20-107 Which of the Following Is NOT a Criticism of the Basel

20-107 Which of the following is NOT a criticism of the Basel I risk-based capital ratio?

A) All commercial loans are given equal weight regardless of the credit risk of the borrower.
B) The ratio incorporates off-balance-sheet risk exposures.
C) Grouping assets into different risk categories may encourage balance sheet asset allocation games.
D) The treatment does not include interest rate or foreign exchange risk.
E) The weights in the four risk categories imply a cardinal measurement of relevant risk between each category.