What Is Enterprise Risk Management (ERM)

question 39

Multiple Choice

What is enterprise risk management (ERM) ?

• A) A process of evaluating internal controls to ensure operations are carried out efficiently and effectively
• B) A process designed to identify material events that may affect the financial statements and to manage risk within the entity's risk appetite
• C) A process, effected by an entity's board of directors, management, and other personnel designed to identify potential events that may affect the entity and to manage risk within its risk appetite
• D) A process by which compliance with laws and regulations can be assessed

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Definitions:

File

A collection of data or information that has been given a name and is stored digitally.

Move

A programming instruction used to transfer data from one location to another within a software application or a control system.

Timer Program

Software or a portion of a PLC program designed to manage time delays, pulse generation, or time-based control.

Solenoid B

A specific electromagnetic coil used to convert electrical energy into mechanical actions, such as moving a valve.