Tobit financing offers short-term financing plans to other companies. it buys the accounts of other companies at a discount and collects the full amount from the customers of those companies. which of the following short-term financing options is being provided by tobit financing in this scenario?
a) trade creditb) commercial paperc) factoringd) short-term bank loans

C) Factoring

Explanation:

In factoring, the Companies shall sell the accounts receivables to Tobit Financing at a discounted rate when they are apprehensive about receiving the same from their debtors in time. Once received by Tobit Financing, it shall recover the dues from those accounts at the full rate. The difference shall be the earning of Tobit Financing. This may also be true when such Companies are in urgent need of cash and this option seems to be the most viable.

due to the changes the federal reserve is making the unused reserves will impact the economy by them facing inflation. inflation is definfed as the increase in pricing of a good or service but the decline of the value of money used for purchasing those items. when the economy has a high inflation rate, they are subject to money loss and hurt on the economy.

answer; lags, push the econ below the natural level of output;