Which of the Following Statements Is FALSE

question 6

Multiple Choice

Which of the following statements is FALSE?

• A)Commercial banks,finance companies,and factors,which are firms that purchase the receivables of other companies,are the most common sources for secured short-term loans.
• B)The factoring arrangement may be without recourse,in which case the lender bears the risk of bad-debt losses.
• C)In a floating lien,general lien,or blanket lien arrangement,specific inventory is used to secure the loan.
• D)If a firm sells its goods on terms of net 30,then the factor will pay the firm the face value of its receivables,less a factor's fee,at the end of 30 days.

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Definitions:

Subclass Constructor

A constructor in a subclass that is used to initialize new instances of the subclass, potentially invoking the superclass constructor as part of the initialization process.

Superclass

Within object-oriented programming, a foundational class whose properties and methods are inherited by other classes.

Inheritance

A fundamental concept in object-oriented programming where one class can inherit fields and methods from another class, facilitating code reuse and polymorphism.

Is-a

A relationship where one class (subclass) is a more specific version of another class (superclass), indicating inheritance.