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When a firm finances the purchase of an asset with a life of five years with a short term loan of six months, its financing strategy is called    a. Conservative

When a firm finances the purchase of an asset with a life of five years with a short term loan of six months, its financing strategy is called    a. Conservative

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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  1. When a firm finances the purchase of an asset with a life of five years with a short term loan of six months, its financing strategy is called 

      a.

    Conservative 
      b.

    Aggressive 
      c.

    Moderate (maturity matching)
      d.

    Optimizing Capital Structure 
      e.

    Off Balance Sheet Financing 
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