Which one of the following is more likely for a firm practicing the relaxed strategy of long-versus short-term borrowing at the height of sales demand?
A) It will borrow heavily on a short-term basis.
B) At the height of demand, it will invest heavily in marketable securities.
C) It will borrow on both a long-term and a short-term basis.
D) It's long-term financing will approximately equal its total capital requirements.
Correct Answer:
Verified
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