All of the following are uses of long-term financing except
A) beginning a new business.
B) eliminating immediate cash-flow problems.
C) executing mergers and expansions.
D) developing and marketing new products.
E) replacing obsolete equipment.

Question

Quizplus · Accepted Answer

Long-term financing is not typically used to address immediate cash-flow problems, as it is meant to fund larger, strategic initiatives such as starting a new business, executing mergers and expansions, developing and marketing new products, and replacing obsolete equipment. Short-term financing would be more appropriate for addressing immediate cash-flow issues.

All of the Following Are Uses of Long-Term Financing Except