Short-term financing decisions are:
A)less important than long-term financing decisions.
B)more difficult to make than long-term financing decisions.
C)easier to make than long-term financing decisions.
D)none of the above

Question

Quizplus · Accepted Answer

Short-term financing decisions are typically easier to make than long-term financing decisions because the time horizon is shorter and there are fewer variables to consider. However, the importance of short-term financing decisions should not be underestimated as they have a direct impact on a company's cash flow and liquidity.

Short-Term Financing Decisions Are