Businesses match their long-term capital needs to

Question

Quizplus · Accepted Answer

Long-term capital needs are matched with a company's long-term goals and objectives. This ensures that the company has sufficient capital to achieve its long-term plans and does not face any financial constraints that may hinder its growth. Debt to equity ratio and trade credit discounts are more relevant to short-term financing decisions, while the ratio of long-term vs. short-term capital available is more specific to the company's funding structure.

Businesses Match Their Long-Term Capital Needs to