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Management Has Decided to Invest Significant Capital in a New

Question 191

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Management has decided to invest significant capital in a new and innovative large computer system. They understand that they are one of the first organizations to implement this system, but they believe the benefits outweigh the uncertainty over the performance and reliability of the software. This decision best describes which aspect of risk management?


A) Risk appetite.
B) Risk tolerance.
C) Residual risk.
D) Inherent risk.

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