The Role of the Credit Department Includes ________

question 73

Multiple Choice

The role of the credit department includes ________.

• A) approving all credit applications in order to avoid losing sales
• B) evaluating customers' credit applications to determine whether they meet the company's approval standards
• C) following unwritten approval standards for processing customers' credit applications
• D) collecting cash from customers

---

Definitions:

Financial Markets

Financial markets are platforms or systems that facilitate the buying, selling, and trading of financial securities, commodities, and other fungible items of value among various participants.

Money Markets

The section of the financial market in which financial instruments with high liquidity and very short maturities are traded, serving the need for short-term borrowing or lending.

T-Bills

Short-term government securities issued at a discount from the face value and maturing at par, typically used as a low-risk investment.

Money Market

A financial market for debt securities with maturities of less than 1 year (short term). The New York money market is the world’s largest.