The Services Provided by an Accounts Receivable Factor to the Borrower

question 50

Multiple Choice

The services provided by an accounts receivable factor to the borrower may include:

• A)performing credit checks on potential customers.
• B)collecting cash from customers.
• C)assuming the bad debt risk when customers of factored accounts do not pay.
• D)All of the above

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Definitions:

Stone Tools

Prehistoric tools made from stone by early humans for cutting, scraping, and other activities.

Bipedal

The ability to walk on two legs, a key characteristic that differentiates humans and some other species from most animals.

Homo Erectus

An extinct species of early human that lived throughout much of the Pleistocene geological epoch, known for its upright walking ability.

Fossil Record

The collection of all known fossils and their placement in order, which provides evidence about the history of life on Earth.