When establishing the risk management context for calculating risk, the formulas and methods for combining impact and likelihood must be consistent with the defined criteria. This ensures that the risk calculations are accurate and meaningful. If the formulas and methods are not consistent, the resulting risk scores may not accurately reflect the true level of risk.

While risk appetite and tolerance (A) are important for overall risk management, they don't directly dictate the formulas for calculation. KRIs and KPIs (C) are used for monitoring, not calculation.