Probability tree - Study guides, Class notes & Summaries

A risk map showing a large difference between inherent and residual risk indicates which one of the following? A. The risk is within the organization's risk appetite B. The current risk treatment is ineffective C. The current risk treatment is effective D. The risk does not need to be treated - C Lucas, a risk professional for Jones Incorporated, recently met with experts from the utility industry to discuss the potential loss of supply and risks to the infrastructure. Lucas must now ...

TEST BANK Enterprise Risk Management S - The Marketplace to Buy and Sell your Study Material 1 RSK2601 TEST BANK Question 1 Which one of the following is a benefit of effective risk and opportunity management? 1) Improved profit certainty 2) Increased shareholder value 3) Increased stakeholder confidence Correct option 3 4) Lower economic returns Explanation Improved cost certainty, sustainable shareholder value, increased stakeholder confidence and higher economic returns are all benefits of ef...

WGU c784 Examples of Quantitative and Qualitative Probability - correct answerQualitative Description= impossible Quantitative Probability = 0% probability Qualitative Description= Unlikely Quantitative Probability = 1% to 30% probability Qualitative Description= As likely as unlikely Quantitative Probability = 40-60% Qualitative Description= likely Quantitative Probability = 70-99% Qualitative Description= certain Quantitative Probability = 100% experiment - correct ans...

Which one of the following statements is true if earnings at risk are $200,000 with 90% confidence? A. Earnings at risk are projected to be $180,000. B. Earnings at risk are projected to be less than $200,000 10% ofthe time. C. Earnings at risk are projected to be $200,000 90% of the time. D. Earnings at risk are projected to be greater than $200,000 10% ofthe time. - B Determining earnings-at-risk (EaR) entails modeling the influence of factors such as A. Differences in the prices of produ...

Linear Regression y = axⁿ logy = loga + nlogx Exponential Regression y = ab^x logy = loga + xlogb Normal Approximation µ = np σ =√(np(1-p)) Mean ∑x ÷ n GF: ∑xf ÷ ∑f Variance (∑x²/n) - (∑x/n)² Standard Deviation √variance Histograms: Height Area = k x frequency Frequency Density frequency ÷ class width Population Whole set of items of interest. Census Observes/measures every member of a population Sample Selection of observations taken fro...

Risks The effect of uncertainty on objectives The chance of something happening that will have an impact on objectives Being prepared for the worst and being poised to exploit opportunities as they are discovered Enterprise Risk Management A strategic business discipline that supports the achievement of an organization's objectives by addressing the full spectrum of its risks and managing the combined impact of those risks as an interrelated risk portfolio. Support Function: B...

ERM Exam 4 Ch 9 Questions & Answers 2024/2025 Which one of the following statements is true regarding event tree analysis? Select one: A. Event tree analysis can be used to select the most effective strategy to achieve a goal. B. Event tree analysis provides only quantitative information. C. Event tree analysis provides only qualitative information. D. Event tree analysis typically provides only two options, success or failure. - ANSWERSD. Event tree analysis typically provides only tw...

Examples of Quantitative and Qualitative Probability - correct answerQualitative Description= impossible Quantitative Probability = 0% probability Qualitative Description= Unlikely Quantitative Probability = 1% to 30% probability Qualitative Description= As likely as unlikely Quantitative Probability = 40-60% Qualitative Description= likely Quantitative Probability = 70-99% Qualitative Description= certain Quantitative Probability = 100% experiment - correct answerthe pro...

event correct answers any collection of results or outcomes of a procedure simple event correct answers outcome or event that cannot be further broken down into simpler compounds Define Mutually Exclusive correct answers Events are disjoint. Events share no outcomes in common! P(A and B) = 0 Define Independence correct answers When two events are said to be independent of each other, what this means is that the probability that one event occurs in no way affects the probability of the o...

Section 1910 of title 29 of the Code of Federal Regulations - Answer-The identifier 29 CFR 1910 refers to? National Institute of Standards and Technology - Answer-Which agency within the Department of Commerce is responsible for conducting research and developing codes and standards for fire protection and prevention, fire equipment, fire behavior, and consumer and building product safety? Directories of state agencies - Answer-Red books and blue books contain? Training of new employees...