Answered: To effectively manage risk, the first…

To effectively manage risk, the first step is to: Multiple Choice O C purchase liability insurance. create an emergency cash fund. establish prevention programs. eliminate all international risks.

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter13: Emerging Topics In Managerial Accounting

Section: Chapter Questions

Problem 2MCQ

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Concept explainers

Risk Management Techniques

Risk management is the procedure of recognizing, analyzing, monitoring, and preventing the risks and threatening factors of investments and business. Risks can arise from various factors including internal controls, market changes, natural disasters, and failure in productions. Risk management techniques enable entities to control and minimize the risks as well as the threatening factors of the business and it also helps to improve the business.

Question

To effectively manage risk, the first step is to:
Multiple Choice
purchase liability insurance.
create an emergency cash fund.
establish prevention programs.
eliminate all international risks.
identify and eliminate all strategic risks.
X

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