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NEW QUESTION: 1
Which of the following scenarios offer an example of wrong way risk?
A. A bank sells EUR put I USD call ATM options with an expiry date of 6 months and afterwards volatility moves up to substantially higher levels
B. A bank purchases credit protection on highly-rated tranches of US mortgage-backed securities from a US mortgage bank
C. A bank enters into a receiver's swap while interest rates are increasing
D. A bank sells protection on the iTraxx main index at a level of 25 bps and shortly afterwards the index crosses the 200 bps level
Answer: B
NEW QUESTION: 2
The chief audit executive (CAE) routinely provides activity reports to the board during quarterly board meetings. Senior management has asked to review the CAE's board presentation before each board meeting so that any issues or questions can be discussed beforehand. The CAE should:
A. Not provide activity reports to senior management because such matters are the sole province of the board.
B. Provide the activity reports to senior management as requested and discuss any issues that may require action to be taken.
C. Provide information to senior management that pertains only to completed audit engagements and observations available in published engagement final communications.
D. Disclose only those matters in the activity reports that pertain to expenditures and financial budgets of the internal audit activity.
Answer: B
NEW QUESTION: 3
According to Joint Commission standards, the safety program must include all of the following EXCEPT:
A. Monthly safety committee meetings
B. Planned response to natural disasters
C. Orientation and continuing education on safety issues
D. Review of safety policies and procedures for all departments
Answer: A
NEW QUESTION: 4
On a _________________ Belt screens variables, or various inputs, to analyze their relative impact on the output of concern.
A. Weighted Scale
B. X-Y Matrix
C. Poisson Chart
D. Multi-Vari Chart
Answer: D