Which of the Following Statements Is True

Multiple Choice

Which of the following statements is true?

A) A lender wishing to provide funds to a borrower residing in a foreign country only needs to consider the credit quality of the borrower.
B) A lender wishing to provide funds to a borrower residing in a foreign country only needs to consider the sovereign risk quality of the country in which the borrower resides.
C) A lender wishing to provide funds to a borrower residing in a foreign country should consider either the credit quality of the borrower or the sovereign risk quality of the country in which the borrower resides.
D) A lender wishing to provide funds to a borrower residing in a foreign country should consider both the credit quality of the borrower and the sovereign risk quality of the country in which the borrower resides.