________ Is a Financial Transaction Whereby a Business Sells Its

question 73

Multiple Choice

________ is a financial transaction whereby a business sells its accounts receivable to a third party at a discount in exchange for cash.

• A) Factoring
• B) Vendor credit
• C) Peer-to-peer lending
• D) Crowdfunding
• E) Leasing

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Definitions:

General Partner's Liability

describes the legal responsibility of general partners in a partnership to bear unlimited personal liability for the debts and obligations of the partnership.

Limited Partnership

A business arrangement with at least one general partner managing the business and responsible for its debts, and one or more limited partners whose liability is restricted to their investment.

Transferable Interest

An interest in an entity, such as a partnership, that can be transferred or sold from one party to another.

Members

Individuals or entities that are part of a group or organization, such as a corporation, partnership, or any association who may have certain rights, duties, and obligations within the organization.