1- Effective risk management policies enable banks to make calculated decisions over the deployment of - capital -assets - liabilities -equity 2- In which of the following sectors is it not likely that a bank could protect itself by using techniques such as syndication or credit derivatives? - Corporate banking - Investment banking - International banking - Retail banking 3- The potential risk of loss to a bank from adverse changes in the value of assets and labilities is known as: -Operational risk - Credit risk -Market risk -Reputational risk 4- The Basel Accord focuses primarily on setting requirements for which of the following? -Assets and liabilities. -Cash and deposits. -Capital and liquidity. - Equity and debt 5- A bank's risk committee would typically not be expected to review which of the following? ---Regulatory group-wide stress-testing results. - Internal stress-testing results. -Risk limits -Executive pay and renumeration. 6- Preventative action aimed at avoiding a breach of an organization's risk appetite would typically include all of the following except for: - decreasing equity capital. -use of derivatives or swaps -deceleration of growth -unwinding of positions 7- Which of the following is not a key element of the three ratios generally used by banks to understand non- performing bans? -Total loans and advances -Interest income -Provision for non-performing loans nuel loan 7- Which of the following is not a key element of the three ratios generally used by banks to understand non- performing bans? - Total loans and advances -Interest income -Provision for non-performing loans -Annual provision expense for non-performing loans