Multiple choice technology testing

Credit limit is proportional to the credit class of the customer

  1. True

  2. False
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Credit limit is not directly proportional to credit class. While credit class influences limit determination, multiple other factors play significant roles including payment history, account tenure, income verification, and business-specific rules. A higher credit class typically allows higher limits but the relationship is not strictly proportional.

AI explanation

A customer's credit limit is typically set based on a fixed credit policy, risk assessment, or negotiated terms rather than scaling directly (proportionally) with their credit class rating. Credit class is one input used in determining limits, but the relationship isn't a strict proportional formula, so the statement is false.

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