Why should I choose AnalystNotes?

AnalystNotes specializes in helping candidates pass. Period.

Basic Question 1 of 1

Which of the following is the most useful to an analyst assessing the creditworthiness of a company? Information related to ______.

A. operating cash flow
B. the scale and diversity of a company's operations
C. efficiency of a company's operations

User Contributed Comments 2

User Comment
robbiecow Credit Analysis involves the evaluation of the 4
"C's" of a company.
1. Character
2. Capacity
3. Collateral
4. Covenants

The four general categories of items considered in credit analysis are:
1. Scale and diversity
2. Op. efficiency
3. Stability and sustainability of prof. margins
4. DFL
Freddie33 DFL?
You need to log in first to add your comment.
You have a wonderful website and definitely should take some credit for your members' outstanding grades.
Colin Sampaleanu

Colin Sampaleanu

Learning Outcome Statements

describe the role of financial statement analysis in assessing the credit quality of a potential debt investment;

CFA® 2024 Level I Curriculum, Volume 3, Module 27.