Ch 3 Flashcards
1
Q
Enterprise risk management
A
process of identifying and managing all business risks
2
Q
Legal Risk
A
A business risks with legal implications
3
Q
Risk avoidance
A
Ceasing a business activity because legal risk is too great
4
Q
A
5
Q
risk reduction
A
implementing practices in a business to lower the probability of loss and its severity
6
Q
risk transference
A
shifting the risk to someone else through a contract
7
Q
Risk retention
A
absorbing the loss if the legal risk materializes
8
Q
A
