Which of the following are associated with a restrictive short-term financial policy?
I.little,if any,investment in marketable securities
II.liberal credit terms for customers
III.low cash balances
IV.increasing inventory levels
A)I and III only
B)II and IV only
C)I and IV only
D)III and IV only
E)I, II, and III only

Question

Quizplus · Accepted Answer

A restrictive short-term financial policy typically involves limiting investment in marketable securities, maintaining low cash balances, and avoiding increasing inventory levels. Liberal credit terms for customers would be associated with a more relaxed, or lenient, short-term financial policy.

Which of the Following Are Associated with a Restrictive Short-Term