16. What is the purpose of risk management in the financial sector?
a. Maximizing profits through high-risk investments
b. Minimizing the impact of potential losses on financial institutions
c. Regulating the activities of insurance companies
d. Providing loans to individuals and businesses
17. Which of the following is NOT a type of insurance policy?
a. Life insurance
b. Health insurance
c. Home insurance
d. Commercial loan insurance
18. What is the function of a credit union?
a. Granting loans to individuals and businesses
b. Providing insurance coverage for credit card transactions
c. Offering financial services to a specific group of members, such as employees of a company
d. Regulating interest rates in the banking sector
19. What is the purpose of the Financial Stability Oversight Council (FSOC)?
a. Regulating investment banks and hedge funds
b. Promoting financial literacy among consumers
c. Monitoring and addressing risks to the stability of the financial system
d. Facilitating international trade agreements
20. Which of the following is NOT a type of financial institution?
a. Hedge fund
b. Credit rating agency
c. Insurance company
d. Pension fund
