Which One of the Following Best Defines the Term Credit

question 36

Multiple Choice

Which one of the following best defines the term credit scoring?

• A)Categorizing customers into groups depending on the length of time it takes each customer to pay for purchases
• B)Compiling a list of accounts receivable segregated by the length of time each receivable has been outstanding
• C)Evaluating the opportunity costs of a credit policy
• D)Process of quantifying the probability of default when granting credit to customers
• E)Tracking of both the number and the size of customer orders over a period of time

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Definitions:

Faulty "Tapes"

An analogy for negative self-talk or beliefs that are ingrained in one's thought patterns, often contributing to psychological distress.

Faulty Response

An incorrect or inappropriate reaction or answer given in response to a question, situation, or stimulus.

Direct Coping

A method of dealing with stress by tackling problems head-on and attempting to solve them directly.

Indirect Coping

Strategies that involve dealing with stress and problems in a less direct manner, such as through avoidance, distraction, or seeking support from others.