What involves the purchase of accounts receivables by the lender, generally without resource to the borrower?

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Factoring involves a lender purchasing accounts receivable from a borrower without any recourse to the borrower. The lender assumes the risk of non-payment by the debtor and collects payment directly from them. Option A refers to a specific company's financing, option B refers to using accounts receivable as collateral for a loan, and option D refers to the cost of borrowing money, none of which accurately describe the purchase of accounts receivable by a lender through factoring.

What Involves the Purchase of Accounts Receivables by the Lender