Which of the following are benefits of compiling a short-term financial plan?
I. knowing ahead of time when your firm will probably require external financing
II. being able to estimate how long of a time period your firm might need a loan
III. being able to determine when your firm can best afford to spend funds on a capital expenditure
IV. knowing when your firm should have excess funds that can be invested
A) I and III only
B) I, II and IV only
C) II, III and IV only
D) I, II and III only
E) I, II, III and IV

Question

Quizplus · Accepted Answer

A short-term financial plan helps in forecasting the need for external financing (I), estimating the duration of loans (II), planning for capital expenditures (III), and identifying periods of excess funds for investment (IV).

Which of the Following Are Benefits of Compiling a Short-Term