Deck 6: Risk Assessment

Question 1

The standards allow the use of all of the following for risk assessment except:

A) Multi-Criteria Decision Analysis
B) Failure Mode Effects Analysis
C) Hazard and Operability Studies
D) All of the above are acceptable

Answer 1

D

Question 2

A risk that can only have a negative outcome is:

A) Pure Risk
B) Speculative Risk
C) Conditional Risk
D) Risk Adversity

Answer 2

A

Question 3

An organization that wishes to not pursue a business venture with a high potential for profit but one that carries a great deal of risk is indicative of:

A) A low risk appetite
B) A high risk appetite
C) Stupidity
D) Speculative risk

Answer 3

A

Question 4

Hazard checklists should answer how employees or the community can be injured.

Question 5

The Risk Registry Watch List consists of the risk posed by threats from terrorist groups.

Question 6

Qualitative Risk Analysis provides the most reliable, auditable and actionable analysis.

Question 7

Local Hazard Mitigation Plans are required by :

A) Stafford Act
B) United States Disaster Mitigation Act of 2000
C) ISO 22301
D) Presidential Directive 12

Question 8

Steps taken to reduce and manage the risk to within acceptable means is best considered to be an example of:

A) Risk Avoidance
B) Risk Control
C) Risk Transfer
D) Risk Acceptance

Question 9

Risk Appetite is the amount of risk an organization is willing to accept in pursuit of its objectives.

Question 10

The elimination of the risk is best considered to be an example of:

A) Risk Avoidance
B) Risk Control
C) Risk Transfer
D) Risk Acceptance

Question 11

The methods used to determine risk may be mandated by regulations.

Question 12

According to one or more of the standards, risk analysis provides the basis for risk evaluation and decisions about risk estimation and risk treatment.

Question 13

The phrase (T*V) represents:

A) Likelihood
B) Consequence
C) Risk
D) Vulnerability

Question 14

According to one or more of the standards, risk is defined as:

A) The negative effect of the probability of a hazard
B) A condition that exceeds the organization's risk appetite
C) A condition that results in a loss
D) The effect of uncertainty upon objectives

Question 15

The ISO Risk Management Standard provides a framework for:

A) Operational Risk Management
B) Enterprise Risk Management
C) Project Risk Management
D) Qualitative Risk Management

Question 16

The formula for the Annual Loss Expectancy is R = P x C or R = f(C,V,T).

Question 17

According to one or more of the standards, the term "probability" is the same as the term "likelihood."

Question 18

Transferring risk eliminates the risk.

Question 19

Completed hazard checklists, once the data is analyzed and reported, are discarded.

Question 20

Risks listed on the Risk Registry are:

A) Described with a consistent level of detail
B) Consist of low, medium, and high risk issues
C) Are ranked according to the highest risk
D) Not connected with an owner

Question 21

During a physical inspection of the facility, what should the analysis look for?

Question 22

List the ways the organization can transfer risk:

Question 23

List 10 or more sources for hazard identification:

Question 24

What are the three general categories of hazards referenced in NFPA 1600?

Question 25

How are risk and the Risk Assessment related to the Business Impact Analysis?