The American single-name-note and cash-discount method of lending, however (and for that matter the overdraft plan in so far as adopted), necessitates a special type of credit study. Since the goods do not accompany the draft or note, thus evidencing an actual sale, the superficial test of liquidating power which is thereby furnished disappears. It is necessary to obtain a test of liquidating power from some other sources, and this can be done by making a careful analysis of the business establishment from the credit standpoint. Hence the growth of credit-analysis departments in American banks upon a scale considerably superior to that which exists in many foreign countries. The purpose of American credit-analysis is to ascertain the conditions under which a business is operating, the probable amount of its requirements, the sums which it can be expected to pay readily out of current operations, and, as a corollary from these items of information, the conclusion whether advances that have been applied for ought to be granted or not. This type of credit analysis is at times scientific in the highest degree, and when accompanied by the best quality of banking prudence and judgment undoubtedly gives rise to a higher type of banking loan than that which has prevailed in most foreign countries. The expressed opinion of some leading American bankers is that "prime" single-name notes of the best American business houses are probably the best type of commercial paper in existence - certainly not exceeded even by the "prime" acceptances of foreign countries. At all events, the difference in the method of lending has important results which are reflected in business, and the distinction which has been drawn between our own and foreign practice is therefore worthy of careful study.