Short-term credit, or short-term financing, is any liability that is scheduled for repayment within one year. Sources of short-term funds include banks, suppliers, securities firms, and insurance companies. The obligations are in the form of bank loans, trade credit, commercial paper, and accruals. Some types of short-term financing are easier to obtain and manage than others. Financial managers will consider the costs of the various sources of financing as part of a cash management strategy. The following statement refers to a source of short-term credit. Select the best term to complete the sentence. The credit that is created when a supplier sells goods and services on an account with extended payment terms is called Hansborough is a manufacturing company. Hansborough has been paying sales commissions to its salespeople on a quarterly basis. The vice president of sales has proposed that the policy be changed so that the sales staff is paid on a monthly basis. The company's financial managers have been asked to review the proposal. Which type of short-term financing will be affected by this policy change? Accruals Commercial paper Trade credit Bank loans