Which of the following statements is FALSE?

Question 5 options:

	The matching principle indicates that a firm should finance its permanent investment in working capital with long-term sources of funds.
	Financing part or all of the permanent working capital with short-term debt is known as a conservative financing policy.
	A promissory note is a written statement that indicates the amount of the loan, the date payment is due, and the interest rate.
	In a warehouse arrangement, the inventory that serves as collateral for the loan is stored in a warehouse.
	None of the above is false