The Basic Factors to Be Evaluated in the Credit Evaluation

question 221

Multiple Choice

The basic factors to be evaluated in the credit evaluation process, the five Cs of credit, are:

• A) Conditions, control, cessation, capital, and capacity.
• B) Conditions, character, capital, control, and capacity.
• C) Capital, collateral, control, character, and capacity.
• D) Character, capacity, control, cessation, and collateral.
• E) Character, capacity, capital, collateral, and conditions.

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Definitions:

Milgram Experiment

A psychological experiment conducted by Stanley Milgram in the 1960s to study obedience to authority, where participants were instructed to administer electric shocks to another person.

Stanford University Prison Experiment

A psychological study conducted by Philip Zimbardo in 1971 at Stanford University, where students were assigned roles of prisoners and guards to explore the effects of perceived power.

Generalization

Drawing a conclusion about a certain characteristic of a population based on a sample from it.

Logical Support

The provision of reasons or evidence to justify a claim or argument.