18 match the correct term for each of the following descriptions. Descriptions Terms Examples of these instruments include trade credit, accruals, short-term bank loans, and Accruals commercial paper. A document that provides evidence of the existence of a debt, and specifies the terms of the loan Blanket transaction. lien Commerc The cost of accounts payable paid before the expiration of the discount period. ial paper This financial instrument uses a borrowing firm's entire inventory of low-priced, fast selling and Commit fungible products to secure a short-term loan, and allows the borrower to sell items from inventory ment fee without the lender's permission. Discount A fee charged by a financial institution providing a guaranteed, or revolving, line of credit, on the interest unused balance of a revolving line of credit. loan A form of unsecured short-term financing used by large, extremely creditworthy business Factoring organizations. Free A financial transaction in which a firm sells its accounts receivable to a third party at a discount trade from their face value, and recourse is transferred to the purchaser. credit The rate of interest charged by banks on large loans made to their most creditworthy short-term Prime business borrowers. rate Short-term obligations, such as wages and payroll taxes, that have been incurred and are due to be Promisso paid in the near future. ry note Short- A loan in which the interest is paid at the beginning of the loan period. term credit 18 match the correct term for each of the following descriptions. Descriptions Terms Examples of these instruments include trade credit, accruals, short-term bank loans, and Accruals commercial paper. A document that provides evidence of the existence of a debt, and specifies the terms of the loan Blanket transaction. lien Commerc The cost of accounts payable paid before the expiration of the discount period. ial paper This financial instrument uses a borrowing firm's entire inventory of low-priced, fast selling and Commit fungible products to secure a short-term loan, and allows the borrower to sell items from inventory ment fee without the lender's permission. Discount A fee charged by a financial institution providing a guaranteed, or revolving, line of credit, on the interest unused balance of a revolving line of credit. loan A form of unsecured short-term financing used by large, extremely creditworthy business Factoring organizations. Free A financial transaction in which a firm sells its accounts receivable to a third party at a discount trade from their face value, and recourse is transferred to the purchaser. credit The rate of interest charged by banks on large loans made to their most creditworthy short-term Prime business borrowers. rate Short-term obligations, such as wages and payroll taxes, that have been incurred and are due to be Promisso paid in the near future. ry note Short- A loan in which the interest is paid at the beginning of the loan period. term credit