
Ultimate access to all questions.
Which of the following statements about governance structure is/are not accurate?
I. Senior management has ultimate oversight responsibility and accountability for an entire institution.
II. Senior management should use scenario analysis, not stress testing, to evaluate an institution's risk decisions.
III. The board of directors has responsibility for implementing authorized stress testing activities.
IV. The board of directors can change an institution's capital levels and exposures following a review of stress test results.