B Com Exam  >  B Com Questions  >  What is a credit rating agency?a)An agency th... Start Learning for Free
What is a credit rating agency?
  • a)
    An agency that provides loans to individuals and organizations
  • b)
    An agency that rates the creditworthiness of debt issuers
  • c)
    An agency that analyzes the profitability of businesses
  • d)
    An agency that offers financial advisory services to investors
Correct answer is option 'B'. Can you explain this answer?
Verified Answer
What is a credit rating agency?a)An agency that provides loans to indi...
A credit rating agency is an agency that rates the creditworthiness of debt issuers. These agencies assess the ability of debtors to pay back their interests and loan amounts on time and determine the probability of default. Credit rating agencies provide credit ratings to organizations such as companies, special purpose entities, state governments, local governmental bodies, non-profit organizations, and even countries. They do not provide credit ratings to individual consumers, as that is typically the role of credit bureaus. The ratings provided by credit rating agencies help investors and lenders evaluate the creditworthiness and risk associated with investing in debt securities issued by various entities.
View all questions of this test
Explore Courses for B Com exam

Top Courses for B Com

Question Description
What is a credit rating agency?a)An agency that provides loans to individuals and organizationsb)An agency that rates the creditworthiness of debt issuersc)An agency that analyzes the profitability of businessesd)An agency that offers financial advisory services to investorsCorrect answer is option 'B'. Can you explain this answer? for B Com 2025 is part of B Com preparation. The Question and answers have been prepared according to the B Com exam syllabus. Information about What is a credit rating agency?a)An agency that provides loans to individuals and organizationsb)An agency that rates the creditworthiness of debt issuersc)An agency that analyzes the profitability of businessesd)An agency that offers financial advisory services to investorsCorrect answer is option 'B'. Can you explain this answer? covers all topics & solutions for B Com 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for What is a credit rating agency?a)An agency that provides loans to individuals and organizationsb)An agency that rates the creditworthiness of debt issuersc)An agency that analyzes the profitability of businessesd)An agency that offers financial advisory services to investorsCorrect answer is option 'B'. Can you explain this answer?.
Solutions for What is a credit rating agency?a)An agency that provides loans to individuals and organizationsb)An agency that rates the creditworthiness of debt issuersc)An agency that analyzes the profitability of businessesd)An agency that offers financial advisory services to investorsCorrect answer is option 'B'. Can you explain this answer? in English & in Hindi are available as part of our courses for B Com. Download more important topics, notes, lectures and mock test series for B Com Exam by signing up for free.
Here you can find the meaning of What is a credit rating agency?a)An agency that provides loans to individuals and organizationsb)An agency that rates the creditworthiness of debt issuersc)An agency that analyzes the profitability of businessesd)An agency that offers financial advisory services to investorsCorrect answer is option 'B'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of What is a credit rating agency?a)An agency that provides loans to individuals and organizationsb)An agency that rates the creditworthiness of debt issuersc)An agency that analyzes the profitability of businessesd)An agency that offers financial advisory services to investorsCorrect answer is option 'B'. Can you explain this answer?, a detailed solution for What is a credit rating agency?a)An agency that provides loans to individuals and organizationsb)An agency that rates the creditworthiness of debt issuersc)An agency that analyzes the profitability of businessesd)An agency that offers financial advisory services to investorsCorrect answer is option 'B'. Can you explain this answer? has been provided alongside types of What is a credit rating agency?a)An agency that provides loans to individuals and organizationsb)An agency that rates the creditworthiness of debt issuersc)An agency that analyzes the profitability of businessesd)An agency that offers financial advisory services to investorsCorrect answer is option 'B'. Can you explain this answer? theory, EduRev gives you an ample number of questions to practice What is a credit rating agency?a)An agency that provides loans to individuals and organizationsb)An agency that rates the creditworthiness of debt issuersc)An agency that analyzes the profitability of businessesd)An agency that offers financial advisory services to investorsCorrect answer is option 'B'. Can you explain this answer? tests, examples and also practice B Com tests.
Explore Courses for B Com exam

Top Courses for B Com

Explore Courses
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
10M+ students study on EduRev