Transportation Insuranceintermediate
Which of the following is a recognized risk treatment strategy in standard risk management frameworks, such as ISO 31000? Select all that apply.
Answer
Risk avoidance
Explanation
### Why this is right
- **The material names risk acceptance as an option.** Acceptance is one of the recognizable terms in the risk-management passage.
- **The material names risk avoidance as an option.** Avoidance also appears as a recognizable option.
- **The material names risk transfer as an option.** Transfer is the third recognizable option listed.
### The concept
The source is heavily corrupted. It supports identifying these three response terms and the topic of risk assessment, but it does not preserve a usable risk formula or a complete decision procedure. In general, acceptance retains an exposure, avoidance removes its source activity, and transfer assigns some agreed consequences to another party. These definitions clarify the terms without claiming that the damaged course text provides more detail than can be read.
### The other options
- **The material provides a readable formula for calculating risk.** No such formula is visible in the supplied text; the passages on assessment and management are largely illegible.
### Terms
- **Risk formula**: A mathematical expression used to calculate or represent risk; none is readable in the supplied material.
### Remember
Separate what the source clearly names from details that its damaged text does not support.
Related Questions
- A firm decides not to conduct an activity because it does not want to face the exposure associated with it. Which named option best describes this decision?(intermediate)
- Risk acceptance, risk avoidance, and risk transfer are all standard strategies used to respond to identified risks.(basic)
- Which type of risk is characterized by situations where there is only the possibility of a loss or no loss, with no chance of financial gain?(basic)
- Arrange the following risk management steps in the correct chronological order, from first to last: - Assess the exposure - Choose a risk response (such as acceptance, avoidance, or transfer) - Identify the exposure(intermediate)
- Risk assessment and risk transfer mean the same thing.(intermediate)
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