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List and Describe the Two Types of Waves

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Essay

List and describe the two types of waves.


Definitions:

Quality of Receivables

An assessment of the likelihood that the amounts owed to a business by its debtors will be collected.

Likelihood of Collection

An assessment of the probability that accounts receivable or other debts will be successfully collected from debtors.

Factoring Fee

A charge assessed by a factoring company for providing cash advances to businesses by purchasing their accounts receivable at a discount.

Accounts Receivable

Outstanding payments due to a firm from its clients for delivered services or products yet to be settled.

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