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For Canadian Entrepreneurs Planning on Exporting Their Goods, Purchasing Accounts

Question 85

Multiple Choice

For Canadian entrepreneurs planning on exporting their goods, purchasing accounts receivable insurance through Export Development Canada (EDC) __________.


A) is a good idea because this guarantees up to 90% of losses of accounts receivables from export sales
B) is much more expensive than purchasing through private sources such as chartered banks
C) is a good idea because it enables the business to more easily borrow against their accounts receivables, as lenders know they are protected against loss
D) is a good idea because this guarantees up to 90% of losses of accounts receivables from export sales and is a good idea because it enables the business to more easily borrow against their accounts receivables, as lenders know they are protected against loss
E) None of the answers apply.

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