Which of the following is not rated by credit rating agencies ?

Correct answer: A. Shares

  • A. Shares
  • B. Debentures and bonds
  • C. Commercial paper
  • D. Government securities

Explanation

Credit-rating agencies assess debt and money-market instruments such as bonds, debentures, commercial paper and government securities for credit risk. Ordinary shares are generally not given credit ratings because they represent ownership rather than a repayment obligation.

Written and checked by , editorLast updated
Report an error

The more specific you are, the faster it gets fixed. A source beats an opinion.

Prefer email? [email protected]

About Microeconomics

Individual consumers, firms and markets are examined through demand and supply, elasticity, consumer choice, production, costs, revenue and the determination of prices and output. The topic also covers market structures such as perfect competition, monopoly and oligopoly, plus market failure, externalities and the distinction between microeconomic decisions and economy-wide outcomes.

Practise Microeconomics

1,742 free Microeconomics MCQs from Economics, each with the correct answer and an explanation. Unlimited attempts, no account needed.

Discussion

Stuck on an option, or know a faster way to get there? Ask or explain it here.

No comments yet. Be the first to explain this one.

Exams that ask Economics questions like this

Economics is on 3 papers prepared for on TestUstad, and all of them draw the same bank, so this question is worth knowing for every one of them.

More Microeconomics questions