When Banks Calculate the Losses the Institution Would Incur If

question 100

Multiple Choice

When banks calculate the losses the institution would incur if an unusual combination of bad events happened,the bank is using the ________ approach.

• A)stress-test
• B)value-at-risk
• C)trading-loss
• D)maximum value

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Definitions:

Agenda

A list, plan, or outline of things to be considered or done at a meeting or through a project or course of action.

Decision Makers

Individuals or groups responsible for making choices that affect outcomes or determine strategies.

Proactive Tactics

Strategies employed to anticipate and address problems or opportunities before they arise, rather than reacting to them as they occur.

Agent-Target Relationship

describes the dynamic between an individual or entity (agent) that takes action and another individual or entity (target) that is affected by those actions.