Deal of The Day! Hurry Up, Grab the Special Discount - Save 25% - Ends In 00:00:00 Coupon code: SAVE25
Welcome to Pass4Success

- Free Preparation Discussions

CFA Institute ESG-Investing Exam - Topic 6 Question 33 Discussion

Which of the following would credit rating agencies (CRAs) most likely focus on in order to test how well an issuer's management uses the assets under its control to generate sales and profit?
A) Efficiency ratios
B) Capital structure analysis
C) Profitability and cash flow analysis

CFA Institute ESG-Investing Exam - Topic 6 Question 33 Discussion

Actual exam question for CFA Institute's ESG-Investing exam
Question #: 33
Topic #: 6
[All ESG-Investing Questions]

Which of the following would credit rating agencies (CRAs) most likely focus on in order to test how well an issuer's management uses the assets under its control to generate sales and profit?

Show Suggested Answer Hide Answer
Suggested Answer: A

Contribute your Thoughts:

0/2000 characters
Josphine
1 day ago
I practiced a similar question where capital structure analysis was mentioned, but I feel like it’s not the main focus here.
upvoted 0 times
...
Lisbeth
6 days ago
I'm not entirely sure, but I remember something about profitability and cash flow analysis being important for CRAs.
upvoted 0 times
...
Hillary
12 days ago
I think the answer might be A) Efficiency ratios since they measure how well a company uses its assets.
upvoted 0 times
...

Save Cancel