Free practice test

Credit Analyst Practice Test

Check what you know about the credit analyst job with 15 free questions and instant explanations.

Updated By the Career Education Institute Curriculum Team
About this practice test

15 multiple-choice questions on credit analyst knowledge, safety and vocabulary. Submit to see your score and explanations, or open any question’s answer as you go. Nothing is saved or shared.

Question 1 of 15DSCR measures:
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Answer: Ability to repay debt. Coverage.

Question 2 of 15LTV compares:
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Answer: Loan to value. Ratio.

Question 3 of 15The five Cs include:
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Answer: Capacity. Credit factors.

Question 4 of 15A covenant is:
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Answer: A loan condition. Condition.

Question 5 of 15Collateral is:
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Answer: Assets securing a loan. Security.

Question 6 of 15Which term matches this definition: “Loan condition.”
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Answer: Covenant. Covenant: Loan condition.

Question 7 of 15What does “Leverage” mean?
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Answer: Debt compared to equity.. Leverage: Debt compared to equity.

Question 8 of 15Which term matches this definition: “Written lending recommendation.”
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Answer: Credit memo. Credit memo: Written lending recommendation.

Question 9 of 15What does “LTV” mean?
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Answer: Loan-to-value ratio.. LTV: Loan-to-value ratio.

Question 10 of 15Which term matches this definition: “Ability to pay short-term bills.”
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Answer: Liquidity. Liquidity: Ability to pay short-term bills.

Question 11 of 15What does “Risk rating” mean?
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Answer: Loan risk grade.. Risk rating: Loan risk grade.

Question 12 of 15Which term matches this definition: “Assets securing a loan.”
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Answer: Collateral. Collateral: Assets securing a loan.

Question 13 of 15What does “Watch list” mean?
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Answer: Loans with concerns.. Watch list: Loans with concerns.

Question 14 of 15Which term matches this definition: “Earnings measure.”
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Answer: EBITDA. EBITDA: Earnings measure.

Question 15 of 15What does “Guarantor” mean?
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Answer: Person backing a loan.. Guarantor: Person backing a loan.

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