Question

Which of the following is not true with regard to credit rating agency?

A Credit rating is an opinion formed by credit evaluation of a borrower’s potential to repay debt.
B The rating agencies follow a thorough and transparent evaluation so as to lend credibility to their findings
C Credit rating will guide the investor in selection of debt instrument.
D High credit rating gives assurance to the investors about the safety of the instrument and minimum risk of bankruptcy.
E None of these
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