The financing policy that will result in investing in marketable securities when asset requirements are low is referred to as:
A)compromise financing.
B)restrictive financing.
C)flexible financing.
D)none of these.

Question

Quizplus · Accepted Answer

Flexible financing policy allows a company to invest in marketable securities when asset requirements are low, and to finance the required assets through borrowing only when necessary. This flexible approach allows the company to optimize its cash management and maximize its returns on marketable securities.

The Financing Policy That Will Result in Investing in Marketable