Enterprise Risk Management Vocabulary

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Questions and Answers

What is risk?

  • The certainty of achieving an enterprise's business goals and objectives
  • The result of uncertainties that threaten an enterprise's ability to achieve its business goals and objectives (correct)
  • The ability of an enterprise to avoid uncertainties
  • The absence of uncertainties in an enterprise's operations

Why is a common risk vocabulary important for risk-related professionals?

  • To ensure a consistent approach to address and openly communicate about risk within the enterprise (correct)
  • To limit the understanding of risk management
  • To complicate the assessment of risk
  • To confuse communication within the enterprise

Where are key risk terms explained in the study guide?

  • In a separate supplementary guide
  • In the 'Glossary' at the beginning of each chapter
  • Throughout the text without any specific section
  • In the 'Terminology' section at the end of each chapter (correct)

What are the glossaries included in the study guide useful for?

<p>Understanding the relationships among the terms (C)</p> Signup and view all the answers

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