ITPEC IP April 2022 Question 71

Source exam: ITPEC IP April 2022Topic: Corporate Activities

ITPEC IP April 2022 — Question 71 of 100

Risk assessment consists of risk identification, risk analysis, and risk evaluation. Identification determines what risks exist. Analysis estimates their likelihood, consequences, and level. Evaluation compares the analyzed level with criteria to decide which risks need treatment and their priority.

Answer (d)

Why not others:
- risk transfer, avoidance, and reduction are treatment options selected after assessment

- they change ownership, exposure, likelihood, or impact rather than determine the assessed risk level

Key rule: Assessment identifies, analyzes, and evaluates risks; treatment then avoids, reduces, transfers, or accepts them.

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