Question

According to COSO, which of the following components addresses the need to respond in an organized manner to significant changes resulting from international exposure, acquisitions, or executive transitions?

a.Monitoring activities.
b.Risk assessment.
c.Information and communication.
d.Control activities.

Answer 1

Answer:

Option (B) i.e., Risk assessment is the correct answer to the following question.

Explanation:

The following option is correct because Risk assessment is the way you identify the risk and the hazardous factors related to risk and we can also say that it is the process of examining the tasks, process or that jobs which you are done to identify the objective of the risk.

So, that's why the Risk assessment is the correct option.