MCQOPTIONS
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| 1. |
How can a firm provide a margin of safety if it cannot borrow on short notice tomeet its needs? |
| A. | maintain a low level of current assets (especially cash and marketable securities). |
| B. | shorten the maturity schedule of financing. |
| C. | increasing the level of fixed assets (especially plant and equipment). |
| D. | lengthening the maturity schedule of financing. |
| Answer» E. | |