Preliminary Risk Identification Can Be Affected By

question 5

Multiple Choice

Preliminary risk identification can be affected by:

• A) fraud risk.
• B) corporate governance.
• C) Both a and b
• D) None of the above.

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Definitions:

Market Rates

are the prevailing interest rates or prices for services, securities, or commodities in the open market.

Premium

The amount paid for an insurance policy or the amount by which a bond or stock sells above its face value.

Par

Par value, often referred to simply as "par," is the face value of a bond or the stock value stated in the corporate charter, not necessarily its market value.

Bond Prices

The amount of money for which bonds are bought and sold in the market, influenced by factors such as interest rates, supply, and demand.