Risk analysis revolves around answering which of the following questions?
A)Who, what, where, why, and how?
B)How frequently does an event occur and how severe are its consequences?
C)Neither A nor B
D)Both A and B

Question

Quizplus · Accepted Answer

Risk analysis is the process of identifying, assessing, and prioritizing risks to an organization's capital and earnings. It involves analyzing the likelihood and impact of potential events to determine the level of risk exposure. This means that risk analysis revolves around answering the question of how frequently an event occurs and how severe its consequences are. Option A (who, what, where, why, and how) may be important to consider during the identification and assessment of risks, but it is not the primary focus of risk analysis. Therefore, the correct answer is B.

Risk Analysis Revolves Around Answering Which of the Following Questions