RSK4803 EXAM
PACK
, lOMoAR cPSD| 32110785
UNIVERSITY EXAMINATIONS
January/February 2025
RSK4803
RISK FINANCING
100 marks
Duration: 3,5 hours
INSTRUCTIONS
• Please scan the QR code which is available in the enclosed documen t.
• This is an open-book examination.
• Use of a programmable pocket calculator is permissible.
• Start each question on a new page.
• Should you encounter any technical difficulty relating to th e use of Invigilator
App, please he Invigilator Helpdesk on +27 (0)73 505 8273.
• Should you encounter any technical difficulty relating to myExams platform,
please email CEMS at
Question 1
42 marks
Downloaded by Vincent Cosmas ()
, lOMoAR cPSD| 32110785
1.1 Risk financing is an important
element of risk …
(2) a. management.
b. the management process.
c. the management framework.
d. the control process.
1.2 Holistic risk management …
(2)
a. takes advantage of internal risk
hedging opportunities.
b. delivers efficient and effective risk
hedging.
c. covers the identified exposures and
minimise the total cost of risk.
d. achieves organisation’s objectives
efficiently.
1.3 Strategic risk management means …
(2)
a. delivering a strategy that allows
efficient risk hedging.
Downloaded by Vincent Cosmas ()
, lOMoAR cPSD| 32110785
b. delivering a strategy that is risk
free, which maximises the value
add.
c. achieving the organisation’s
objectives efficiently.
d. achieving the organisation’s
objectives within the stipulate time
frame.
1.4 The senior underwriter reviewed the
submitted insurance quotation and
showed the trainee underwriter that
the R160 cost, which applies to all the
2025 insurance quotations, was not
included. The amount of R160 should
be the … cost factor.(2) a. moral
hazard
b. adverse selection
c. capital
d. administration
1.5 The primary objective of minimising
the cost of risk is to … (2)
Downloaded by Vincent Cosmas ()
PACK
, lOMoAR cPSD| 32110785
UNIVERSITY EXAMINATIONS
January/February 2025
RSK4803
RISK FINANCING
100 marks
Duration: 3,5 hours
INSTRUCTIONS
• Please scan the QR code which is available in the enclosed documen t.
• This is an open-book examination.
• Use of a programmable pocket calculator is permissible.
• Start each question on a new page.
• Should you encounter any technical difficulty relating to th e use of Invigilator
App, please he Invigilator Helpdesk on +27 (0)73 505 8273.
• Should you encounter any technical difficulty relating to myExams platform,
please email CEMS at
Question 1
42 marks
Downloaded by Vincent Cosmas ()
, lOMoAR cPSD| 32110785
1.1 Risk financing is an important
element of risk …
(2) a. management.
b. the management process.
c. the management framework.
d. the control process.
1.2 Holistic risk management …
(2)
a. takes advantage of internal risk
hedging opportunities.
b. delivers efficient and effective risk
hedging.
c. covers the identified exposures and
minimise the total cost of risk.
d. achieves organisation’s objectives
efficiently.
1.3 Strategic risk management means …
(2)
a. delivering a strategy that allows
efficient risk hedging.
Downloaded by Vincent Cosmas ()
, lOMoAR cPSD| 32110785
b. delivering a strategy that is risk
free, which maximises the value
add.
c. achieving the organisation’s
objectives efficiently.
d. achieving the organisation’s
objectives within the stipulate time
frame.
1.4 The senior underwriter reviewed the
submitted insurance quotation and
showed the trainee underwriter that
the R160 cost, which applies to all the
2025 insurance quotations, was not
included. The amount of R160 should
be the … cost factor.(2) a. moral
hazard
b. adverse selection
c. capital
d. administration
1.5 The primary objective of minimising
the cost of risk is to … (2)
Downloaded by Vincent Cosmas ()
