A Type of Short-Term Loan Where the Borrower Sells Its

question 41

Multiple Choice

A type of short-term loan where the borrower sells its receivables to the lender up-front,but at a discount to face value,is called:

• A)a compensating balance.
• B)assigned receivables financing.
• C)a letter of credit.
• D)factored receivables financing.
• E)a bond.

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Definitions:

Adults

Individuals who have reached a stage of physical and psychological maturity, typically recognized by legal benchmarks of age.

Children

Young human beings who are not yet adults, often considered to be below the age of puberty.

Propositional Thought

A type of cognition that involves judgments, concepts, and ideas that can be expressed in sentences and propositions.

Primate Communication

The various ways primates, including humans, convey information and interact with each other, such as through vocalizations, facial expressions, and gestures.