When Silver Fitness sells its accounts receivable to a financial institution, it receives less than the full value of the accounts receivable. Which of the following is a benefit Silver Fitness receives from this arrangement?
A. It will receive the money in one month instead of two months.
B. It will have more inventory than its competitors.
C. This will allow closer relationships with its customers.
D. The time and expense of collecting accounts shifts to the factor.
E. Platinum will be responsible for collecting the accounts.
Answer: D
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Answer the following statements true (T) or false (F)
1. An equity security does not represent an ownership interest in a corporation, although it pays dividends. 2. Debt securities represent a credit relationship with another company or governmental entity. 3. A security is a share or interest representing financial value. 4. Debt securities do not include U.S. government securities.
Which type of trust is used if an employee focuses on a leader’s trustworthiness, ability, and integrity?
A. disposition-based B. perception-based C. cognition-based D. affect-based
Describe the liability provisions of the Securities Exchange Act of 1934 against insider trading, under Rule 10b-5 of the Securities Exchange Act of 1934.
What will be an ideal response?
Richard’s company was recently purchased by a big conglomerate. Everyone in the office was on board with this news except for Abigail. Richard told Abigail that if she did not agree to the new merger then he was going to demote her once the process was over. Richard has used which form of reducing resistance to change?
A. negotiation B. participation C. coercion D. manipulation