Which of the following statements is correct?

Firms using a maturity matching strategy fund all seasonal working capital needs with long-term borrowing.

Accounts payable (trade credit), bank loans, and commercial paper are common sources of long-term financing.

All the answers are correct.

With the maturity matching strategy, all seasonal working capital needs are funded with short-term borrowing.

Under the maturity matching strategy, a firm funds all seasonal working capital needs with long-term borrowing.