Which of the following are beneﬁts of compiling a short-term ﬁnancial plan? I.Knowing ahead of time when your ﬁrm will probably require external ﬁnancing.
II)Being able to estimate how long of a time period your ﬁrm might need a loan.
III)Being able to determine when your ﬁrm can best afford to spend funds on a capital expenditure.
IV)Knowing when your ﬁrm should have excess funds that can be invested.
A)I and III only.
B)I, II and IV only.
C)II, III and IV only.
D)I, II and III only.
E)I, II, III and IV.

Question

Quizplus · Accepted Answer

All of the options listed (I, II, III, and IV) are benefits of compiling a short-term financial plan. It helps in forecasting external financing needs, estimating the duration for which a loan might be needed, planning for capital expenditures, and identifying periods of excess funds for investment.

Which of the Following Are Beneﬁts of Compiling a Short-Term