Which of the following borrowers benefit the most from a revolving line of credit?

Question

Quizplus · Accepted Answer

A revolving line of credit is most beneficial for a borrower whose sales and cash flow fluctuate throughout the year. In this case, the owner of the gift shop with the majority of its sales during Christmas season would benefit the most as they can use the line of credit to purchase inventory before the holiday rush and pay it back quickly after the season ends.

Which of the Following Borrowers Benefit the Most from a Revolving