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Working capital needs that stay in place all year round are described as:
APreferred
BPermanent
CPersonal
DPeripheral
Answer & Solution
Correct answer: B. Permanent
1. The seasonal part sits on top of it.
2. This base never disappears.
3. It is permanent working capital.
_Source: OpenStax Principles of Finance 2e, Chapter 19, The Importance of Working Capital._
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