Enterprise risk management is concerned with:
A) both pure and speculative risks
B) insurance contracts
C) pure risks
D) subjective risks

Question

Quizplus · Accepted Answer

Enterprise risk management is concerned with both pure risks (such as natural disasters and theft) and speculative risks (such as investments and new product development). It involves identifying, assessing, and managing all types of risks that may impact an organization's objectives and goals. It may include the use of insurance as a risk transfer method, but it is not solely focused on insurance contracts. It also deals with objective risks rather than subjective risks, which are based on individual perceptions and biases.

Enterprise Risk Management Is Concerned With