Chapter 1 ERM

Question 1

Business Objectives

Answer 1

specific
measurable
obtainable
relevant

Question 2

Entity risk management should be led by

Answer 2

centralized coordinator

ultimate responsibility is the CEO

manager device and execute

Question 3

coso a risk profile is a view of the relationship between

Answer 3

risk and performance

Question 4

inherent risk

Answer 4

no action from management

Question 5

the benefit of ERM

Answer 5

Increase opportunity
identify and manage risk entity-wide,
increase positive outcomes
reducing negative surprises,
reduce performance variability,
improve resource deployment, and
enhance enterprise resilience.

Question 6

Risk Appetite

Answer 6

How much risk the firm is will to take

Question 7

difference between strategy and business objective

Answer 7

business objective are the steps to achieve strategy