1. a) Distinguish between intrinsic risk and concentration risk in the context of banks credit...

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Accounting

1. a) Distinguish between intrinsic risk and concentration risk in the context of banks credit risk management. Give examples to illustrate their differences. (8 marks)

b) The mortgage introducer program used by National Australia Bank and many other Australian banks was heavily criticized during the 2018 Banking Royal Commission. Provide insights as to why this initiative in mortgage lending may have adverse consequences for a banks credit risk exposure. (6 marks)

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