Which ONE of the Following Statements About Matching Maturity Strategy

question 48

Multiple Choice

Which ONE of the following statements about matching maturity strategy is true?

• A) All working capital is funded with short-term borrowing.
• B) As the level of sales varies seasonally, short-term borrowing fluctuates between some minimum and maximum level.
• C) All fixed assets are funded with long-term financing.
• D) All of the above.

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