- What is an internal risk?
- A) A risk originating from outside the organization
- B) A risk arising from within the organization
- C) A risk that affects only external stakeholders
- D) A risk related to market competition
- Answer: B) A risk arising from within the organization
- Which of the following is an example of an external risk?
- A) Employee turnover
- B) Equipment failure
- C) Regulatory changes
- D) Ineffective management
- Answer: C) Regulatory changes
- What type of risk is caused by changes in government policies?
- A) Internal Risk
- B) External Risk
- C) Strategic Risk
- D) Operational Risk
- Answer: B) External Risk
- Which risk is typically associated with operational processes and internal controls?
- A) External Risk
- B) Strategic Risk
- C) Operational Risk
- D) Financial Risk
- Answer: C) Operational Risk
- An organization’s failure to comply with internal policies is classified as which type of risk?
- A) External Risk
- B) Strategic Risk
- C) Internal Risk
- D) Compliance Risk
- Answer: C) Internal Risk
- Which risk is related to fluctuating interest rates?
- A) External Risk
- B) Internal Risk
- C) Strategic Risk
- D) Operational Risk
- Answer: A) External Risk
- What kind of risk involves the potential loss due to employee errors or fraud?
- A) External Risk
- B) Strategic Risk
- C) Internal Risk
- D) Financial Risk
- Answer: C) Internal Risk
- Natural disasters such as earthquakes are considered which type of risk?
- A) External Risk
- B) Internal Risk
- C) Operational Risk
- D) Compliance Risk
- Answer: A) External Risk
- Which of the following is an example of an internal risk?
- A) Market competition
- B) Supply chain disruptions
- C) Technology failures
- D) Economic downturns
- Answer: C) Technology failures
- Which risk type includes factors such as changes in consumer behavior and preferences?
- A) Internal Risk
- B) External Risk
- C) Compliance Risk
- D) Financial Risk
- Answer: B) External Risk
- An organization’s inability to manage its supply chain effectively is an example of which type of risk?
- A) Internal Risk
- B) External Risk
- C) Compliance Risk
- D) Strategic Risk
- Answer: A) Internal Risk
- Which type of risk is characterized by potential impacts from economic recessions?
- A) Internal Risk
- B) External Risk
- C) Operational Risk
- D) Strategic Risk
- Answer: B) External Risk
- What type of risk involves impacts from technological advancements or obsolescence?
- A) Internal Risk
- B) External Risk
- C) Compliance Risk
- D) Strategic Risk
- Answer: A) Internal Risk
- Which risk is associated with competition from new market entrants?
- A) Internal Risk
- B) External Risk
- C) Operational Risk
- D) Financial Risk
- Answer: B) External Risk
- Changes in trade regulations affecting an organization’s ability to import/export would be considered which type of risk?
- A) Internal Risk
- B) External Risk
- C) Compliance Risk
- D) Strategic Risk
- Answer: B) External Risk
- Which type of risk involves potential impacts from poor management decisions?
- A) Internal Risk
- B) External Risk
- C) Financial Risk
- D) Operational Risk
- Answer: A) Internal Risk
- A change in industry standards or regulations affecting business operations is classified as which type of risk?
- A) Internal Risk
- B) External Risk
- C) Compliance Risk
- D) Strategic Risk
- Answer: B) External Risk
- What kind of risk is involved with issues related to organizational culture and employee behavior?
- A) Internal Risk
- B) External Risk
- C) Operational Risk
- D) Strategic Risk
- Answer: A) Internal Risk
- Which risk involves potential impacts from fluctuating foreign exchange rates?
- A) Internal Risk
- B) External Risk
- C) Financial Risk
- D) Compliance Risk
- Answer: B) External Risk
- Risk due to supplier failures or disruptions would be classified as what type of risk?
- A) Internal Risk
- B) External Risk
- C) Operational Risk
- D) Strategic Risk
- Answer: B) External Risk
- What kind of risk is involved with internal audits and control failures?
- A) Internal Risk
- B) External Risk
- C) Compliance Risk
- D) Strategic Risk
- Answer: A) Internal Risk
- Which risk relates to impacts from natural calamities such as floods or hurricanes?
- A) Internal Risk
- B) External Risk
- C) Operational Risk
- D) Compliance Risk
- Answer: B) External Risk
- What type of risk includes impacts from technological disruptions and system failures?
- A) Internal Risk
- B) External Risk
- C) Strategic Risk
- D) Compliance Risk
- Answer: A) Internal Risk
- Which risk type involves impacts from changes in market demand and consumer preferences?
- A) Internal Risk
- B) External Risk
- C) Operational Risk
- D) Compliance Risk
- Answer: B) External Risk
- A company’s failure to adapt to industry best practices is an example of which type of risk?
- A) Internal Risk
- B) External Risk
- C) Compliance Risk
- D) Strategic Risk
- Answer: A) Internal Risk
- Which risk type includes potential impacts from shifts in global trade policies?
- A) Internal Risk
- B) External Risk
- C) Financial Risk
- D) Operational Risk
- Answer: B) External Risk
- What kind of risk involves impacts from organizational restructuring or layoffs?
- A) Internal Risk
- B) External Risk
- C) Operational Risk
- D) Strategic Risk
- Answer: A) Internal Risk
- Which risk relates to fluctuations in commodity prices affecting business costs?
- A) Internal Risk
- B) External Risk
- C) Financial Risk
- D) Operational Risk
- Answer: B) External Risk
- A business’s inability to adhere to compliance standards and regulations is classified as which type of risk?
- A) Internal Risk
- B) External Risk
- C) Compliance Risk
- D) Operational Risk
- Answer: C) Compliance Risk
- What type of risk involves external factors such as economic downturns or geopolitical instability?
- A) Internal Risk
- B) External Risk
- C) Strategic Risk
- D) Financial Risk
- Answer: B) External Risk