A) World Health Organization B) Benoit Mandelbrot Foundation C) ISO 31000 Committee on Standards D) International Organization for Standardization
A) Expenditures should focus strictly on eliminating 100 percent of all identified threats. B) Mitigation costs are irrelevant as long as the risk is completely removed. C) Resources expended must equal the total value of the assets being protected. D) Resources expended to mitigate risk should be less than the consequence of inaction.
A) A temporary trial phase B) An optional external review C) A completely separate department D) An integral part
A) Uncertainty and assumptions B) Employee satisfaction and retention C) Financial profits and shareholder dividends D) Marketing strategies and competitor pricing
A) The best available information B) Historical data older than ten years C) Exclusively internal company records D) Information provided solely by external consultants
A) Be dynamic, iterative and responsive to change B) Change only during annual corporate restructuring C) Alter its core goals every single week D) Remain fixed and unchangeable once established
A) Standard ISO 31000 authors B) An anonymous group of actuaries C) Benoit Mandelbrot D) ISO standards committee
A) Normal or near-normal probability distributions B) Fat-tailed distributions C) Infinite variance distributions D) Pareto or power-law distributions
A) It always results in zero financial loss. B) It is subject to regression to the mean and the law of large numbers. C) It never changes over time. D) It is managed entirely by government regulators.
A) Strictly uniform distributions B) Bell-curve distributions with finite variance C) Fat-tailed distributions, e.g., Pareto or power-law distributions D) Normal or near-normal distributions
A) It only occurs in completely unregulated markets. B) It follows standard normal probability curves. C) It is subject to regression to the tail, rendering the law of large numbers ineffective. D) It has a predictable mean that never shifts.
A) To ignore normal distributions entirely in favor of Pareto distributions B) To treat mild risk as if it could destroy the entire organization C) To underestimate the wildness of risk, assuming it to be mild when it is wild D) To use power-law distributions for simple everyday events
A) ISO 31000 B) ISO 9001 C) ISO 27001 D) ISO 14001
A) Source analysis B) Problem analysis C) Establishing the context D) Risk identification
A) Only the internal financial records B) The personal lives of all employees C) Competitor stock prices exclusively D) The environment of the organization
A) Their personal credit scores B) Their home addresses and phone numbers C) Their voting records in national elections D) Their identity and objectives
A) Dismiss all project stakeholders B) Identify potential risks C) Execute immediate mitigation strategies D) Purchase insurance policies
A) Mandatory structural reorganizations B) Guaranteed legal penalties C) Events that cause problems or benefits D) Only catastrophic financial failures
A) Internal or external to the system B) Strictly internal to the system C) Exclusively external to the organization D) Only within legislative bodies
A) Mitigation sounds more professional in business reports. B) Risk deals with factors of decision-making that cannot be managed. C) Management implies that risks can be completely eliminated. D) Management is a legally trademarked term.
A) Accounting software errors, server crashes, and power outages B) Government regulations, tax policies, and trade tariffs C) Stakeholders of a project, employees of a company, or the weather over an airport D) Stock market crashes, inflation rates, and global pandemics
A) Planned organizational changes B) Identified threats C) Guaranteed positive outcomes D) Unidentified random occurrences
A) Suppliers, distributors, and logistics partners B) Consultants, auditors, and external contractors C) Shareholders, customers, and legislative bodies such as the government D) Competitors, media outlets, and general publics
A) It guarantees an immediate increase in profits B) It forces the government to take over operations C) It will automatically improve employee morale D) It may endanger funding of the project
A) It becomes public property automatically B) It will be safely encrypted by external hackers C) It may be stolen by employees even within a closed network D) It loses all value to competitors
A) It improves the navigational equipment B) It recharges the aircraft's emergency batteries C) It may make all people on board immediate casualties D) It causes a minor delay in flight schedules
A) Company size, office location, and CEO preference B) Culture, industry practice, and compliance C) Stock exchange listings and marketing budgets D) Daily weather conditions and employee turnover
A) Any decision made by executive management B) Any event that increases the speed of daily operations C) Any change in government tax laws D) Any event that may prevent an objective from being achieved
A) Employee performance reviews B) Legal compliance contracts C) Financial balance sheets D) Different scenarios
A) A classification of software bugs B) A breakdown of possible risk sources C) A hierarchical list of corporate job titles D) A database of historical financial losses
A) Through answers to a questionnaire compiled from the taxonomy and best practices B) By reviewing quarterly tax filings C) Through random audits conducted by external consultants D) By analyzing daily social media mentions
A) Testing software code for basic syntax errors B) Asking employees to guess what might go wrong each morning C) Comparing company expenses with industry averages D) Checking available lists of known risks for application to a particular situation
A) Tax rates, legal regulations, and government policies B) Profit margins, employee counts, and office sizes C) Resources at risk, threats, modifying factors, and consequences D) Marketing strategies, customer feedback, and sales data
A) An automated employee payroll system B) A binding legal contract for insurance C) A public relations crisis management plan D) A variety of approaches for risk identification
A) Only during periods of severe financial loss B) Only when mandated by external regulatory bodies C) Yes, it should be capable of continual improvement and enhancement D) No, it should remain standardized and never be modified
A) Personal political beliefs B) Union membership numbers C) Human factors D) Employee salary expectations
A) Confidential to board members B) Hidden from lower-level employees C) Transparent and inclusive D) Secretive and executive-only
A) Murphy's law B) Moore's law C) The law of supply and demand D) The law of large numbers
A) Fixed mean with normal distribution B) Constant and predictable variance C) Zero mean and zero variance D) Infinite mean or variance
A) Standard deviation shift B) Regression to the tail C) Central limit theorem D) Regression to the mean
A) 1980s B) 2000s C) 1970s D) 1990s
A) Only briefly B) Implicitly C) Yes D) No
A) Since the 1980s B) Since the 1990s C) Since the 1970s D) Since the 2000s
A) 2010s B) 1980s C) 2000s D) 1990s
A) Liabilities B) Vulnerabilities C) Opportunities D) Threats
A) Usually positive B) Always beneficial C) Usually negative D) Always neutral
A) Scope creep B) Groupthink C) Analysis paralysis D) Target fixation
A) 3rd Ed. B) 1st Ed. C) 6th Ed. D) 4th Ed.
A) 4th Ed. B) 6th Ed. C) 1st Ed. D) 2nd Ed.
A) Numerical analysis of effects B) Identifying threats C) Monitoring the implementation D) Implementing agreed-upon plans
A) Political instability B) Consistent decision-making C) Guaranteed market profits D) Fixed percentage sizing
A) Ignoring potential consequences B) Avoiding the threat C) Maximizing negative effects D) Increasing the probability of the threat
A) The 1920s B) The 1980s C) The 1900s D) The 1950s
A) The 2000s B) The 1920s C) The 1970s D) The 1950s
A) Simple and straightforward B) Fully automated C) Irrelevant D) Tricky
A) Opportunity cost B) Market inflation C) Fixed asset depreciation D) Employee turnover
A) Resource usage B) Employee headcount C) Advertising budgets D) Office space
A) Intangible assets B) Buildings and vehicles C) Cash reserves D) Inventory in warehouses
A) Albert Einstein B) Bill Gates C) Isaac Newton D) Robert Courtney Jr.
A) Actual loss evaluation B) Annualized loss expectancy C) Assessed liability estimate D) Annual ledger expense
A) Global health organizations B) European banking institutions C) Private tech startups D) US governmental agencies
A) Employee holiday schedules B) Office furniture colors C) Asset valuation D) Building architectural designs
A) Five B) Three C) Two D) Four
A) Transfer B) Avoidance C) Acceptance D) Reduction
A) Transfer B) Acceptance C) Avoidance D) Reduction
A) A guarantee B) A penalty C) A fee D) An asset
A) Avoidance B) Acceptance C) Reduction D) Transfer
A) Possibilities B) Insurance policies C) Third-party fees D) Financial assets
A) Reduction B) Transfer C) Avoidance D) Acceptance
A) Enhancement B) Reimbursement C) Acquisition D) Exploitation
A) Acquisition Category B) Accepted Contingency Asset Transfer C) Asset Control and Transfer D) Avoidance and Control Allocation Technique
A) Avoid, control, accept, transfer B) Eliminate, mitigate, insure, budget C) Exploit, share, enhance, ignore D) Accept, transfer, avoid, reduce
A) They avoided treating high-risk patients B) They had prohibitive Halon system costs C) They used water sprinklers that caused damage D) They only delivered software in the final phase
A) A pre-event prevention strategy B) A post-event compensatory mechanism C) A risk-retention pool D) A complete hazard eradication tool
A) The third-party contractor B) The policyholder C) The court judge D) The insurance agent
A) Exclusively into risk transfer B) Strictly into bankruptcy proceedings C) Into multiple categories D) Into a single mandatory category
A) Commercial property insurance B) True self-insurance C) State-mandated health insurance D) Mandatory liability insurance
A) Routine employee turnover B) Minor office property damage C) War D) Common computer viruses
A) IT management B) Junior staff C) Facility management D) Top management
A) Vulnerability assessment B) Threat assessment C) Risk treatment planning D) Impact assessment
A) Risk mitigation strategy development B) Control implementation C) Impact assessment D) Vulnerability assessment
A) Reporting them to external regulators. B) Ignoring them completely. C) Purchasing insurance policies. D) Absorbing them entirely without coverage.
A) On a daily basis without exception. B) Periodically. C) Once every decade. D) Only after a major corporate failure.
A) Employee benefit packages. B) Short-term profits. C) Reputation. D) Physical office buildings.
A) Bretton Woods B) Dodd-Frank C) Basel I D) Basel III
A) Various strategies B) Indemnification provisions C) Limitation of liability clauses D) Standard contract language
A) CH2M Hill B) La Gorce Country Club C) Samuel Greengard D) Petri Keskitalo
A) British B) Swedish C) American D) Norwegian
A) 2010 B) 2020 C) 2015 D) 2005
A) Keskitalo v. UDC B) Basel v. Greengard C) UDC v. CH2M Hill D) Witt v. La Gorce Country Club
A) UDC v. CH2M Hill B) Keskitalo v. Greengard C) Witt v. La Gorce Country Club D) Basel v. La Gorce
A) Novel and customized legal terminology B) Jurisdiction-specific indemnification clauses C) Verbal agreements between parties D) Industry-standard contract language
A) Hazard analysis B) Hazard and operability study C) Fault tree analysis D) Failure mode and effects analysis
A) Diagramming software only B) Safety assurance case generators C) Customs risk management frameworks D) A spreadsheet program
A) Safety Assurance Case B) Hazard and Operability Study C) Failure Mode and Effects Analysis D) Fault Tree Analysis
A) Customs inspection equipment B) All types of medical devices without exception C) Safety critical devices D) Only non-implantable administrative devices
A) Lack of experience B) Total indifference C) Extreme optimism D) A healthy skepticism
A) Customer satisfaction score B) Employee salary C) Project profit margin D) Opening date
A) Major programs B) Standard assignments C) Micro initiatives D) Minor tasks
A) Residential sheds B) Major bridges C) Neighborhood parks D) Local bicycle racks |