Variables Important to Credit Scoring Models Include

question 12

Multiple Choice

Variables important to credit scoring models include

• A) age of company in years.
• B) negative public records.
• C) facility ownership.
• D) all of these.

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Definitions:

Standard Normal Random Variable

Represents a normal distribution with a mean of zero and a standard deviation of one, used in many statistical applications.

Area

The extent of a surface or piece of land, measured in square units.

Continuous Random Variables

Variables that can take on an infinite number of values within a given range. These values can represent measurements.

Probability Distributions

Mathematical functions defining the likelihood of different outcomes or values for a random variable.