Which of the Following Statements Is False

Which of the following statements is false?

A) If a company anticipates an ongoing surplus of cash, it may choose to increase its dividend payout.
B) Seasonal sales can create large short-term cash flow deficits and surpluses.
C) The first step in short-term financial planning is to forecast the company's future net working capital.
D) Deficits resulting from investments in long-term projects are often financed using long-term sources of capital, such as equity or long-term bonds.