Which of the following statements are true about due diligence?
A) The seller should perform due diligence on its own operations.
B) The seller should perform due diligence on the buyer.
C) The seller should perform due diligence on the lender used by the buyer to finance the transaction.
D) A & B
E) A, B, & C

Question

Quizplus · Accepted Answer

Option A is true as the seller should perform due diligence on its own operations to identify any potential risks or issues that could affect the sale. Option B is also true as the seller should perform due diligence on the buyer to assess their financial status and ability to close the transaction. Option C is not always necessary and would depend on the specific circumstances of the deal. Therefore, options A and B are true and the correct answer is D.

Which of the Following Statements Are True About Due Diligence