1. Risk Management

Question 1

Elimination is a physical risk control measure used when you removed something … This however is not always possible.

Answer 1

completely

Question 2

Financial risk control can be done through (1)… or (2)…

Answer 2

(1) retention

(2) risk transfer

Question 3

Flow charts become helpful in the … industry.

Answer 3

insurance

Question 4

Physical risk control can be done through (1)… or (2)…

Answer 4

(1) elimination

(2) minimization

Question 5

Qualitative analysis are concerned about the …

Answer 5

underlying issues

Question 6

Quantitative measurement involves the actual …

Answer 6

quantities

Question 7

Risk is the … of loss.

Answer 7

uncertainty

Question 8

Risk management examines … and not just the risks that are insurable.

Answer 8

all risks

Question 9

The most basic risk identification is …

Answer 9

physical identification

Question 10

The retention financial control measure is about deciding whether you can …

Answer 10

keep the risk or not

Question 11

The risk transfer financial control measure is about …

Answer 11

buying insurance

Question 12

The three aids to identification are?

Answer 12

1. organisational charts
2. flow charts
3. check lists

Question 13

The three risk management steps are?

Answer 13

1. Identification of risk
2. Evaluation of risk
3. Control of risk

Question 14

Three ways to evaluate risks are?

Answer 14

1. Quantitative measurement
2. Qualitative analysis
3. Computer technology

Question 15

… are used by risk managers to identify each item or step in the area or process.

Answer 15

Check lists

Question 16

… are used to make record keeping and analysis a lot easier.

Answer 16

Computer technology

Question 17

… helps risk managers identify risks along the company process.

Answer 17

Flow charts

Question 18

… is the most effective risk control measure.

Answer 18

Minimization

Question 19

… show the basic organisational structure of the company.

Answer 19

Organisational charts

Question 20

… is where you put measures in place to reduce the amount of loss going forward.

Answer 20

Post-loss minimization

Question 21

… is where you anticipate a loss and steps are put in place to prevent or reduce the risk.

Answer 21

Pre-loss minimization

Question 22

… is about spotting all risks and not just the insurable risks.

Answer 22

Risk identification

Question 23

… is therefore a means of removing some or all of the uncertainty.

Answer 23

Risk management