their own merit or importance.