______________ Is Demonstrated by Scorecards That Allow Lenders to Score

question 106

Multiple Choice

______________ is demonstrated by scorecards that allow lenders to score potential borrowers based on prior statistics of other people's performance in paying their bills.

• A)Efficiency
• B)Technical alienation
• C)Calculability
• D)Predictability

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Definitions:

Expense

An outflow of cash or other valuable assets from a person or company to another entity in exchange for goods or services.

Deferral

Recognition of revenue or expenses in a period different from when the transaction actually occurred, usually related to prepaid expenses or unearned revenue.

Recognition

Recognition in accounting refers to the formal acknowledgment of a transaction or event in the financial statements, often involving the recording of revenue or expense.

Expense

Costs incurred by a business in the process of earning revenues.