While credit scoring provides sound credit information, it is frequently NOT used in business because
A) scoring standards are too rigid.
B) the scoring information is difficult to obtain.
C) most business transactions involve mercantile credit which cannot be scored.
D) mercantile credit decisions are easily quantifiable.

Question

Quizplus · Accepted Answer

Mercantile credit, which involves extending trade credit to customers, is often not based on past credit history and is therefore difficult to score. Instead, businesses may rely on industry experience, payment history, and other factors to make credit decisions.

While Credit Scoring Provides Sound Credit Information, It Is Frequently