Which of the following is a consideration when a company decides which customers should receive credit?
A)The amount of potential business from the customer
B)The credit policies of competing firms
C)The results of credit screening
D)All are considerations that the company takes into account.

Question

Quizplus · Accepted Answer

All of these factors mentioned work together when a company decides which customers to extend credit to. The potential amount of business that the customer can bring in is important for risk assessment, while knowledge of credit policies from competing companies can help adjust one's own policies accordingly. Credit screening is also an important tool to assess a customer's creditworthiness before making a decision on whether to grant credit or not. Therefore, all of these factors are important in determining which customers should receive credit.

Which of the Following Is a Consideration When a Company