Step

1
Answer is as follow.

Answer -

1.

Answer is True.

Explanation is as follow -

Basically factoring the accounts receivables actually means that to sell them, as opposed to pledging the accounts receivables as collateral to the factoring
company.

So, Selling of accounts receivables is referred to as discounting or factoring, but not pledging.

Explanation

Please refer to solution in this step.

Common Mistakes

Hint for Next Steps