Risk Management Assignment Answers from Experts Who Guide Well
Risk is a great word. There no life with no risk. However, in business, risk is equal to devastation.
To avert losses and disasters, every organization has a team of people who handle risk, and the process of handling risks is known as risk management.
What Kind of Risk?
In a conventional set up, a risk equates with loss of money. However there are few other risks as well like:
- Risk of natural calamities
- Risk of loss of repute
- Risk of business loss
Indirectly, most of the risks are associated with Financial risk. If a company loses money, it loses it faith, its repute, customers as well as goodwill.
Studying Financial Risks
For any organization, it is easy to bring a good reputation and fortune if it has enough cash to entice the customers.
The main risks therefore happen to be business and credit risk.
Risk Management assignment answers usually revolve around market risks, and hence the subject has to be dealt with accordingly.
Business & Credit Risk
A Cost benefit analysis is usually conducted by the financial team to analyze the potential of any project. If the cost is less than the projected profit, the there is no risk. If the cost is more than benefit, then it is a high risk project, and usually Stakeholders shy away from investing in such projects.
Risk Management homework answers also involve a lot of analysis around Credit risk. Whether an organization should offer credit, whether it should accept loans, whether it should start trading in stocks, all these factors comprise of credit risk.
Hence, Risk management is not about averting risks only. It is about ensuring that the financial health of a company does not get affected by few investments or credits.
Risk management assignment answers are therefore, a part of finance as well. In order to crack your assignments, it is must that you understand basics of Finance as well.
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