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Which of the followig statments concerning liquity and debit is true? A. A firm can reduce its risk for illiquidity by shifting form short-term debt

Which of the followig statments concerning liquity and debit is true? A. A firm can reduce its risk for illiquidity by shifting form short-term debt to long-term debt. B. The greater the use of short-term debt, the lower the risk of illiquidity. C. Long-term debt is generally less costly than short-term debt. D. The riskof illiquidity does not depend on the mix of short-term versus long-term debt.

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