20-101 the Basel II Accord Effective at Year-End 2007 in the United

question 21

Multiple Choice

20-101 The Basel II Accord effective at year-end 2007 in the United States

• A)includes provisions covering minimum capital requirements for credit,market,and interest rate risk.
• B)stresses the regulatory supervisory process by requiring regulators to be more involved in evaluating the bank's specific risk profile and environment.
• C)requires only banks on the regulatory problem bank list to disclose publicly the degree and depth of problem issues as well as their capital adequacy.
• D)All of the above.
• E)Answers B and C only.

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Definitions:

Productivity

The efficiency of production of goods or services, measured by the output per unit of input.

Community

A group of people living in the same place or having a particular characteristic in common.

Biases

Regular patterns of departure from normalcy or logical thinking in making judgments, leading to conclusions about others and circumstances in a way that lacks logic.

Attribution Process

The cognitive process by which individuals infer the causes of their own and others' behavior, attributing it to either internal dispositions or external situations.