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NEW QUESTION: 1
A risk management program would be expected to:
A. maintain residual risk at an acceptable level.
B. implement preventive controls for every threat.
C. remove all inherent risk.
D. reduce control risk to zero.
Answer: A
Explanation:
Explanation
The object of risk management is to ensure that all residual risk is maintained at a level acceptable to the business; it is not intended to remove every identified risk or implement controls for every threat since this may not be cost-effective. Control risk, i.e., that a control may not be effective, is a component of the program but is unlikely to be reduced to zero.

NEW QUESTION: 2




Answer:
Explanation:

Explanation


NEW QUESTION: 3
An upward sloping line in total risk-return space along which completely diversified portfolios plot, is called
A. efficient frontier
B. security market line
C. capital market line
Answer: C

NEW QUESTION: 4

A. Option D
B. Option C
C. Option A
D. Option B
Answer: D