Organized crime and hackers are most likely to be included in which element of an enterprise risk management plan based on the COSO framework?
A)Internal environment
B)Event identification
C)Objective setting
D)Control activities

Question

Quizplus · Accepted Answer

Organized crime and hackers are external factors that can impact an organization's operations and objectives, therefore they should be included in the event identification element of an enterprise risk management plan. The internal environment element focuses on an organization's culture, governance structure, and ethical values. The objective setting element encompasses the establishment of objectives and goals for the organization. Control activities refer to an organization's policies, procedures, and mechanisms to ensure that its objectives are achieved.

Organized Crime and Hackers Are Most Likely to Be Included