easy · Frm Part 2 Operational Risk
Which of the following describes 'Self-Assessment Bias' in the Risk and Control Self-Assessment (RCSA) process?
- Overestimating the likelihood of tail events.
- Units under-scoring risk or over-scoring control effectiveness to avoid scrutiny.
- Calculating the mean of the severity distribution incorrectly.
- Relying exclusively on external data for scoring.
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