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:

Discontinued Operations

Components of a business that have been disposed of or are classified as held for sale, and will not be continuing operations in the future.

Future Cash Flows

Estimated future financial earnings or expenses, which are used in various financial analyses to determine investment potential or project value.

Income Items

Generally refer to all the items that contribute to a company's net income, including revenue from sales, services, and other sources.

Reportable Segment

A component of a business that can be separately distinguished for financial reporting purposes, typically based on product line or geographic area.