Question

Approving a customer credit purchase would be an example of which basic events processing function?

1) Input
2) Processing
3) Output
4) Feedback

Answer 1

Approving a customer credit purchase is an example of a processing function, where various checks such as credit history and payment capacity are done to arrive at a decision.

"The correct option is approximately option 2"

Step-by-step explanation:

When we talk about approving a customer credit purchase, we are referring to a business process crucial for sales and account management. This type of event falls under the category of a processing function. The processing function in the realm of basic events processing consists of taking an input, such as a customer's credit application, and then transforming it through a series of defined procedures or rules to reach a decision which results in an approval or denial.

The sequence of steps in a processing scenario like this typically includes verifying the customer's credit history, assessing their credit score, evaluating their purchase history, and considering their payment capacity. Once these steps are undertaken, the system or processing team applies the criteria set by the business to determine if the transaction is within acceptable risk parameters. It is only after the processing has occurred that the output, or the decision to approve or deny credit, is communicated.

To delineate further, other basic event processing functions exclude this as their primary action:

1. Input refers to data that is entered into a system, such as the initial customer credit application.
2. Output is the result of processing, in this case, the communication of the credit approval to the customer.
3. Feedback is the information that is sent back to the input source to adjust or improve the input or processing stages; for example, if a customer's credit is denied, feedback might be provided to help them understand why and how to improve their credit standing.