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Which One of the Following Situations Creates the Most Liquidity

Question 53

Multiple Choice

Which one of the following situations creates the most liquidity risk?


A) Long-term assets funded by long-term liabilities
B) Short-term assets funded by short-term liabilities
C) Long-term assets funded by short-term liabilities
D) Short-term assets funded by long-term liabilities
E) Long-term liabilities funded by short-term assets

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