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Strike441 [17]
3 years ago
13

Choose the correct statements below regarding the transfer of financial assets such as receivables:

Business
1 answer:
WARRIOR [948]3 years ago
5 0

Answer:

The correct statement regarding the transfer of financial assets such as receivables:

b. II only.

Explanation:

The transfer is not regarded as payment for the debt.  Therefore, a liability is recorded for the amount borrowed while the financial asset remains in the records of the transferor until the final settlement.  Appropriate disclosures are made in the transferor's financial statements about the security on the financial assets.

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