________ Systems Use an Independent Third Party to Settle a Business

question 105

Essay

________ systems use an independent third party to settle a business to business (B2B) transaction.

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Definitions:

Financial Structure Leverage

The use of various financial instruments or borrowed capital, like debt, to increase the potential return of an investment.

Long-term Debt

Loans or financial obligations that are due for repayment beyond the next 12 months or the current business cycle.

Finance Assets

Financial assets specifically purchased, created, or held for the purpose of generating income through investment or lending activities.

Financial Leverage

The use of borrowed funds with a fixed cost in order to increase the potential return to shareholders.