Carlos Bought $40 000 Worth of Receivables for 60 Percent

Carlos bought $40 000 worth of receivables for 60 percent of that sum ($24 000) .He will profit if the money he eventually collects exceeds the amount he paid for the receivables.Carlos is involved in

A) pledging accounts receivable.
B) leveraging goods-in-process inventory.
C) collateralizing inventory.
D) factoring accounts receivable.
E) hedging.