Problem 3-9 current and quick ratios (cengage)
It is important to note that while increasing the amount of short-term debt may help the company fund additional inventory purchases and generate sales revenue in the short term; it should also consider potential future implications when issuing additional debt as higher levels of debt can have a negative effect on financial health over time due increased interest payments etc.
Additionally if were looking minimize risk associated with this type financing structure then having well-structured repayment plan place ensure timely payback any loans taken out would definitely beneficial no matter what challenge may present itself before them under given circumstances ultimately leading successful outcome when all said done Furthermore leveraging special financing programs offered by banks government agencies other organizations which can offer lower rates longer payment periods less stringent requirements could prove valuable asset whatever situation presents itself along way hence making decision even easier once everything has been considered carefully evaluated properly no matter happens ultimately leading successful outcome when all said done