A restrictive short$-$term financial policy, as compared to a more flexible policy, tends to:

I. cause a firm to lose sales due to a lack of inventory on hand.

II$.$ increase the sales of a firm due to the firm's credit availability and terms.

III. increase the probability that a firm will face a cash$-$out situation.

IV$.$ increase the ability of a firm to charge premium prices.

a$.$ I and III only

b$.$ II and IV only

c$.$ I and IV only

d$.$ II and III only

e$.$ I and II only