__ risk is the risk that a borrower may not repay on a timely basis. a Credit b Interest rate C Liquidity d Asset

The correct answer is a) Credit risk.<br /><br />Credit risk, also known as default risk, is the risk that a borrower may not repay a loan or other financial obligation on a timely basis. It is the risk that the borrower will default on their debt obligations, which can result in a loss for the lender or investor.<br /><br />Credit risk is a key consideration for lenders, investors, and financial institutions when assessing the creditworthiness of a borrower or investment. It is typically evaluated based on factors such as the borrower's credit history, financial condition, ability to repay, and the terms of the loan or investment.<br /><br />Managing credit risk is an important aspect of financial management and risk management. Lenders and investors often use credit ratings, credit scores, and other tools to assess and mitigate credit risk.