Exam C_S4FTR_2021 Topic 4 Question 56 Discussion

Actual exam question for SAP's C_S4FTR_2021 exam
Question #: 56
Topic #: 4
You are implementing Credit Risk Analyzer.Which of the following describes counterparty risk?Note: There are 2 correct answers to this question.

Suggested Answer: A,B Vote an answer

Explanation
Counterparty risk is one of the types of risk that can be analyzed using Credit Risk Analyzer. Counterparty risk describes the risk that a counterparty does not fulfill their contractual agreements, either partially or fully.
Counterparty risk can be subdivided into credit risk and settlement risk. Credit risk is the risk that a counterparty defaults on their obligations before maturity. Settlement risk is the risk that a counterparty defaults on their obligations at maturity. References:
https://help.sap.com/viewer/0fa84c9d9c634132b7c4abb9ffdd8f06/2020.002/en-US/3a3a8f6f7a6e4c2b8d5b8f1e2

by Hermosa at Dec 09, 2025, 10:52 AM

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