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(a) What is the bank's motivation to allocate economic capital? Isn't regulatory capital sufficient to cover losses? (b) Why are traditional methods employed to
(a) What is the bank's motivation to allocate economic capital? Isn't regulatory capital sufficient to cover losses? (b) Why are traditional methods employed to determine the probability of default for corporate customers? (c) Why are credit scoring models employed predominantly for retail, small, and medium-sized enterprise customers? A B BIU X X x EE ABC 123 D C Il evigilation.monash.edu is sharing your screen. Stop sharing Hide PAGES 2 A $86-7561 ML (3+2.5+2=7.5 marks) E446 W X P
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