Chapter 1: Risk Introduction and Overview

Question 1

Risk is the combination of ______ and ______.

Answer 1

Liklihood of an event and its impact

Question 2

True or False: Risk is most often associated with uncertainties and deviations from expected results that can have an adverse impact to an enterprise and threaten the ability to meet its business objectives.

Answer 2

True

Question 3

Liklihood can include _________ or _________.

Answer 3

Frequency or Probability

Question 4

(Likelihood)

A measure of the rate by which events occur over a certain period of time.

Answer 4

Frequency

Question 5

(Likelihood)

A mathematical-driven measure of the possibility of a specific outcome as a ratio of all possible outcomes. ________ represents the extent to the which an event is likely to occur, measured by the ratio of the studied cases or cases in question to the whole number of cases.

Answer 5

Probability

Question 6

The result of a risk event that includes magnitude and consequence.

Answer 6

Impact

Question 7

(Impact)

A measure of the potential severity of loss or the potential gain from realized events/scenarios.

Answer 7

Magnitude

Question 8

(Impact)

A measure of the potential severity of loss or the potential gain from realized events/scenarios.

Answer 8

Magnitude

Question 9

Something that happens at a specific place and/or time

Answer 9

Event

Question 10

(Event)

Any event that is not part of the ordinary (standard) operation of a service and that causes or may cause an interruption to, or a reduction in the quality of that service.

Answer 10

Incident

Question 11

(Event)

An event where the attacker takes advantage of a vulnerability.

Answer 11

Exploit

Question 12

(Event)

An attempt to gain unauthorized access to make use of an asset.

Answer 12

Attack

Question 13

________ is anything that is capable of acting against an asset in a manner that can result in harm and are aimed at exploiting enterprise vulnerabilities.

Answer 13

Threat

Question 14

_______ is a control condition that is deemed to be deficient relative to requirements of the threat levels being faced by the Enterprise. They represent a weakness in the design, implementation, operation or internal control of a process that could expose the system to adverse threats from threat events.

Answer 14

Vulnerabilities

Question 15

7 most common types of Business risk

Answer 15

Strategic Risk
Environmental Risk
Market Risk
Credit Risk
Operational Risk
Compliance Risk
Project Risk