Which of the Following Is NOT a Source of Operational

question 55

Multiple Choice

Which of the following is NOT a source of operational risk for an FI?

• A)Capital assets.
• B)Customer relationships.
• C)Technology.
• D)Employees.
• E)Positive duration gap.

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Definitions:

Depreciation Expense

The allocation of the cost of a tangible asset over its useful life, recognizing the decrease in value over time.

Lease Payments

Regular payments made by a lessee to a lessor for the use of an asset over a specified period.

Lease Inception

The point at which the lease agreement is executed, signifying the beginning of the lease term.

Related Liability

An obligation that is directly associated with the operating activities or financial situation of a business.