When Assessing the Creditworthiness of New Entrepreneurs, Lending Institutions Review

question 71

Multiple Choice

When assessing the creditworthiness of new entrepreneurs, lending institutions review the "Five C's." The money the entrepreneur has invested in the business, which is an indication how much is at risk if the business should fail, is known as:

• A)capacity
• B)capital
• C)collateral
• D)conditions

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Definitions:

Applicant's Decision

The choice made by a job candidate regarding whether to accept a job offer or pursue opportunities elsewhere.

Organization

An entity formed by a group of people to achieve a common goal, often structured and regulated by a form of governance.

Recruitment Strategies

The methods and approaches used by employers to attract and hire candidates for positions within their organization.

Formal Mentoring

A structured program where more experienced individuals provide guidance, knowledge, and support to less experienced individuals within a professional context.