AAFM GLO_CWM_LVL_1 Exam - Topic 2 Question 89 Discussion

Actual exam question for AAFM's GLO_CWM_LVL_1 exam

Question #: 89
Topic #: 2

P Ltd sets the target to produce 1000 tones of steel during the next six months to recover the cost but there is a possibility that due to strikes and lockouts the targeted output may not be archived. What type of risk is associated with the production process?

APure Risk

BSpeculative Risk

CLiability Risk

DAll the above

Show Suggested Answer

Suggested Answer: B

by Tambra at Sep 19, 2024, 12:34 PM

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Natalie

8 months ago

All of the above could apply in some way!

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Meghann

8 months ago

Definitely a speculative risk too, right?

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Adell

8 months ago

Wait, are we sure it's just pure risk? What about other factors?

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Joni

9 months ago

Totally agree, strikes can really mess things up!

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Dianne

9 months ago

Sounds like a pure risk to me.

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Osvaldo

9 months ago

Could it be liability risk? I mean, if the strikes lead to legal issues, that might be a factor, but I'm not confident about that.

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Shawnta

9 months ago

I practiced a question similar to this, and I think it was about operational risks. This feels like it could fall under that category too.

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Felix

9 months ago

I'm not entirely sure, but I remember something about speculative risks being tied to potential gains or losses. This seems more about just loss, right?

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Lemuel

10 months ago

I think this might be a pure risk since it involves the possibility of loss without any chance of gain, like the strikes affecting production.

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Kaycee

10 months ago

I'm feeling confident about this one. The question is clearly asking about the type of risk, and based on the information provided, the risk is related to external factors like strikes and lockouts that could disrupt the production process. That points to a pure risk, where there's a potential for loss but no opportunity for gain.

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Carey

10 months ago

Hmm, I'm a bit unsure about this one. The question mentions strikes and lockouts, which could impact the production process. I'll need to think through how that relates to the different risk types.

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Mollie

10 months ago

This seems like a straightforward question about risk types. I'll carefully read through the options and think about the key characteristics of each type of risk.

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Janine

10 months ago

Okay, I've got this. The question is asking about the type of risk associated with the production process, and the key information is that the targeted output may not be achieved due to strikes and lockouts. That sounds like a pure risk to me, where there's a possibility of loss but no potential for gain.

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Staci

10 months ago

Okay, this looks like a standard integration problem. I'll start by identifying the function and seeing if I recognize any integration techniques that could work.

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Jacinta

1 year ago

I'm feeling lucky, so I'm going with B) Speculative Risk. After all, who doesn't love a good gamble? Strikes and lockouts are like the dice rolling in this production process casino. Fingers crossed for a jackpot!

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Stevie

1 year ago

I'm going with A) Pure Risk. Strikes and lockouts are events outside the company's control, so it's a pure risk that could disrupt the production process. It's like trying to predict the weather - good luck with that!

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Wai

1 year ago

Definitely B) Speculative Risk. This is a classic example of a situation where the company is taking a calculated risk in the hopes of recovering their costs. I hope the production team has a contingency plan in place!

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Josphine

1 year ago

Let's hope the strikes and lockouts don't affect the production too much.

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Renay

1 year ago

Taking risks is part of business, but it's important to be prepared.

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Merlyn

1 year ago

The production team should definitely have a contingency plan.

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Lettie

1 year ago

I agree, it's definitely B) Speculative Risk.

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Lanie

1 year ago

The answer has to be D) All the above. The production process can be affected by pure risks like natural disasters, speculative risks like market fluctuations, and liability risks like workplace accidents.

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Devorah

1 year ago

By being aware of different types of risks, P Ltd can better prepare for any potential disruptions in the production process.

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Mariko

1 year ago

It's important for P Ltd to consider all possible risks when setting production targets.

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Eden

1 year ago

I agree, the production process can be affected by various types of risks.

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Bulah

1 year ago

I think the correct answer is B) Speculative Risk. The question mentions the possibility of not achieving the targeted output due to strikes and lockouts, which is a speculative risk that can result in either a gain or a loss.

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