13. Short-term versus long-term financing Generally speaking, short-term debt is riskier than long-term debt, but it...

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13. Short-term versus long-term financing Generally speaking, short-term debt is riskier than long-term debt, but it also has

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Answer 1

Answer #1

Long term debt has more covenants

Short term debt is flexible as it is repaid in a short span and then raised again at market rates

Long term debt since it is more risky

Short term debt

As it will n repaid early and then the firm will have to raise money at higher interest rates.

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Answer 2

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Add Answer to: 13. Short-term versus long-term financing Generally speaking, short-term debt is riskier than long-term debt, but it...

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