A risk is assessed as HIGH. Does it fall within the organization's risk appetite, risk tolerance, or risk capacity?, It falls within the organization's risk tolerance., What risk levels are accepted by the company?, Low and medium, What is an inherent risk?, The level of risk that naturally exists in an activity or process before any mitigation actions or controls are implemented., What is the difference between inherent risk and residual risk?, Inherent risk is pure risk. Residual risk is the risk that remains after controls are implemented., If the residual risk increases from one measurement to the next, what could have happened?, The inherent risk has increased (increased impact or probability), or the controls in place are not effective, What are the four options for managing risk?, Avoid, reduce, transfer, accept, Which treatment option involves actions to minimize the likelihood or impact of the risk?, Reduce, Which treatment option eliminates the activity that poses the risk?, Avoid, If there is a risk and an insurance policy is purchased to manage it, which risk management strategy is being applied?, Transfer, What does it mean to take a risk?, I understand its impact and likelihood, and I decide to accept the consequences., What were the topics covered in the submissions for this component?, Risk appetite, Inherent risk, residual risk,risk mangementisk managementRisk management

Risk Management Component

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