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    Question

    'Bridge Financing' is a short-term loan used

    to:
    A Finance long-term research and development. Correct Answer Incorrect Answer
    B Cover expenses until permanent long-term financing is arranged. Correct Answer Incorrect Answer
    C Pay off existing long-term debt. Correct Answer Incorrect Answer
    D Fund daily operational expenses. Correct Answer Incorrect Answer

    Solution

    Bridge financing is an interim financing option used by companies to cover immediate expenses until a round of funding or a long-term financing solution is secured. It "bridges" the gap between immediate need and long-term arrangement.

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