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NEW QUESTION: 1
As part of designing a reverse stress test, at what point should a bank's business plan be considered unviable (ie the point where it can be considered to have failed)?
A. Where large known losses have been incurred on the bank's positions
B. Where EBITDA for the year is forecast to be negative
C. When the realization of risks leads market participants to lose confidence in the bank as a counterparty or a business worthy of funding
D. When the regulatory capital of the bank has been exhausted
Answer: C
Explanation:
Explanation
As part of a reverse stress test, a firm has to identify and assess the scenarios most likely to cause it to fail, or in other words using the language used by the FSA in the UK, for its current business plan to become unviable. A firm's business plan should be considered to become unviable at the point that crystallizing risks cause the market to lose confidence it it, with the consequence that counterparties and other stakeholders are unwilling to transact with it or provide capital to the firm and, where releant, that existing counterparties may seek to terminate their contracts. Recent experience suggests that this point is reached well before a firm's regulatory capital is exhausted.
Large known losses, or negative EBITDA (earnings before interest , tax, depreciation and amortization) may be indicators or contribute to the loss of confidence, but do not of themselves make the current business plan unviable. Therefore Choice 'd' is the correct answer.
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B. Handle them during the Integration Sprint preceding the Release Sprint.
C. Ensure every Increment meets them.
D. Assign them to the lead developers on the team.
Answer: C
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B. Encryption analysis can be used by attackers to monitor VPN tunnels
C. Encryption introduces additional processing requirements by the CPU
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Answer: A
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If you encounter errors after transferring the batch using the Load Initial Balances process, what must you do?
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B. Correct the errors, delete the batch, create a new batch, validate and transfer the batch again.
C. Correct the errors, create a new batch, validate ant transfer the batch again.
D. Undo the batch, correct the errors, validate and transfer the batch again.
Answer: D
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