Which of the Following Is Part of the Supervisory Activities

question 46

Multiple Choice

Which of the following is part of the supervisory activities of APRA?

• A) Prudential review is the most important as it provides a detailed assessment of a FIs inherent risks and the adequacy of its risk management controls.
• B) Licensing is the last stage of APRA's supervision which ensures that only FIs that have the capacity to successfully operate can operate the market.
• C) Enforcement supervision is not part of APRA supervisory activity as it would involve enforcement teams to specifically intervene in the running of the FI.
• D) Entity financial analysis is the FIs own assessment of its financial position.

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Definitions:

Immediate Neighbors

Refers to the entities or elements directly adjacent to a central point or position, often used in spatial, geographical, or network contexts.

Evolutionary Motives

The underlying biological and genetic purposes that drive behaviors, believed to aid in survival and reproduction.

Physical Health

A state of well-being in which an individual is able to perform daily activities without limitations, pain or physical restrictions, often achieved through regular exercise, healthy diet, and sufficient rest.

Mental Health

The psychological state of someone who is functioning at a satisfactory level of emotional and behavioral adjustment; encompasses emotional, psychological, and social well-being.