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Basic Question 1 of 20

Credit risk refers to potential loss of ______ stemming from a borrower's failure to meet a contractual obligation.

A. principal
B. interest
C. both principal and interest

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Thanks again for your wonderful site ... it definitely made the difference.
Craig Baugh

Craig Baugh

Learning Outcome Statements

describe credit risk and its components, probability of default and loss given default

CFA® 2025 Level I Curriculum, Volume 4, Module 14.