The aggressive financing strategy is risky in two aspects: a firm operates with a possibility of ________, and a firm has only a limited amount of ________ capacity

A) insolvency; short-term borrowing
B) interest rate swings; short-term borrowing
C) low earnings; long-term borrowing
D) fixed interest rate; long-term borrowing

B

Business

You might also like to view...

Compose a haiku using three or more of the key terms in Agile PM

What will be an ideal response?

Business

An implicit assumption of the IRR method is that any cash inflows generated in the earlier years can be reinvested at the rate of the IRR

Indicate whether the statement is true or false

Business