Full service non recourse, Managerial Accounting

Full Service Non Recourse: in this method the book debts are purchased through the factor assuming 100 percent credit risk. In case of default through the debtor the whole risk is borne through the factor. Moreover to this the factor may also advance 80 to 90% of the books debts instantly to the client. Payments are made straight to the factor through the customers. The factor also keeps the accounts and sales ledger and prepares according to the age reports of good book debts. These kind of factoring services are particularly suited to the subsequent conditions as:

a) Amounts concerned per customer are relatively substantial

b) There are large numbers of customers of whom the client cannot have personal knowledge

c) Clients need to have 100 percent cover rather than 70 to 80% cover provided via the insurance companies.

Posted Date: 4/9/2013 5:24:41 AM | Location : United States







Related Discussions:- Full service non recourse, Assignment Help, Ask Question on Full service non recourse, Get Answer, Expert's Help, Full service non recourse Discussions

Write discussion on Full service non recourse
Your posts are moderated
Related Questions

accepted#Regarding the Overhead costs, these are allocated based on Direct Labor;

Explains how activity –based techniques can be used to improve performance

CHOOSING ORDER QUANTITY (SIZE—PROBLEM) The objective of inventory decisions is usually to minimize total inventory costs to the company. Costs are ascribed to all elements whic

Raner, Harris, & Chan is a consulting firm that specializes in information systems for medical and dental clinics. The firm has two offices—one in Chicago and one in Minneapolis. T

Explain with examples five areas where linear programming can be applied in Managerial accounting

Basic Assumption of Transportation Model The basic assumption of the model is that the transportation cost on a given route is directly proportional to the number of units tran

Disadvantages of participatory budgets   They consume more time and therefore are more expensive The advantage of management participation may be negated by failure t

The revolving credit facility will be specified by the banker to the customer through providing specific amount of credit facility for a continuous basis. The borrower will not be

Describe Benchmarking It is the process of measuring products service or activities against the best level of performance which may be found either inside or outside the organi