The extent to which inventory financing may be used depends on the
A) marketability of pledged goods.
B) price stability of goods.
C) perishability of goods.
D) all of these options are correct.

Question

Quizplus · Accepted Answer

Inventory financing relies on the value of the inventory pledged as collateral, so the marketability and price stability of the goods are important factors in determining the extent to which financing can be obtained. Additionally, the perishability of the goods can affect their value and therefore impact the amount of financing that can be secured. Therefore, the correct answer is D, as all of these options are correct.

The Extent to Which Inventory Financing May Be Used Depends