What Is the Final Component of a Documented Risk Management

question 30

Multiple Choice

What is the final component of a documented risk management plan (RMP) ?

• A) The treatment/s selected for each risk
• B) The action items needed to implement the RMP
• C) Identification of the management and control structures needed to execute the RMP
• D) A list of resources the program needs
• E) A review process that involves stakeholders and encourages continuous improvement, innovation and learning

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Definitions:

Manufacturing Overhead

All manufacturing costs that are not directly related to the production of goods or services, such as factory rent, utilities, and equipment maintenance.

Predetermined Overhead Rate

A rate calculated before a cost period begins, used to allocate overhead costs to products based on a chosen activity base.

Direct Labor-hour

A measure of the work time spent by employees who are directly involved in the manufacturing process of a product.

Predetermined Overhead Rate

An estimated rate used to assign overhead costs to products or job orders, based on a pre-established formula or basis.