A main disadvantage that involves financing with current liabilities is that: The interest rates of short-term financing
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Question:
A main disadvantage that involves financing with current liabilities is that:
The interest rates of short-term financing are generally higher than the rates of long-term financing.
Short-term financing is less flexible since it must be paid more frequently.
Short-term financing points to uncertainty regarding interest costs from year to year.
All of the above
Related Book For
Managerial Accounting Creating Value in a Dynamic Business Environment
ISBN: 978-1259569562
11th edition
Authors: Ronald W. Hilton
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