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Exam (elaborations)

RSK SECOND SEMESTER ASSIGNMENT 1 DUE 31 AUGUST AND 2 DUE 22 SEPTEMBER

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THERE IS TWO ATTACHMENTS IN THIS, ASSIGNMENT 1 AND ASSIGNMENT 2 BOTH OF THEM ARE 1ST ATTEMPTS

Institution
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Institution
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Uploaded on
August 23, 2023
Number of pages
11
Written in
2023/2024
Type
Exam (elaborations)
Contains
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QUIZ

Assessment 1
Open block drawer
Started on Saturday, 19 August 2023, 7:27 PM
State Finished
Completed on Saturday, 19 August 2023, 7:51 PM
Time taken 24 mins 22 secs
Question 1
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Question text
Indicate the correct statement regarding risk and risk management.




a.
Risk management should be focussed on the upside of possible risk events.




b.
A risk event with a high probability of occurring is considered a high-risk event.




c.
Risk management should be focussed on loss preventing measures.




d.
Risk should primarily be viewed as a negative event.

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Question text
Option contracts are used …




a.
mainly as anticipatory hedges


b.
to hedge against price changes


c.
to hedge against operational risk




d.
to finance financial risks

Question 3
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Question text
Derivatives aim to cover … risk.




a.
legal


b.
process


c.
strategic


d.

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