Deal of The Day! Hurry Up, Grab the Special Discount - Save 25% - Ends In 00:00:00 Coupon code: SAVE25
Welcome to Pass4Success

- Free Preparation Discussions
Mail Us support@pass4success.com
Location US
Mob_nav_barsMENU

AIWMI CCRA-L2 Exam - Topic 1 Question 116 Discussion

Actual exam question for AIWMI's CCRA-L2 exam
Question #: 116
Topic #: 1
[All CCRA-L2 Questions]

Under an advance factoring contract, following flow of money takes place:

A: Factor pays a percentage of the invoice face value to the seller at the time of sale

B: The remainder of the purchase price is held by factor until the payment by the account debtor is made.

C: The cost associated with the transaction is paid upfront by the seller to the factoring agent.

Show Suggested Answer Hide Answer
Suggested Answer: D

by Tawny at Aug 12, 2025, 09:55 PM

Limited Time Offer

25%

Off

Get Premium CCRA-L2 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

0/2000 characters
Submit Cancel
Venita
4 months ago
Sounds too good to be true, honestly.
upvoted 0 times
...
Wei
4 months ago
Yep, A, B, and C are all part of it!
upvoted 0 times
...
Marguerita
4 months ago
Wait, are sellers really paying upfront costs?
upvoted 0 times
...
Mattie
5 months ago
A factor pays a percentage upfront.
upvoted 0 times
...
Galen
5 months ago
Totally agree with that!
upvoted 0 times
...
Floyd
5 months ago
I definitely recall that the seller pays costs upfront, so I think B is not the only part that matters here.
upvoted 0 times
...
Joseph
6 months ago
I practiced a similar question, and I feel like only A and B are essential to the transaction, but I could be wrong.
upvoted 0 times
...
Audria
6 months ago
I think the correct answer includes A, B, and C since all parts describe the flow of money in factoring.
upvoted 0 times
...
Kenneth
6 months ago
I remember studying that the factor pays a percentage upfront, but I'm not sure if all costs are paid upfront too.
upvoted 0 times
...
Cory
6 months ago
I'm confident I can figure this out. Analyzing the details and options is the key here.
upvoted 0 times
...
William
6 months ago
The wording of this question is a bit tricky, I'll need to think it through step-by-step.
upvoted 0 times
...
Kasandra
7 months ago
Okay, I've got it now. I just need to identify which of the given options correctly describes the flow.
upvoted 0 times
...
Dudley
7 months ago
Hmm, I'm a bit confused about the flow of money here. Let me re-read the details carefully.
upvoted 0 times
...
Maybelle
7 months ago
This question seems straightforward, I think I can tackle it easily.
upvoted 0 times
...
Stephen
7 months ago
D seems tempting, but B covers all the bases. Can't go wrong with the full description of the advance factoring flow.
upvoted 0 times
...
Marguerita
7 months ago
I believe the answer is D, as only A and B are mentioned in the flow of money
upvoted 0 times
...
Ammie
8 months ago
Haha, this is a no-brainer. Of course it's B - anyone who's been in factoring for more than a day would know that's how it works. Easy peasy!
upvoted 0 times
...
Emily
8 months ago
B is definitely the right answer. The question clearly states all three steps in the process, so the full option B has to be the correct one.
upvoted 0 times
Tamekia
4 months ago
Can't argue with that, B is the way to go!
upvoted 0 times
...
Brinda
4 months ago
Yeah, all steps are included in B.
upvoted 0 times
...
Chauncey
4 months ago
I agree, B covers everything.
upvoted 0 times
...
Carlee
5 months ago
Definitely, B is the complete answer.
upvoted 0 times
...
...
Troy
9 months ago
I agree with Tamesha, because all three options are mentioned in the question
upvoted 0 times
...
Tamesha
9 months ago
I think the answer is B
upvoted 0 times
...
Herman
9 months ago
I think the correct answer is B. The flow of money in an advance factoring contract includes all three elements - the factor paying a percentage upfront, the remainder being held until the account debtor pays, and the cost being paid upfront by the seller.
upvoted 0 times
...

Save Cancel