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Why would a company establish a short-term credit facility?

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Why would a company establish a short-term credit facility?

A.

Short-term interest rates are expected to rise.

B.

The company would like to improve bank relationships.

C.

Cash shortages are being forecasted due to seasonality.

D.

There is an anticipated failure of the company’s main depository bank.

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  • Vendor: AFP
  • Product: CTP
  • Update on: Oct 21, 2025
  • Questions: 1076
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TESTED 21 Oct 2025