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Which of the following statements is most correct ? A A borrowers long-term debt typically has a higher interest rate than its short-term debt. B

Which of the following statements is most correct?

A A borrowers long-term debt typically has a higher interest rate than its short-term debt.
B Debt that is infrequently traded (less liquid) typically has a lower interest rate than similar but highly traded debt.
C Variable (floating) rate debt is more prevalent when long-term borrowing rates are low.
D Variable (floating) rate debt should never be used by healthcare providers because it is too risky.
E Fixed interest rate debt is more prevalent when long-term borrowing rates are high.

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