ARM 400 - Chapter 3
Which one of the following best explains how a risk - managed organization
views a proposed new product line ? - correct answer ✔It weighs the risk -
reward relationship while realistically evaluating potential outcomes
consequences .
After opening its third store , Shoehorn Shoes decided to purchase new
inventory tracking software for all of its stores . internal environments does
this decision relate to ? - correct answer ✔Operations environment
Shelton Manufacturing recently signed a contract with a new customer which
will require them to increase production by 20 percent . The organization has
decided to form a risk center to identify and assess the risks involved with this
new contract , and manage them efficiently . Which one of the following
individuals should be the risk owner ? - correct answer ✔Production
manager
Lucy is a chef at a restaurant . She is growing tired of working such long hours
and not reaping the financial advisor about the options market as a way to
grow her savings quickly . The financial advisor explained that it is a risky
benefits . Lucy has been saving money with the goal of opening her own
restaurant . She recently talked to a financial choice , but could potentially
allow her to reach her goal of owning a restaurant in the near future . Lucy has
decided invest her savings in the options market . Which one of the following
types of risk attitude does Lucy exhibit ? - correct answer ✔Risk seeking
BD Company has made widgets for over 79 years using the same production
techniques for fear of the huge costs from potential consumer lawsuits if
production is changed and product quality suffers . With respect to its risk
attitude , this organization would be classified as - correct answer ✔Risk
avoiding
Which one of the following best explains how a risk - managed organization
views a proposed new product line ? - correct answer ✔It weighs the risk -
reward relationship while realistically evaluating potential outcomes
consequences .
After opening its third store , Shoehorn Shoes decided to purchase new
inventory tracking software for all of its stores . internal environments does
this decision relate to ? - correct answer ✔Operations environment
Shelton Manufacturing recently signed a contract with a new customer which
will require them to increase production by 20 percent . The organization has
decided to form a risk center to identify and assess the risks involved with this
new contract , and manage them efficiently . Which one of the following
individuals should be the risk owner ? - correct answer ✔Production
manager
Lucy is a chef at a restaurant . She is growing tired of working such long hours
and not reaping the financial advisor about the options market as a way to
grow her savings quickly . The financial advisor explained that it is a risky
benefits . Lucy has been saving money with the goal of opening her own
restaurant . She recently talked to a financial choice , but could potentially
allow her to reach her goal of owning a restaurant in the near future . Lucy has
decided invest her savings in the options market . Which one of the following
types of risk attitude does Lucy exhibit ? - correct answer ✔Risk seeking
BD Company has made widgets for over 79 years using the same production
techniques for fear of the huge costs from potential consumer lawsuits if
production is changed and product quality suffers . With respect to its risk
attitude , this organization would be classified as - correct answer ✔Risk
avoiding
