The Initial Step in the Risk Management Process Is to

question 22

Multiple Choice

The initial step in the risk management process is to

• A)Determine the level of acceptable risk.
• B)Assess the risk potential.
• C)Identify the risks.
• D)Set aside budget funds for managing the risks.
• E)Appoint a risk manager.

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Definitions:

Authority to Manage

Refers to the power or right delegated to an individual or group to make decisions and oversee the administration of an organization, property, or legal entity.

Executive Corporate Officer

A high-ranking individual within a corporation, responsible for making major corporate decisions.

Potential Liability

The possibility of being responsible for some future obligation or facing legal penalties.

Specially Customized

Tailored or adapted for a specific purpose, user, or requirement, often involving unique modifications or designs.