Under the internal ratings based approach for risk weighted assets, for which of the following parameters must
each institution make internal estimates (as opposed to relying upon values determined by a national
supervisor):
The Options Theoretic approach to calculating economic capital considers the value of capital as being
equivalent to a call option with a strike price equal to:
Once the frequency and severity distributions for loss events have been determined, which of the following is
an accurate description of the process to determine a full loss distribution for operational risk?