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Which of the Following Statements Is False

Question 36

Multiple Choice

Which of the following statements is false?


A) The Basel II Accord measures operational risk as the operational value at risk with a 99.9% confidence level.
B) The Basel II Accord maintains the regulatory capital ratio at a minimum of 8% or risk adjusted assets.
C) The Basel II Accord allows for a greater use of a bank's internal models for risk assessment and the calculation of regulatory capital.
D) The Basel II Accord only considers credit and operational risk.

Correct Answer:

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