Suppose a Firm Experiences a Seasonal Pattern in Its Sales,in

question 46

Multiple Choice

Suppose a firm experiences a seasonal pattern in its sales,in addition to a long-term upward trend.Which of the following financing plans has the potential to be less risky to the firm?

• A) a conservative strategy
• B) an aggressive strategy
• C) a matching strategy
• D) They are equally likely to be low-risk.

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Definitions:

Certain Types Of Breaches

Specific instances or categories of violations of contractual agreements or legal obligations.

Quasi Contract

A legal principle that allows a court to award compensation for goods or services rendered where there was no actual contract, based on the concept that it would be unjust to allow one party to benefit at the other's expense without payment.

Legal Obligation

A duty enforced by law that requires a person or entity to act or refrain from acting in a certain way.

Crane

A large, tall machine used for moving heavy objects by suspending them from a projecting arm or beam.