RMI 2302 Exam 1 Nyce Questions And Answers (Verified And Updated)

RMI 2302 Exam 1 Nyce Questions And Answers (Verified And Updated) Risk - answerUncertainty regarding loss. There are different magnitudes of risk based on the decision maker: individual, organization, and society. Danger does not equal risk. Information does not alter risk. Uncertainty - answerWhen you do not know the outcome, there is uncertainty. Multiple outcomes can also lead to uncertainty. Uncertainty is doubt about our ability to predict future outcomes. Because uncertainty is subjective, it can differ across individuals even when the risk is the same. Information can alter uncertainty. Reduction in uncertainty can be a good thing. Loss - answerwhat you could have had, but don't, can be considered a loss. Risk Likelihood - answerFrequency - the probability that a loss can occur. This can be described as high, medium, or low. Risk Impact - answerSeverity - the potential effect that a loss could have if it arises. The magnitude can also be described as high, medium, or low. Pure Risk - answer"will there be a loss or no loss?" There are clear expectations. These risks only involve two possible outcomes. Static Risk - answer"is the risk changing through time?" These risks do not change through time. Speculative Risk - answer"will there be a loss, no loss, or a gain?" Dynamic Risk - answerthe chances of something happening now and happening later are different. They change through time. Fundamental Risk - answerrisks that effect everyone / a large portion of the population at the same time. Particular Risk - answerrisks that effect individuals / a small group of people at a given time. Core Risk - answerorganizational level risk - these are directly associated with what an organization or business does. Secondary Risk - answerorganizational level risk - these have nothing to do with what an organization or business does.