D. Seasonal Bulges in inventory and receivables.
From the banker's point of view, short-term bank credit is an excellent way of meeting short-term financial requirements like seasonal bulges in inventory and accounts receivables. Since these financial requirements are temporary and can be solved easily by going for short-term credit.
Short-term credit is relatively easier to obtain and has lower rate of interest compared to the long-time financing.
Since, long term financial needs require reliable and stable sources of financing, bankers don't recommend short term credit as a way to finance needs that are long-term like repayment of long-term debt, finance fixed assets, etc.