abc real estate is a commercial real estate firm that primarily uses short-term financing, while its competitors primarily use long-term financing. interest rates have recently increased dramatically. ziffy corp.’s credit rating was downgraded from aaa to a. bellgotts inc. has increased its market share from 15% to 37% over the last year while maintaining a profit margin greater than the industry average. previously, ferro co. had only used short-term debt financing. the company now finances its current assets such as inventories and receivables with short-term debt, and it finances its fixed assets such as buildings and equipment with long-term debt.
