Which of the following is not true with regard to

All are true with regard to credit rating agencies.

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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