Pledging of Receivables Involves the Sale of Accounts Receivable

question 118

True/False

Pledging of receivables involves the sale of accounts receivable.

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Definitions:

Risk-Averse

describes an individual or entity that prefers to minimize risk, choosing options that are deemed safer or involve less uncertainty.

Insurance Premiums

Payments made to an insurance company in exchange for coverage against specified risks over a period.

Demanders Of Insurance

Individuals or entities that seek to protect themselves against financial losses by buying insurance policies.

Suppliers Of Insurance

Entities that provide various insurance policies to individuals or organizations to protect against potential financial losses or damages.