Which of the Following Is a Disadvantage of Factoring

question 42

Multiple Choice

Which of the following is a disadvantage of factoring?

• A) ensures an uneven pattern of cash flows
• B) eliminates credit and collection departments
• C) turns accounts receivable into cash quickly
• D) highly expensive source of short-term financing

Understand how to calculate loan payments, balances, and the cost of borrowing.

Evaluate investment opportunities using present value and future value calculations.

Understand the effects of varying interest rates and time periods on present and future value calculations.

Apply the principles of cash flow valuation to real-life financial planning and investment decision-making.

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Definitions:

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A diagnostic test analyzing urine for the presence of diseases, infections, or other medical conditions.

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A medical examination where a doctor inserts a lubricated, gloved finger into the rectum to check for abnormalities of organs or other structures in the pelvis and lower abdomen.