A conservative financing approach to working capital will result in permanent current assets and some seasonal current assets being financed using long-term securities.

Question

Quizplus · Accepted Answer

A conservative financing approach to working capital involves relying more on long-term financing to cover long-term needs and some portion of seasonal needs, resulting in a higher proportion of permanent and seasonal assets being financed with long-term securities.

A Conservative Financing Approach to Working Capital Will Result in Permanent