RISK MANAGEMENT (Complete answers)

RISK MANAGEMENT correct answers Is the process of measuring or assessing risk and developing strategies to manage it. Risk Management correct answers Is a systematic approach in identifying, analyzing and controlling areas or events with a potential for causing unwanted change. Risk management correct answers Is the act or practice of controlling risk Risk planning; Assessing risk areas; Developing risk handling options; Monitoring risks to determine how risks have change; Documenting overall risk management program correct answers RISK MANAGEMENT includes: Create value; Address uncertainty and assumptions; Be an integral part of the organizational process and decision-making; Be dynamic, iterative, transparent, tailorable, and responsive to change; Create capability of continual improvement and enhancement considering the best available information and human factors; Be systematic, structured, and continually or periodically reassessed correct answers Basic Principles of Risk Management Establishing content; Identification of potential risks; Risk Assessment correct answers Process of Risk Managment Objective-based risk; Scenario-based risk; Taxanomy Based risk; Common Risk checking; Risk charting correct answers Identification of potential risks •Business Risk; •Financial Risk; •Liquidity Risk; •Default Risk; •Interest Rate Risk; •Management Risk; Purchasing Power Risk correct answers INVESTMENT RISK Business Risk correct answers refers to the uncertainty about the rate of return caused by the nature of the business