in the context of development of safety critical systems, if an undesirable event has a ten percent probability of occurring and a potential cost of $50,000, then the risk can be calculated as which of the following?

An organization's ability to create profits at the desired levels is threatened by hazards, which can also pose a long-term threat to the sustainability of the organization.

Weighing all potential outcomes and being prepared to develop (and carry out) a solution, however challenging, in the event of the worst-case scenario Bad risk: Considering all the costs and failing to develop a workable plan of action in the event that the worst-case scenario occurs.

The process of identifying, evaluating, and controlling risks to your company's financial stability is referred to as risk management.

So, the risk will be:

Profitability is 10%.

The cost is $50,000.

Now, the risk will be:

50,000/100 × 10

500 × 10

$5000

Therefore, the risk will be of $5000.

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