ENTERPRISE RISK MANAGEMENT (MNK203-R) TUTORIAL LETTER 201 (MNK203-R/2007) FIRST AND SECOND SEMESTERS UNISA
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CONTENTS 1 2 3 4
INTRODUCTION GUIDELINES ON ANSWERING ASSIGNMENT 01 GUIDELINES ON PREPARING FOR THE EXAMINATION CONCLUDING REMARKS
Dear Student 1
INTRODUCTION
This is the final tutorial letter for this module for 2007. The purpose of this tutorial letter is to supply the correct answers to Assignment 01, give you guidelines on preparing for the examination, and explain the format of the examination paper. 2
GUIDELINES ON ANSWERING ASSIGNMENT 01
The answers to the true/false questions are as follows: Question 1: Option 1 See page 13-14 of the study guide. Question 2: Option 2 Refer to table 1.1 on page 10. See page 10 of the study guide. Question 3: Option 1 Fundamental risks can also arise from purely physical occurrences such as a hurricane. See page 37 of the study guide.
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Question 4: Option 3 The major subcategory of incidental risks is financial risk. See page 32 of the study guide. Question 5: Option 1 Different people perceive risk differently. All of us are from different backgrounds and therefore have different perceptions of the word “risk”. See page 5 of the study guide. Question 6: Option 4 Specific business risk can be further sub-divided into sales variability, operating leverage, resource risks, profit margin and turnover. See page 32 of the study guide. Question 7: Option 2 Fire, explosions, earthquakes and storms are all examples of perils. See page 37 of the study guide. Question 8: Option 2 24/350 * 100% = 6.857... = 6.9% See page 12 of the study guide. Question 9: Option 3 The most widely used measure of central tendency is the mean. See page 14 of the study guide.
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Question 10: Option 3 Event risk includes the possibility of loss only. See page 30 of the study guide. 3
GUIDELINES ON PREPARING FOR THE EXAMINATION
3.1 Format of the examination paper The examination paper consists entirely of compulsory sections. Section A consists of 30 multiple-choice questions worth 30 marks. Section B consists of four short/essay-type questions worth 10 marks each. The total of the paper is 70 marks. 3.2 Study guidelines The study material for this module is contained in one study guide only. You are expected to have a thorough knowledge of the entire content of the study guide for the examination. Please note that you will NOT be examined on probability distributions discussed in study unit 1 paragraph 1.3.1.3 to 1.3.1.5 (pp18-24). All other calculations must be studied for the examination. Pay special attention to the following points when answering the paper: Λ Λ Λ
Answer the paragraph questions in point format. Underline or highlight the main facts. Make use of headings and subheadings in your answers. Pay attention to the mark allocation per question. Make sure that you have included enough facts to deserve the marks allocated. Number your answers according to the numbers assigned to the questions in the paper.
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CONCLUDING REMARKS
We trust that you have found this module both interesting and rewarding and that the knowledge that you have gained will contribute to the development of your personal life and career. We wish you all the best with your preparation for the examination. Please do not hesitate to contact us should you have any difficulties with the material dealt with in this module. Best wishes
MRS AT MUTEZO MRS CJ DE SWARDT SCHOOL OF BUSINESS MANAGEMENT UNISA
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