Aggressive short-term financing policy
Aggressive short-term financing policy is any policy in which a firm finances all of its fixed assets with long-term capital but part of its permanent current assets with short-term, non spontaneous credit.
Definitions
According to Financial Management Theory and Practice by Eugene F. Brigham and Michael C. Ehrhardt (13th edition),
- Aggressive short-term financing policy. Refers to a policy in which a firm finances all of its fixed assets with long-term capital but part of its permanent current assets with short-term, non spontaneous credit.
Related concepts
- Financial management. A combination of enterprise efforts undertaken in order to procure and utilize monetary resources of the enterprise.
