Which Component of the ERM Framework Is Best Described Here

question 39

Multiple Choice

Which component of the ERM framework is best described here: Internal and external events affecting achievement of an entity's objectives must be identified, distinguishing between risks and opportunities. Opportunities are channeled back to management's strategy or objective-setting processes.

• A) control activities
• B) event identification
• C) risk assessment
• D) risk response

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Definitions:

Structures of Governments

The organizational framework that dictates how a government is run, including its branches, functions, and distribution of power.

U.S. Constitution

The foundational legal document of the United States, establishing the framework of the federal government, its powers, and the rights of citizens.

Competing Interests

Conflicting goals or objectives among different groups or individuals, often requiring negotiation or compromise.

Small States

Political entities or regions characterized by a small geographic area or population, often possessing limited political influence on a global scale.