The conservative financing strategy results in financing all projected funds requirements with __________funds and use of __________funds in the event of an unexpected cash outflow.
A) permanent; seasonal
B) long-term; short-term
C) seasonal; permanent
D) short-term; long-term

Question

Quizplus · Accepted Answer

The conservative financing strategy emphasizes long-term financing to cover all projected fund requirements and unexpected cash outflows. This is in contrast to the aggressive financing strategy, which relies heavily on short-term financing. The other options (A, C, and D) do not accurately describe the conservative financing strategy.

The Conservative Financing Strategy Results in Financing All Projected Funds