Multiple Choice
Which of the following are criticisms of a risk-based capital ratio?
A) The risk-class categories might not adequately reflect riskiness.
B) The 8% risk-based capital requirement has not created a level competitive playing field across banks.
C) Credit risk portfolio diversification opportunities are largely ignored.
D) All of the listed options are correct.
Correct Answer:
Verified
Correct Answer:
Verified
Q49: Market to book ratio is a ratio
Q50: Loan loss reserve is:<br>A)the accumulated value of
Q51: Choose the correct capital adequacy ratio(s):<br>A)Total capital
Q52: Current credit exposure is the risk that
Q53: The leverage ratio is calculated as assets
Q55: Why is a regulatory capital charge against
Q56: Netting is the process under a netting
Q57: In the standardised approach to operational risk
Q58: Assume you are presented with the
Q59: Common equity Tier 1 capital ratio