Asked by
LaTasha Williams
on Nov 07, 2024Verified
ABC Co. is considering granting credit to a new corporate customer. ABC is concerned about the new customer's credit history. ABC would likely find each of the following useful EXCEPT ________________.
A) The customer's financial statements.
B) A Dun & Bradstreet report.
C) A Credited report.
D) A credit report from the customer's bank.
E) An aging of ABC's receivables.
Dun & Bradstreet Report
A report generated by Dun & Bradstreet that provides detailed financial and operational information on businesses, used for credit analysis.
Financial Statements
Formal records of the financial activities and condition of a business, person, or other entity, usually comprising the balance sheet, income statement, and cash flow statement.
Credit Report
A detailed report of an individual's credit history prepared by a credit bureau and used by lenders to determine a loan applicant's creditworthiness.
- Grasp the economic and operational considerations in extending credit to customers.
- Recognize the characteristics of creditworthy customers through the five Cs of credit.
Verified Answer
MT
Learning Objectives
- Grasp the economic and operational considerations in extending credit to customers.
- Recognize the characteristics of creditworthy customers through the five Cs of credit.