The Five Steps of Risk Management Include

question 8

Multiple Choice

The five steps of risk management include:

• A) Identify risks, consider likelihood, evaluate risks, treat the risks, review and evaluate
• B) Identify risks, consider consequences, evaluate risks, treat the risks, review and evaluate
• C) Establish the context, identify risks, evaluate risks, treat the risks, review and evaluate
• D) Evaluate risks, treat the risks, develop contingency plans, take out insurance, review

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Definitions:

Budgeted Production and Sales

Budgeted production and sales involve forecasting the quantities of products a company plans to sell and produce, respectively, during a specific period, often for planning and resource allocation purposes.

Unit Selling Price

The price at which a single unit of a product is sold.

Budgeted Sales

Projected sales for a future period, often used for planning and managing resources and setting goals.

Beginning Inventory

The value of a company's inventory at the start of an accounting period, which is carried over from the end of the previous period.