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Firm s Cumulative Capital Requirement

Dollars

Years 1 Years 2 Time

Cumulative capital requirement

Strategy A: A permanent cash surplus Strategy B: Short-term lender for part of year and borrower for remainder Strategy C: A permanent short-term borrower

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Your Logo

Firm s Cumulative Capital Requirement

Dollars

Years 1 Years 2 Time

Cumulative capital requirement

Strategy A: A permanent cash surplus Strategy B: Short-term lender for part of year and borrower for remainder Strategy C: A permanent short-term borrower

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