Multiple Choice
Which of the following statements is true in the context of Basel II?
A) The standardised approach is the most basic approach to calculating operational risk capital.
B) FIs can choose whether or not to hold operational risk capital.
C) In the basic indicator approach, operational risk capital is calculated as a fixed percentage of an FI's gross income figure, whereby gross income is defined as gross interest income plus gross non-interest income.
D) None of the listed options are correct.
Correct Answer:

Verified
Correct Answer:
Verified
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