What Is the Term for Companies That Provide Short-Term Financing

question 42

Multiple Choice

What is the term for companies that provide short-term financing to firms by purchasing accounts receivable at a discount?

• A)credit agents
• B)investment bankers
• C)commercial paper houses
• D)factors

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Definitions:

Legitimacy

The perception or recognition as valid, acceptable, or justified according to established rules, standards, or values.

Dominant Stakeholder

A key entity or individual who has significant influence or control over the decisions and direction of a project or organization.

Power

The ability or capacity to influence the behavior of others or the course of events, often through the possession of knowledge, wealth, or connections.

Legitimacy

The general perception or recognition that an entity's actions are desirable, proper, or appropriate within some socially constructed system of norms, values, beliefs, and definitions.