Question
Which of the following best describes the industry risk characteristic called dependence? A. If Industry G is dependent upon Industry H, a lender to Industry
Which of the following best describes the industry risk characteristic called "dependence"?
A. If Industry G is dependent upon Industry H, a lender to Industry G need only be concerned about H's industry risks.
B. If Industry G is dependent upon Industry H, a lender to a company in Industry G must consider not only G's industry risks, but H's as well.
C. If Industry G depends on multiple industries for its' supplies, the more risk it has for interruptions to occur in the supply chain.
D. If Industry G is dependent upon Industry H, a lender to either industry need only be concerned about the significant risks common to both industries.
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