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    Business
  3. Study Set
    Principles of Managerial Finance
  4. Exam
    Exam 16: Current Liabilities Management
  5. Question
    Pledges of Accounts Receivable Are Never Made on a Notification
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Pledges of Accounts Receivable Are Never Made on a Notification

Question 3

Question 3

True/False

Pledges of accounts receivable are never made on a notification basis because the lender does not trust the borrower to collect the pledged account receivable and remit these payments as they are received.

Correct Answer:

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