Introduction to Risk

Risk is derived from the word

• risco

• risque

• Both a & b

• None of the above

Risco is _____________ word

• Greek

• French

• Italian

• None of the above

Purpose of risk management is to strike a healthy balance between _________ and _______________

• opportunity, protection shield

• danger, protection shield

• opportunity, actions

• danger,actions

Risk is an outcome of

• uncertainity

• occurence

• measurement

• consequences

________ aims to protect the value already created by the organization, but also its future opportunities.

• Risk Management

• Risk Protection

• Risk Appetite

• Risk Occurence

Risk is a choice rather than a

• reward

• fate

• opportunity

• shield

The likelihood of occurrence and impact of risk outcome combined together forms the

• measurement of risk

• amplitude of risk

• magnitude of risk

• frequency of risk

__________ defines risk is the combination of the probability of an event and its consequence

• Institute of Risk Management

• Paul Hopkins

• Enterprise Risk Management

• SA 315

Risk that the cash flow of an issuer will not be adequate to meet its financial obligations is known as __________

• Business Risk

• Financial Risk

• Significant Risk

• None of the above

_______ arise due to events occurring outside the business organization

• External Risks

• Controllable risks

• Internal Risks

• None of the above