Which of the Following Is INCORRECT Regarding Factoring of Receivables

question 108

Multiple Choice

Which of the following is INCORRECT regarding factoring of receivables?

• A) Factoring usually involves a sale to only one company.
• B) The fees are relatively high.
• C) The quality of the receivables may be lower.
• D) The seller usually continues to service the receivables.

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Definitions:

Mental Age

A measure of an individual's cognitive ability as compared to the average cognitive ability for their chronological age.

Intellectual Abilities

The capacity to perform mental activities involving reasoning, problem-solving, and abstract thinking.

Goal-Directed Adaptive Behavior

Behavior that is focused on achieving a specific outcome or goal, showing flexibility and adjustment to changes.

Predictive Validity

The extent to which a score or measure can predict the future performance or behavior of subjects.