Which of the following is true of credit scoring of suppliers?
A) It is frequently used in business because the scoring information is easy to obtain.
B) It is frequently used in business because scoring standards are too flexible.
C) It is frequently not used in business because most business transactions involve mercantile credit which cannot be scored.
D) It is frequently used in business because mercantile credit decisions are easily quantifiable.

Question

Quizplus · Accepted Answer

Credit scoring is often not used for suppliers because business transactions typically involve mercantile credit, which is more complex and not easily scored like consumer credit.

Which of the Following Is True of Credit Scoring of Suppliers