Examlex
The Lewis structure for CS2 is:
Factoring Arrangement With Recourse
A financial transaction where a business sells its receivables to a third party (factor) but must buy back any uncollected receivables, thus bearing the risk of default.
Holdback
A portion of the purchase price of an asset that is withheld until certain conditions have been met, ensuring fulfilment of contractual terms.
Recourse Obligation
A liability that allows lenders to claim assets of the borrower or guarantor, beyond the collateral securing the loan, in case of default.
Fair Value Adjustment
An accounting process to adjust the book value of an asset or liability to its market value or fair value.
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