The process of managing the sales ledger of a client by a financial service company is called
A)forfaiting
B)factoring
C)leasing
D)None of these.

Question

Quizplus · Accepted Answer

Factoring is the financial service where a business sells its accounts receivable (invoices) to a third party (called a factor) at a discount, in order to raise funds. The factor then manages the sales ledger and collects the debts on behalf of the original company.

The Process of Managing the Sales Ledger of a Client