Which of the Following Statements Is FALSE

question 1

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:

Service Delivery Application

Platforms or tools that assist in deploying services effectively to meet customer or client needs efficiently.

Personnel Files

Records maintained by organizations that contain employment history and other relevant employee information.

Self-Service Systems

Technology platforms that allow users to perform tasks or access services without direct assistance from staff or administration.

HR Data Systems

Technological solutions designed to collect, store, manage, and analyze data pertaining to human resources.