FIN 571 Week 3 DQ 1 NEW Flashcards
1
Q
FIN 571 Week 3 DQ 1 NEW
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The Long-Term funding strategy relies on long-term debt to finance both capital assets and working capital. As a result, this strategy reduces risk since there is no need to consider refinancing assets since all funding is long term.
How would a ‘changing rate environment’ impact the use of this strategy?
A
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