FIN 419 Week 3 Summary

Apr 24th, 2015
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FIN 419 Week 3 Summary

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This has been a busy week. An aggressive financing strategy is one that uses the short-term funds for financing all the seasonal needs of a firm and a part of its permanent needs. It finances only some of its fixed assets (and not all the current needs and requirements) through long term funds. "A funding strategy under which the firm funds its seasonal requirements with short-term debt and its permanent requirements with long-term debt" (Gitman, 2006, p. 634).A conservative financing strategy is one that employs long-term funds for financing all the anticipated needs and uses short-term

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