​Enterprise Risk Management (ERM) Uses a Portfolio Perspective to Ensure

question 99

Multiple Choice

​Enterprise risk management (ERM) uses a portfolio perspective to ensure:

• A) ​that the organization's most important residual risks are aligned with its risk appetite.
• B) ​that the organization's most important inherent risks are greater than its risk appetite.
• C) ​that the organization's most important residual risks are less than its risk appetite.
• D) ​that the organization's most important inherent risks are aligned with its risk appetite.

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Definitions:

Social Acceptance

The condition in which an individual's behaviors, values, and appearance are welcomed or approved by a social group or society at large.

Symbolic Meaning

The implied or attributed significance of an object, action, or concept beyond its literal significance.

Filtering

The process of reducing information that passes up or down the organizational hierarchy to manage the flow and prevent information overload.

Information Overload

Occurs when an individual or organization receives too much information in a short amount of time, leading to difficulty in processing, understanding, and making decisions.