QuestionQ1893

Risk Response and Reporting

Which of the following should be the MOST important consideration for senior management when developing a risk response strategy?

  • A Risk appetite
  • B Cost of controls
  • C Risk tolerance
  • D Probability definition
Explanation

Risk appetite establishes the overall level and type of risk an organization is willing to accept. Risk responses should be selected to keep exposure aligned with that senior-management-approved appetite.

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