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    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. Correct Answer Incorrect Answer
    B The rating agencies follow a thorough and transparent evaluation so as to lend credibility to their findings Correct Answer Incorrect Answer
    C Credit rating will guide the investor in selection of debt instrument. Correct Answer Incorrect Answer
    D High credit rating gives assurance to the investors about the safety of the instrument and minimum risk of bankruptcy. Correct Answer Incorrect Answer
    E None of these Correct Answer Incorrect Answer

    Solution

    All are true with regard to credit rating agencies.

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