Which of the Following Is Incorrect in Relation to Bill

question 48

Multiple Choice

Which of the following is incorrect in relation to bill financing?

• A) The drawer is the party seeking the funds.
• B) If a bank accepts the bill this enhances its credit quality.
• C) An issuer will seek to sell the bill in the market at the highest yield.
• D) Bills are sold at a discount to face value.

---

Definitions:

Hiring Capital

The resources, often financial, that an organization allocates to the process of recruiting and acquiring new employees or talent.

Future Profits

Expected gain in financial terms that a business anticipates receiving over a forthcoming period, based on current strategies, market conditions, and operations.

Hiring Labor

The process of finding, evaluating, and employing individuals to work for a business or organization.

Payment Stream

A sequence of payment installments made over a period of time, often associated with loans or annuities.