Accounts receivable financing
A) allows small businesses to extend credit to its customers.
B) delays the time a company receives money from its receivables.
C) means borrowing money against your firm's account receivables.
D) is not a legal practice.

Question

Quizplus · Accepted Answer

Accounts receivable financing involves borrowing money against a company's outstanding invoices or receivables. This allows businesses to get immediate cash flow and not have to wait for customers to pay their outstanding debts.

Accounts Receivable Financing