Credit management - Quiz
  • 1. How many main groups of credit managers are identified based on legal and jurisdictional knowledge?
A) Four
B) Three
C) Two
D) Five
  • 2. Which of the following is identified as a specific type of credit manager in the text?
A) International credit manager
B) Construction credit manager
C) Retail credit manager
D) Corporate credit manager
  • 3. What is considered a specialist area of credit management requiring specific skills?
A) Retail credit management
B) Construction credit management
C) Consumer credit management
D) Commercial credit management
  • 4. What kind of legal knowledge is required for a construction credit manager?
A) Security and lien law
B) Bankruptcy litigation law
C) Consumer protection law
D) International trade law
  • 5. Which professional organization serves credit managers in Australia?
A) Australian Institute of Credit Management
B) Credit Institute of Canada
C) Chartered Institute of Credit Management
D) National Association of Credit Management
  • 6. What is the official designation for credit professionals in Canada?
A) Fellow Credit Institute
B) Certified Credit Professional
C) Chartered Credit Executive
D) Certified Credit Business Associate
  • 7. What was the former name of the Certified Credit Professional designation in Canada?
A) Credit Institute Fellow
B) Certified Credit Manager
C) Fellow Credit Institute
D) Chartered Credit Professional
  • 8. What is the name of the French association for credit managers?
A) Chartered Institute of Credit Management
B) Association Française des Credit Managers
C) Australian Institute of Credit Management
D) National Association of Credit Management
  • 9. When did the Chartered Institute of Credit Management in the UK receive its Royal Charter?
A) 1 January 2005
B) 1 January 2010
C) 1 January 2020
D) 1 January 2015
  • 10. Which organization provides certification for credit managers in the United States?
A) Australian Institute of Credit Management
B) National Association of Credit Management
C) Credit Institute of Canada
D) Chartered Institute of Credit Management
  • 11. Which of the following is a certification level offered by the National Association of Credit Management?
A) Certified Credit Executive
B) Chartered Credit Manager
C) Fellow Credit Institute
D) Certified Credit Professional
  • 12. Besides lien law, what other ability is essential for construction credit managers?
A) Calculating material waste
B) Understanding the construction pyramid
C) Negotiating union contracts
D) Creating architectural designs
  • 13. In the construction industry, who might a credit manager need to deal with?
A) Both white and blue collar staff
B) Only executive management
C) Only government inspectors
D) Only site laborers
  • 14. What practical activity might a construction credit manager be expected to perform?
A) Equipment maintenance
B) Architectural drafting
C) Safety inspections
D) Site visits
  • 15. Which group of credit managers is NOT specifically mentioned as one of the three main types?
A) Commercial credit managers
B) Government credit managers
C) Consumer credit managers
D) Construction credit managers
  • 16. What is a common method for measuring cash flow efficiency?
A) Price-to-earnings ratio
B) Days sales outstanding (DSO)
C) Return on investment (ROI)
D) Earnings before interest and taxes (EBIT)
  • 17. What happens when a company uses a structured credit policy?
A) It creates an audit trail
B) It reduces the need for credit managers
C) It forces customers to pay in cash
D) It increases legal expenses
  • 18. What is a responsibility of a credit manager regarding delinquent customers?
A) Offering additional credit
B) Initiating legal or recovery actions
C) Ignoring payment delays
D) Approving new sales orders
  • 19. Which of the following is an example of a security interest?
A) Bad debt write-offs
B) Credit rating criteria
C) Employee bonuses
D) Personal guarantees
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