Which one of these statements is correct?
A)A farmer generally uses trust receipt financing to finance operations during the growing season.
B)An auto dealer is most apt to use purchase order financing.
C)A drug store is most apt to use trust receipt financing.
D)Trust receipt financing is most applicable to large,easily identifiable types of inventory.
E)Blanket inventory lien financing is another term for purchase order financing.

Question

Quizplus · Accepted Answer

Trust receipt financing is typically used for large, easily identifiable types of inventory, such as automobiles or large equipment, where the lender retains the title until the item is sold.

Which One of These Statements Is Correct