When trying to assess the credit standing of a customer, a financial analyst could use which of the following sources?
A) credit ratings and reports from credit agencies
B) ratio calculations
C) financial statements of the credit applicant
D) all of the above

Question

Quizplus · Accepted Answer

A financial analyst could use a combination of credit ratings and reports from credit agencies, ratio calculations, and financial statements of the credit applicant to assess the credit standing of a customer. Each source provides valuable information that can help the analyst make an informed decision about whether to approve or deny credit to the applicant. Therefore, all of the above sources are useful for assessing credit standing.

When Trying to Assess the Credit Standing of a Customer