According to the International Professional Practices Framework, risk is: I. Defined as the negative effect of events that are expected to occur. II. Measured in terms of consequences. III. Measured in terms of likelihood.
according to the IIA Guidance
Risk is measured in term of impact and likelihood
its not necessary to represent a negative impact, and then the choice 1 + 2 is correct
but in logical if the risk is not represent the negative impact only, how we can distinguish between risk and opportunity, when the opportunity represent positive impact ??
There is a cost/opportunity relationship. There is no business without risk appetite (there is no such thing as zero risk), because the outcome can be positive.
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Hamoudeh
1 year, 3 months agoJohn1237
1 month, 3 weeks ago