Forrest Fennell is planning to invest in Capital City Bank.He is examining the ratios of nonperforming loans to total loans and leases and the provision for loan losses to total loans and leases.What type of risk is Forrest attempting to measure with these ratios?

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Forrest Fennell is examining the ratios of nonperforming loans to total loans and leases and the provision for loan losses to total loans and leases to measure credit risk. This type of risk relates specifically to the possibility of borrowers failing to repay their loans or meeting their contractual obligations, leading to potential losses for the bank.

Forrest Fennell Is Planning to Invest in Capital City Bank