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credit and collection policies

1. Describe the three steps involved in evaluating credit applicants.
2. What are the primary sources of information about the creditworthiness of credit applicants?
3. Describe the five Cs of credit used in evaluating the creditworthiness of a credit applicant.
4. How does a firm’s required rate of return on investment enter into the analysis of changes in its credit and collection policies?

Last Updated on February 10, 2019

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