________ Is Not a Risk Responses Identified in the COSO

question 91

Multiple Choice

________ is not a risk responses identified in the COSO Enterprise Risk Management Framework.

• A) Acceptance
• B) Avoidance
• C) Monitoring
• D) Sharing

---

Definitions:

Fixed Overhead

The regular, recurring expenses that are not affected by the level of business activity, such as rent, salaries, and insurance.

Budget Variance

Budget Variance is the difference between what was budgeted or planned for a particular period and what was actually spent or received.

Variable Overhead

Costs that vary in direct proportion to changes in levels of production or activity, such as materials and labor.

Rate Variance

The difference between the actual rate paid for something and the expected or standard rate, often used in budgeting and accounting.