Which one of the following statements is NOT true?
A) Firms using matching maturity strategy fund all working capital needs with long-term borrowing.
B) Long-term financing strategy relies on long-term debt to finance both capital assets and working capital.
C) All working capital and a portion of fixed assets are funded with short-term debt when firms use the aggressive funding strategy.
D) Firms using a matching maturity strategy fund all working capital needs with short-term borrowing.
Answer: A
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