Which Statement Is Correct

question 50

Multiple Choice

Which statement is correct?

• A)A transfer without recourse means that the purchaser can go back to the company for compensation of bad debts.
• B)A transfer without recourse means that the purchaser of the receivables takes the collection risk.
• C)A transfer without recourse means that the seller of the receivables takes the collection risk.
• D)A transfer with recourse means that the purchaser of the receivables takes the collection risk.

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Definitions:

Health Care Plans

Arrangements made by individuals or employers to cover medical expenses, offering a range of medical services often through a network of providers.

Property Damage Liability

Insurance coverage that pays for damage caused by the policyholder’s vehicle to another person’s property.

Insurance

A financial product sold by insurance companies to safeguard against financial losses from specified risks, such as accidents, theft, or natural disasters.

Damage

Refers to the loss or harm resulting from injury to a person, property, or reputation.