CRISC: Certified in Risk and Information Systems ControlDemo

Question

The primary benefit of defining an organization’s risk tolerance and appetite is that it helps ensure:

A a top-down approach to risk management is used.
B risk is managed to an acceptable level.
C risk is assessed within acceptable tolerance.
D key risk indicators (KRIs) are aligned with risk scenarios.

Explanation

Risk appetite and tolerance establish the boundaries for acceptable risk and guide risk treatment decisions, helping ensure that risk is managed to an acceptable level. ISACA describes the objective of risk management as reducing organizational risk below an acceptable level determined by its risk appetite and tolerance.

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ISACA HelpSource Q&A: Risk Appetite

CRISC: Certified in Risk and Information Systems ControlDemo

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Notes

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