Clfp credit - Study guides, Class notes & Summaries

CLFP EXAM (Credit Process and Financial Statement) with Questions & Answers Graded A

CLFP Exam Questions and Answers Latest Update | Scored A+. Oldest Record of Leasing correct answer2010 B.C. in Sumerian City of Ur using Clay tablets for ag tools, land & Water rights, oxen and other animals Code of Hammurabi correct answer1750 BC, acknowledged leasing of Personal Property. First Record of Leasing First Example of A True Lease correct answerShip Charters. Phoenicians leased the ship and crew requiring them to assume benefits and obligations of ownership Statue of Wales co...

What applicant attributes are you trying to learn about when underwriting a deal? - 1.) The desire to repay the debt 2.) the financial ability to make payments 3.) The reserves to withstand unexpected setbacks What are the four (4) C's of Credit? - 1.) Character: the desire to pay back debt 2.) Cash Flow: Ability to make payments 3.) Capital: Ability to withstand setbacks 4.) Collateral: Ability to liquidate to recover investment when the initial three (3) C's fail What are common cred...

What are the Five C's of Credit & describe them - ️️Character- Lessee's reputation and performance on past obligations Cash Flow- Does the lessee have the capacity to repay? Capital- Does the lessee have the ability to withstand a setback? Collateral- What is the value of the asset securing the lease? Conditions- Terms of the contract, economic, industry What are the five areas of focus for financial ratios? - ️️1. Profitability 2. Activity 3. Liquidity 4. Leverage 5. Cas...

CLFP EXAM - History & Purpose of Leasing Currently how big is the leasing industry? - Correct answer-American companies acquire $1 billion in equipment each year of which 55% is leased. What % of companies lease? - Correct answer-8 of 10 How old is leasing? - Correct answer-4000 years ago the Sumerians produced leases on clay tablets for ag tools, water rights and animals. The Code of Hammurabi is an ancient record of Babylonian dating back to 1700 bc What is the Statue of Whales? - Corr...

CLFP Terms 4 Questions and Answers Latest Update | Graded A+. What information is reported on the income statement? correct answerIts a presentation of revenues and expenses for a specific time period (month, quarter, year). What information is reported on the statement of cash flows? correct answerIt shows cash receipts and payments during a specific period and includes non-cash expenses like depreciation and amortization. Equation for cash flow correct answer[net income + non-cash expense...

CLFP Exam - Credit Process and Financial Statement Latest Exam 2023

CLFP Exam - Credit Process and Financial Statement Latest Exam 2023

What are Lease versus buy considerations? - Tax Benefits Accounting & Financial Reporting Budgetary Minimize Cash Outlay Obsolescence What are Options when a lease terminates? - Variations of Purchase, Renew, Return What are Differences between operating and true leases? - Operating lease meets none of the of FASB 13 criteria and has characteristics of a usage or rental agreement. True Lease meets none of the criteria for a lease intended as security for tax purposes and it may Or may no...

The chance of not receiving money back in a timely manner and as agreed Credit Risk What are the Five C's of Credit & describe them Character- Lessee's reputation and performance on past obligations Cash Flow- Does the lessee have the capacity to repay? Capital- Does the lessee have the ability to withstand a setback? Collateral- What is the value of the asset securing the lease? Conditions- Terms of the contract, economic, industry Receive request, collect data, analysis, an...