GK
BUSINESS ECONOMICS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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1.diversification
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2.insurance
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3. additional information
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4.all of the above
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Detailed explanation-1: -Risk can be reduced in 2 ways-through loss prevention and control. Examples of risk reduction are medical care, fire departments, night security guards, sprinkler systems, burglar alarms-attempts to deal with risk by preventing the loss or reducing the chance that it will occur.
Detailed explanation-2: -What are the four types of risk mitigation? There are four common risk mitigation strategies. These typically include avoidance, reduction, transference, and acceptance.
Detailed explanation-3: -The 4 essential steps of the Risk Management Process are: Identify the risk. Assess the risk. Treat the risk. Monitor and Report on the risk.
Detailed explanation-4: -Avoidance. If a risk presents an unwanted negative consequence, you may be able to completely avoid those consequences. Acceptance. Reduction or control. Transference. Summary of Risk Mitigation Strategies.