South Slope Company is a no-growth firm. Its sales fluctuate seasonally, causing total assets to vary from $1,150,000 to $1,300,000, but fixed assets remain constant at $900,000. If the firm follows a maturity matching (or moderate) working capital policy, what is the most likely total of long term debt plus equity capital? 1) $1,300,000 2) $1,150,000 3) $150,000 4) $250,000 5) $900,000

South Slope Company is a no-growth firm. Its sales fluctuate seasonally, causing total assets to vary from $1,150,000 to $1,300,000, but fixed assets remain constant at $900,000. If the firm follows a maturity matching (or moderate) working capital policy, what is the most likely total of long term debt plus equity capital? 1) $1,300,000 2) $1,150,000 3) $150,000 4) $250,000 5) $900,000 South Slope Company is a no-growth firm. Its sales fluctuate seasonally, causing total assets to vary from $1,150,000 to $1,300,000, but fixed assets remain constant at $900,000. If the firm follows a maturity matching (or moderate) working capital policy, what is the most likely total of long term debt plus equity capital? 1) $1,300,000 2) $1,150,000 3) $150,000 4) $250,000 5) $900,000