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Which of the Following Statements Regarding Total Debt Service Ratio

Question 77

Multiple Choice

Which of the following statements regarding total debt service ratio (TDSR) are untrue?


A) TDSR = total debt services minus exports
B) The ratio of a country's principal repayments and interest paid to the value of its exports.
C) The larger the debt repayments are in relation to export revenues, the greater the probability that the country will have to reschedule its debt.
D) There should be a positive relationship between the size of the total debt service ratio and the probability of rescheduling.
E) None of the statements are untrue.

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