Which one of the following are correct?

I. Trade credit is a spontaneous source of financing

II. There is no cost of trade credit

III. Factoring with recourse is off Balance Sheet financing

IV. Factoring involves the outright sale of receivables at discount to factor for obtaining funds

1
I II III IV
2
I III IV 
3
II III IV
4
More than one of the above
5
None of the above

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