Which two components PRIMARILY must be assessed in an effective risk analysis?

A.
Visibility and duration

B.
Likelihood and impact

C.
Probability and frequency

D.
Financial impact and duration

Explanation:

The probability or likelihood of the event and the financial impact or magnitude of the event must
be assessed first. Duration refers to the length of the event; it is important in order to assess
impact but is secondary. Once the likelihood is determined, the frequency is also important to
determine overall impact.