Credit risk is defined as the inability of _________to meet their debt obligations. For _______the risk includes_____ of principal and interest, cash flow ________, and_________collection costs. Thus, higher credit risk is associated with higher ______ costs.

Credit risk is defined as the inability of _____to meet their debt obligations. For _the risk includes_ of principal and interest, cash flow __, and_collection costs. Thus, higher credit risk is associated with higher __ costs.

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter16: Working Capital Policy And Short-term Financing

Section: Chapter Questions

Problem 20QTD

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