A business sells products for which demand is highly seasonal. Each year, inventory and accounts receivable increase in proportion to seasonal demand for the products. Which of the following describes the best type and term of credit to meet this borrowing need?

A) a long-term loan for inventory and a short-term loan for accounts receivable

B) long-term loan to be repaid over several operating cycles

C) short-term line of credit

D) short-term loan to be repaid at the end of one year