Many Small Businesses Rely on Factoring as a Source of Short-Term

question 141

Multiple Choice

Many small businesses rely on factoring as a source of short-term financing because:

• A)loans provided by factors do not require collateral.
• B)small firms often find it difficult to qualify for bank loans.
• C)interest paid to a factor qualifies for a tax credit.
• D)factoring provides a much cheaper source of funds than bank loans.

---

Definitions:

Socially Learned

refers to behaviors, skills, or attitudes that an individual acquires through observing and interacting with others in their social environment.

Racial Violence

Acts of aggression or violence that are motivated by racial hatred or prejudice.

Cooperative Behaviour

Behavior exhibited by individuals or entities working together towards a common goal or benefit, often involving teamwork or partnerships.

Frustration-Aggression Hypothesis

A psychological theory suggesting that frustration leads to aggressive behavior as a way of coping with the inability to achieve a goal.