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When a Loan Is Secured by Receivables, the Firm Assigns

question 46

True/False

When a loan is secured by receivables, the firm assigns the receivables to the bank. If the firm fails to repay the loan, the bank can collect the receivables from the firm's customers and use the cash to pay off the debt.


Definitions:

Free Association

A psychoanalytic technique in which a patient says whatever comes to mind without censorship as a way of exploring the unconscious.

Transference

An emotional reaction that occurs during psychoanalysis, in which the patient displays feelings and attitudes toward the analyst that were present in another significant relationship.

Self-Actualization

The pursuit of self-defined goals for personal fulfillment and growth.

Resistance

Opposition in psychotherapy, where the patient either consciously or unconsciously opposes discussing, recalling, or engaging with certain thoughts, feelings, or experiences.

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