The credit default spread method of valuation of a guarantee given by a parent company on behalf of its subsidiary involves estimating the value ____________. a) using credit default spread based on the credit rating of the subsidiary b) using credit default spread based on the credit rating of the guarantor c) based on probability of default d) of the guarantee using an option pricing model

The credit default spread method of valuation of a guarantee given by a parent company
on behalf of its subsidiary involves estimating the value ____________.
a) using credit default spread based on the credit rating of the subsidiary
b) using credit default spread based on the credit rating of the guarantor
c) based on probability of default
d) of the guarantee using an option pricing model
by

1 Answer

Answer :

a) using credit default spread based on the credit rating of the subsidiary
by

Related questions

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