In: Accounting
Which of the following will give rise to off-balance sheet
financing?
I. Take-or-pay arrangements
II. Sale of receivables without recourse
III. Through-put agreements
IV. Purchase commitments
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An off-balance sheet financing is one under which the company does not include a liability on its balance sheet.These include Take-or-pay arrangements, Sale of receivables without recourse, Through-put agreements, Purchase commitments | |||||||||||||||||||||||
Option1 I, II, III, and IV is the correct option | |||||||||||||||||||||||