According to ISO 31010, Risk assessment attempts to answer which of the following fundamental questions?

E)

Risk assessment involves assessing risks associated with a specific area/project/process etc.

One would consider risks associated with the item, consider these risks, rate the risks based on severity and then take into account the probability of occurrence of the risk.

Controls in place could also be considered to perform a residual risk rating.

all of the above as risk assessment not only identifies the risk but it will also assess the risk in terms of likelihood and impact and also assesses the control effectiveness to ensure residual risk is with bank's apetitie level

Assessment of risk from environmental aspects terms of concequences and their probabilities from identified area.

E) Alll of the above 

According to ISO0, Risk assessment is "that part of risk management which provides a structured process that identifies how objectives may be affected, and analyses the risk in term of consequences and their probabilities before deciding on whether further treatment is required."

Thus, the assessment process should work to identify the risks, their consequences, probabilities and any possible mitigation factors which is all of the above