Why would a company choose to factor itsreceivables, given that it will get less money than thereceivables are worth?

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter16: Working Capital Policy And Short-term Financing
Section: Chapter Questions
Problem 14QTD
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Why would a company choose to factor its
receivables, given that it will get less money than the
receivables are worth?

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