Deal of The Day! Hurry Up, Grab the Special Discount - Save 25% - Ends In 00:00:00 Coupon code: SAVE25

- Free Preparation Discussions

PRMIA 8010 Exam - Topic 3 Question 87 Discussion

Actual exam question for PRMIA's 8010 exam

Question #: 87
Topic #: 3

[All 8010 Questions]

According to the implied capital model, operational risk capital is estimated as:

AOperational risk capital held by similar firms, appropriately scaled

BTotal capital less market risk capital less credit risk capital

CCapital implied from known risk premiums and the firm's earnings

DTotal capital based on the capital asset pricing model

Show Suggested Answer

Suggested Answer: B

Operational risk capital estimated using the implied capital model is merely the capital that is not attributable to market or credit risk. Therefore Choice 'b' is the correct answer. All other responses are incorrect.

by Page at May 29, 2026, 09:52 AM

Limited Time Offer

25%

Off

Get Premium 8010 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

Submit Cancel

Delsie

6 hours ago

I don't think it's D because the capital asset pricing model is more about expected returns, not directly about operational risk capital.

upvoted 0 times

...

Teri

5 days ago

I'm a bit confused because I feel like option C could also be correct since it mentions known risk premiums, but I can't recall the details clearly.

upvoted 0 times

...

Rolland

11 days ago

I remember practicing a question similar to this, and I think it was about calculating total capital after subtracting market and credit risks, which might point to option B.

upvoted 0 times

...

Tawanna

16 days ago

I think the implied capital model focuses on how much capital firms need for operational risk, but I'm not sure if it's option A or B.

upvoted 0 times

...