CLEP Principles of Management Exam Prep

Answer: a - Accept, mitigate, transfer and avoid are the four acceptable ways of dealing with risk. Remember that mitigating and reducing are synonyms in risk management, and that insuring is a form of transferring risk.

Key Takeaway: We want you to remember these four options and consider them each time you contemplate what to do with a risk. Our natural tendency is to avoid or mitigate, but sometimes that is not possible.