CRA Study Guide 2026
Everything you need to pass the CRA exam in one place: the exam format, every topic to study, real practice questions with explanations, flashcards, and full-length practice tests. Free, no sign-up needed.
📋 CRA Exam Format at a Glance
📚 CRA Topics to Study (61)
✍️ Sample CRA Questions & Answers
1. When developing a risk register, which attribute of a risk entry is MOST critical for enabling effective risk ownership?
Assigning a named risk owner establishes clear accountability, ensuring someone is responsible for monitoring, reporting, and responding to each risk.
2. Which of the following represents a 'secondary risk' in risk management?
Secondary risks are new risks that emerge as unintended consequences of implementing a risk response or mitigation action.
3. In risk-adjusted performance measurement, RAROC is calculated as:
RAROC (Risk-Adjusted Return on Capital) = Risk-adjusted net income / Economic capital, used to compare performance across business units on a risk basis.
4. What is a risk acceptance strategy?
Risk acceptance is a deliberate decision by an organization to acknowledge a risk and tolerate its potential consequences without implementing specific mitigation actions to reduce its likelihood or impact. This strategy is typically chosen when the cost of mitigation outweighs the potential loss, or when the risk is deemed low. However, it often involves having contingency plans in place to manage the fallout if the risk materializes.
5. What is the primary financial risk implication of a company having a high proportion of fixed costs relative to variable costs?
High fixed costs increase operating leverage, causing small revenue changes to produce magnified swings in operating profit, increasing earnings volatility and financial risk.
6. In strategic risk governance, a 'second opinion' or 'challenge function' is MOST important when:
Challenge functions prevent groupthink and cognitive bias precisely when the stakes are highest and time pressure may suppress dissenting views.