Which of the Following Statements Is False

question 42

Multiple Choice

Which of the following statements is false?

• A) Because investment in permanent working capital is required so long as the firm remains in business, it constitutes a long-term investment.
• B) Because temporary working capital represents a short-term need, the firm should finance this portion of its investment with short-term financing.
• C) Temporary working capital is the difference between the lowest level of investment in short-term assets and the permanent working capital investment.
• D) The matching principle states that short-term needs should be financed with short-term debt and long-term needs should be financed with long-term sources of funds.

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Definitions:

Modern Societies

Societies characterized by advanced industrialization, technological innovation, and complex social structures.

Three Waves

Refers conceptually to distinct periods or phases within a movement or historical process, often used in the context of feminism to describe its evolving focuses over time.

Democratic Institutions

Structures and mechanisms in society that support democracy, including free elections, representative government, and the rule of law.

Lie

An intentionally false statement made with the purpose to deceive others, often leading to mistrust or manipulation in social relations.