Which of the Following Statements Is False with Respect to Debt

question 55

Multiple Choice

Which of the following statements is false with respect to debt factoring?

• A)it can be seen as an indication that the business is in healthy financial shape.
• B)it outsources control of accounts receivable to specialists in collection and credit.
• C)it provides a quicker source of cash than waiting for customers to pay.
• D)all of the above.

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Definitions:

Piece-Rate System

A compensation system where employees are paid a fixed rate for each unit of production completed, incentivizing productivity.

Fixed Interval Schedule

A reinforcement schedule in operant conditioning where rewards are provided after a set period of time for the desired behavior.

Reinforcement

In psychology, a process by which a stimulus increases the likelihood of the behavior that it follows.

Continuous Reinforcement

A method of learning that involves providing a reward immediately after the desired behavior is exhibited, each and every time.