The guarantor’s right to indemnifications a right to be reimbursed. Statement I The amount which is actually paid for the principal debtor with interest. Statement II Because, he is entitled to full indemnification from the principal debtor.

The correct answer is: C. Both statements are true.

A guarantor is a person who agrees to be responsible for the debts of another person, known as the principal debtor. If the principal debtor does not pay their debts, the guarantor is liable to pay

The guarantor has a right to be reimbursed by the principal debtor for any amounts that they have paid on the principal debtor’s behalf. This right is known as the right of indemnification.

The right of indemnification is a right to be repaid in full, including any interest or other costs that the guarantor has incurred.

Statement I is true because the guarantor is entitled to be reimbursed for the amount that they have actually paid for the principal debtor.

Statement II is true because the guarantor is entitled to full indemnification from the principal debtor.

Therefore, both statements are true.