A business's financing needs come essentially from:

Question

Quizplus · Accepted Answer

A business's financing needs can come from various sources such as growth, the operating cycle, and temporary imbalances in the operating cycle. However, in most cases, it is a combination of these factors that lead to the requirement of additional financing. For instance, if a company experiences a sudden spike in demand, it may need additional resources to fund the increase in production (growth), and the increase in the cost of raw materials and labor (temporary imbalance within the operating cycle). Thus, the best answer is D, a combination of the three previous factors.

A Business's Financing Needs Come Essentially From