0
Don't let anyone fool you. there is no such thing as short term borrowing. that, to me, is just an expression used when they have no intensions of giving you back but just want to leave you with some hope that you might get it back. If you are lending someone money make that sign a contract for you to show in court. NEVER LEND A FRIEND MORE THAN A THOUSAND DOLLARS BY THE TIME YOU GET IT BACK THEY WOULDN"T BE YOUR FRIEND. just saying
Wiki User
∙ 14y ago
Add your answer:
Earn +20 pts
Disadvantage of short-term loans?
Some disadvantages of short term loans include - fees and high interest rates, as well as a short term borrowing period.
Long term loan vs short term loan?
With long term loans, borrowers can take a longer period of time to start paying of their loan. Whereas with short term loans, the borrowing time is usually no more than two weeks because the borrowers typically use short term loans to cover their extra expenses between paychecks - after borrowing the money they use their next paycheck to pay back the short term loan.
How can the need for an increase or decrease in short-term borrowing can be predicted?
You would need to project a cash budget.
Short-term interest rates show the cost of borrowing money for how long?
for a few days or months
Name two short term and two long term sources of finance?
Short Term -Selling off inventory -Liquidating other assets (investments, capital, etc.) Long Term -Equity Invesment through shareholders -Debt, by borrowing money from banks
Is short term borrowing a source of working capital?
Yes companies has two types of source of working capital available short term as well as long term borrowing. Short term borrowings has less percentage of interest due to less risk then long term borrowings.
Disadvantage of short-term loans?
Some disadvantages of short term loans include - fees and high interest rates, as well as a short term borrowing period.
Is money paid as interest a investing cash flow?
Interest paid is an operating activity if paid on short term borrowing or long term borrowing and not investing activity
What is one good example of maturity intermediation?
Borrowing funds at short term and lending the funds obtained at longer term.
The need for an increase or decrease in short-term borrowing can be predicted by?
a cash budget.
Long term loan vs short term loan?
With long term loans, borrowers can take a longer period of time to start paying of their loan. Whereas with short term loans, the borrowing time is usually no more than two weeks because the borrowers typically use short term loans to cover their extra expenses between paychecks - after borrowing the money they use their next paycheck to pay back the short term loan.
How can the need for an increase or decrease in short-term borrowing can be predicted?
You would need to project a cash budget.
Short-term interest rates show the cost of borrowing money for how long?
for a few days or months
What does the term financed mean?
financing is borrowing money to pay for somthing that costs alot.
Should you borrow on a long-term basis or short-term basis to raise immediate capital?
immediate capital may be for short term (working capital) or long term ( for expansion) . For long term borrowing the process may take long time. so for immediate requirement i prefer only short term loan.
Name two short term and two long term sources of finance?
Short Term -Selling off inventory -Liquidating other assets (investments, capital, etc.) Long Term -Equity Invesment through shareholders -Debt, by borrowing money from banks
What does short term aid mean in geography?
An aid which is short term.
