A Credit Analyst Is Going Over a Dun & Bradstreet

question 13

Multiple Choice

A credit analyst is going over a Dun & Bradstreet report on a potential new customer.The credit history shows that the company paid two of its many suppliers late within the last six months.The least likely conclusion to be drawn is

• A)that the company would be a poor credit risk.
• B)that the company is a good credit risk.
• C)that the company may have disputes with its supplier(s).
• D)that the company is experiencing a cash crisis.

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Definitions:

Food And Water

Essential nutrients and hydration necessary for survival and health in humans and animals.

Survival

The ability of a business or individual to continue operating or existing despite facing challenges or adversities.

Growth Stage

A phase in a product's life cycle characterized by rapid sales growth, increasing profit margins, and expansion of the market share.

Partnership Agreement

A legal document that outlines the rights, responsibilities, and profit and loss distribution among business partners.