b. Selling of equipment with salvage value of 50,000. 7. Risk control a. Installation of CCTV to the whole working area b. Installation of Biometric machine 8. Standard deviation a. systematic investment b. non-systematic investment 9. A risk management technique that combines a wide variety of investments within a portfolio to reduce risk. a. standard deviation b. diversification 10. A risk management step which determine changes and updates are required a. identify risk b. measure riskSee answer
b Selling of equipment with salvage value of 50000 7 Risk control a Installation of CCTV to the whole working area b Installation of Biometric machine 8 Standard deviation a systematic investment b…
Question
Basic Answer
Question 7: Risk control
Correct Answer:
a. Installation of CCTV to the whole working area
Analyzing the Answer：
Installing CCTV enhances security, monitoring employee activities, and deterring theft or vandalism. This directly contributes to risk control by reducing potential losses.
Analysis of other options：
b. Installation of Biometric machine: While biometric machines improve security, they primarily focus on access control, not comprehensive risk control across the entire working area like CCTV.
Question 8: Standard deviation
Correct Answer:
b. non-systematic investment
Analyzing the Answer：
Standard deviation measures the volatility or risk of individual investments (non-systematic risk). It doesn’t directly apply to systematic risk, which affects the entire market.
Analysis of other options：
a. systematic investment: Systematic risk is market-wide risk and is not directly measured by standard deviation of a single investment.
Question 9: A risk management technique that combines a wide variety of investments within a portfolio to reduce risk.
Correct Answer:
b. diversification
Analyzing the Answer：
Diversification is the core principle of spreading investments across different asset classes to reduce the overall portfolio risk. If one investment performs poorly, others may offset the losses.
Analysis of other options：
a. standard deviation: Standard deviation measures risk, it doesn’t reduce it.
Question 10: A risk management step which determines changes and updates are required
Correct Answer:
b. measure risk
Analyzing the Answer：
Measuring risk involves assessing the likelihood and potential impact of identified risks. This assessment informs whether existing controls are adequate or if changes and updates are needed.
Analysis of other options：
a. identify risk: Identifying risks is the first step; measuring risk is crucial for determining the need for changes and updates to risk management strategies.
Question 6: (Implicit in the provided text) Selling of equipment with salvage value of 50,000. This question lacks context to determine what aspect it’s assessing (accounting, finance, etc.). More information is needed to provide a proper answer and analysis.