Long-term debt would likely be used for which of the following?
A) acquisition of inventory
B) paying premiums for insurance
C) purchasing a building
D) paying salaries

Question

Quizplus · Accepted Answer

Long-term debt is usually used for investments, such as purchasing a building or equipment to help grow the business over time. Acquiring inventory, paying salaries, and paying insurance premiums are typically short-term expenses that would not require long-term debt.

Long-Term Debt Would Likely Be Used for Which of the Following