Explanation

This is ' contingent business interruption ' insurance. This protects you if anything were to happen to your suppliers ' premises. Business Interruption Insurance would cover you if something were to happen to your premises. See p.99

Explanation

The correct answer is 3 ' no- the team should review the company ' s risk appetite before creating a risk register ' . This questions tests to see if you understand what risk appetite is and when this should be reviewed. Risk appetite is the first stage in developing any plan as it will influence the next stages. For example if the company has a large risk appetite, this would affect how they would classify risks and what mitigating actions they would take. Risk appetite is explained in chapter 1.1 (p.4) but it also comes up in Learning Outcome 3

Explanation

The correct answers are as follows:

Table Description automatically generated

Explanation

The correct responses are 2 and 4: risk management is a continual process and helps companies ensure the smooth and successful running of P+S. These are direct quotes from p.3 of the study guide. The other answers are wrong- if risk management is a continuous process it ' s not something that is done once a year- so this option is automatically discounted. Option 1 is also wrong as you can never reduce all risks to 0, and option 5 is also wrong- risks can be treated and transferred, but they can also be tolerated and terminated.

Explanation

The correct answers are as follows:

Table Description automatically generated

CSR= Corporate Social Responsibility

Explanation

The first three sentences are true about ISO 31000. The list of the 11 principles are from p. 140. ISO 3100 is a known exam topic.