American Bankers Association Exam CRCM Topic 1 Question 65 Discussion

Actual exam question for American Bankers Association's CRCM exam

Question #: 65
Topic #: 1

[All CRCM Questions]

What is the definition of a ''small'' business under CRA rules?

AEmploys fewer than 50 people

BHas assets of less than $5 million

CProduces gross annual revenues of $1 million or less

DDoes not generally have access to regional or national credit markets

Show Suggested Answer

Suggested Answer: B

by Leota at Feb 04, 2023, 05:15 PM

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Lorrine

28 days ago

Ah, the age-old question of what defines a 'small' business. Is it the number of employees, the assets, the revenue, or the ability to get a loan? Sounds like a job for the CRA bureaucrats!

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Mica

29 days ago

You know what they say, 'Small business, big dreams!' Or is it 'Small business, big headaches?' Either way, it's all relative, folks.

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Carolynn

1 months ago

Hmm, I'm going to go with A. Fewer than 50 employees sounds about right for a 'small' business. Size matters, am I right?

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Mitsue

17 days ago

A) Employs fewer than 50 people

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Adelle

1 months ago

B has to be the right answer. Less than $5 million in assets is a pretty good way to define a small business.

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Earlean

3 days ago

Yeah, it makes sense to use assets as a criteria for defining a small business.

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Olga

13 days ago

I agree, having assets of less than $5 million does make sense for defining a small business.

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Benedict

16 days ago

I think B is the correct answer. Less than $5 million in assets seems like a good definition for a small business.

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Sharen

1 months ago

D makes the most sense to me. A business that doesn't have access to regional or national credit markets is what I'd consider 'small'.

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Galen

5 days ago

I would go with A, as the number of employees is a good indicator of a small business.

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Ben

12 days ago

I think C is more appropriate, based on the gross annual revenues.

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Caren

28 days ago

I agree, D seems like the most accurate definition of a small business.

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Galen

2 months ago

I think it's a business that produces gross annual revenues of $1 million or less.

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Dorthy

2 months ago

I think the correct answer is C. $1 million or less in gross annual revenue seems like a reasonable definition of a 'small' business under CRA rules.

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Shaun

1 months ago

I think it's a combination of all the options, not just one.

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Lottie

2 months ago

I agree, C) Produces gross annual revenues of $1 million or less sounds right.

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Chanel

2 months ago

I believe it's a business with assets of less than $5 million.

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Paola

2 months ago

I think a small business is one that employs fewer than 50 people.

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