Free CIA Exam Braindumps (page: 15)

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Which of the following is a common element of any risk framework?

  1. Organizational objectives
  2. Anticipated product losses
  3. Board of directors' policies
  4. Delegation of authority

Answer(s): A



What is residual risk?

  1. Impact of risk
  2. Risk that is under control
  3. Risk that is not managed
  4. Underlying risk in the environment

Answer(s): C



All of the following statements regarding the responsibility for risk management in an organization are true except

  1. Risk management is ultimately the responsibility of the board
  2. Risk management is enhanced through periodic assessment by line management
  3. Risk management includes the acceptance of residual risk by executive management
  4. Risk management requires the involvement of the internal audit activity in order to be accepted by the board

Answer(s): D



What is risk management?

  1. Identifying and prioritizing risks
  2. Measuring risks and determining consequences
  3. Identifying threats to the organization and likelihood of occurrence
  4. Determining how much risk is acceptable and what action should be taken.

Answer(s): D






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