The BIS Definition: "The Risk of Loss Resulting from Inadequate

question 70

Multiple Choice

The BIS definition: "the risk of loss resulting from inadequate or failed internal processes, people, and systems or from external events," encompasses which of the following risks?

• A)Credit risk and liquidity risk
• B)Operational risk and technology risk
• C)Credit risk and market risk
• D)Technology risk and liquidity risk
• E)Sovereign risk and credit risk

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Definitions:

Probability

A measure of the likelihood that an event will occur, expressed as a number between 0 and 1, where 0 indicates impossibility and 1 indicates certainty.

Chance

The occurrence of events without any predictable pattern or cause, often expressed in terms of probability.

Hit

In computing and data retrieval, a hit refers to a request for data or transaction that matches specific criteria.

Probability

A measure of the likelihood of a particular event occurring, ranging from 0 (impossible) to 1 (certain).