Asset-Based Borrowing Permits Small Businesses

Multiple Choice

Asset-based borrowing permits small businesses:

A) to borrow up to 100% of the value of their inventory or their accounts receivable for the money they need for long-term goals.
B) to use normally unproductive assets-accounts receivable and inventory.
C) to obtain loans more easily but with less borrowing power than if they used an unsecured line of credit.
D) access to a source of funds ideally suited for long-term financing needs.