Question

Smalltown Bank’s equipment that they use to sort and clear checks that have been deposited has...

Smalltown Bank’s equipment that they use to sort and clear checks that have been deposited has a breakdown. Smalltown is exposed to ____________.

a, Liquidity risk

b. operational risk

c. credit risk

d. insolvency risk

e. market risk

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Homework Answers

Answer #1

As per the details given in the information -
Correct answer is option- B
All other options are not the Answer

Operational risk - it is the risk of loss due to errors, damages caused by people, system or process.
In these question bank Equipment to sort and clear cheque is breakdown. It is a loss due to system.

I hope this clear your doubt.

Do give a thumbs up if you find this helpful.

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