Which Statement About Risks Is FALSE

question 65

Multiple Choice

Which statement about risks is FALSE?

• A) A risk that could have a positive impact on a project's objectives is known as an opportunity
• B) A risk that could have a negative impact on a project's objectives is known as a threat
• C) A risk that a project's product is incomplete is known as an off-specification
• D) A risk is an uncertain event that, should it occur, will have an effect on a project's objectives

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Definitions:

Socially Responsible Organizations

Companies that operate in a manner that considers the social, environmental, and economic impacts of their decisions and actions.

Investors

Individuals or entities that commit capital with the expectation of receiving financial returns, involving a variety of investment vehicles like stocks, bonds, and real estate.

Stakeholders

Individuals or groups that have an interest or concern in an organization's activities and outcomes, including employees, customers, suppliers, and shareholders.

Stockholders

Individuals or entities that own shares in a corporation, giving them a claim on part of the company's assets and earnings.