You Are Plotting Intersection Points Between Measures of Frequency (On

question 48

Multiple Choice

You are plotting intersection points between measures of frequency (on an x-axis) and severity (on a y-axis) and visually plotting intersection points.Each point represents the relationship between the frequency of the exposure and the severity of the exposure for each risk measured.What are you preparing?

• A)A risk profile
• B)A forced matrix
• C)A risk map
• D)Kernel's risk matrix
• E)A risk management matrix

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Definitions:

Business Lending

The process by which businesses obtain funds through loans or lines of credit from banks or other financial institutions to finance their operations or expansion.

Home Mortgage Lending

The process by which banks and other financial institutions loan money to consumers for the purpose of purchasing homes, using those homes as collateral for the loans.

Preferred Stockholders

Investors who own shares of preferred stock in a company, granting them a priority over common stockholders in dividend payments and assets upon liquidation.

Fixed Dividends

Regular, predetermined dividend payments made by a corporation to its preferred stockholders.