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Mark receives an email from his bank asking him to update and verify his credit card details. He replies to the email with all the requested details. Mark later learns that the email was not actually sent by his bank and that the information he had shared has been misused. Mark is a victim of ________.
Factoring Transaction
The process where a business sells its accounts receivable (invoices) to a third party (factor) at a discount, in exchange for immediate cash.
GAAP
Generally Accepted Accounting Principles, a set of rules and standards designed to ensure consistency, fairness, and accuracy in financial reporting and accounting practices in the U.S.
IFRS
International Financial Reporting Standards, a set of accounting standards developed by the International Accounting Standards Board (IASB) that is global in scope.
Factoring Transaction
A financial transaction where a business sells its accounts receivable to a third party at a discount to obtain immediate cash.
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