Asked by Trista Keller on Jun 05, 2024

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Short-term sources of funds are loans that are repaid within one year.

Short-term Sources

Financial resources or funding options available to a company for a period typically less than a year, used to fulfill immediate financial needs.

Funds

Capital that is set aside for a specific purpose or project, often collected from various sources and utilized for investment or expenses.

Repaid

Refers to the action of paying back money that was borrowed.

  • Grasp the nuances and effects of various corporate finance mechanisms, including trade credit and debt capital.
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ZK
Zybrea KnightJun 09, 2024
Final Answer :
True
Explanation :
Short-term sources of funds, such as working capital loans or lines of credit, are typically designed to be repaid within a period of up to one year, addressing immediate financial needs or temporary cash flow shortages.