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Which of the Following Is NOT a Common Characteristic of Issuing

Question 68

Multiple Choice

Which of the following is NOT a common characteristic of issuing short-term debt?


A) Issuing short-term debt increases uncertainty compared to a long-term fixed-rate issue.
B) Issuing short-term debt provides more frequent financing opportunities.
C) Short-term interest rates are typically HIGHER than long-term rates.
D) Short-term debt financing could be problematic in the event of an economy-wide liquidity crisis.

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