An aggressive working capital policy would have which of following characteristics?

Question

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An aggressive working capital policy is characterized by a high ratio of short-term debt to long-term sources of funds. This means that the company is relying heavily on short-term debt to finance its operations and may be operating with a higher level of risk. A high ratio of long-term debt to fixed assets (choice A) would suggest a more conservative approach to financing. A low ratio of short-term debt to fixed assets (choice B) would also be indicative of a more conservative approach. A short average collection period (choice D) could be a characteristic of either an aggressive or conservative approach, depending on the industry and specific circumstances.

An Aggressive Working Capital Policy Would Have Which of Following