Consider the following statements: Statement-I: Syndicated lending spreads the risk of borrower default across multiple lenders. Statement-II: The syndicated loan can be fixed amount/lump sum of funds, but cannot be a credit line. Which one of the following is correct in respect of the above statements?
Question:
Consider the following statements: Statement-I: Syndicated lending spreads the risk of borrower default across multiple lenders. Statement-II: The syndicated loan can be fixed amount/lump sum of funds, but cannot be a credit line. Which one of the following is correct in respect of the above statements?
Consider the following statements: Statement-I: Syndicated lending spreads the risk of borrower default across multiple lenders. Statement-II: The syndicated loan can be fixed amount/lump sum of funds, but cannot be a credit line. Which one of the following is correct in respect of the above statements?
Options
Answer: (c) Statement-I is correct, but Statement-II is incorrect
Explanation:
Syndicated lending indeed spreads risk, but loans can also be structured as revolving credit lines, making Statement-II incorrect.
Explanation:
Syndicated lending indeed spreads risk, but loans can also be structured as revolving credit lines, making Statement-II incorrect.
👉 Want AI explanation? Open in MCQ App
Recommended articles
- Hppsc Previous Year Questions (2021–2025) Free Practice — Practice HPPSC Himachal Pradesh PSC Prelims Paper 1 Previous Year Questions (2021–2025) online at UPSC Quizroom. Bilingual Hindi-English, AI explanations,…
- Daily Upsc Mcq Strategy — '); animation: float 20s ease-in-out infinite; pointer-events: none; } @keyframes float { 0%, 100% { transform: translate(0%, 0%) rotate(0deg); } 50% {…
- Free Cat Previous Year Questions Guide — Master CAT 2025 with free previous year questions. Practice 1000+ PYQs, mock tests, and detailed solutions. Complete guide to CAT preparation using past…