Which of the Following Current Asset Financing Policies Reflects the Decision

question 113

Multiple Choice

Which of the following current asset financing policies reflects the decision to finance the peaks of current assets with long-term debt and equity that provides the firm with a surplus of cash and marketable securities most of the time, except during peak asset demand?

• A) Flexible financing policy
• B) Restrictive financing policy
• C) Compromise financing policy
• D) Alternative financing policy

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