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CompTIA Security+ SY0-701 Practice Question

An organization with a low risk tolerance but high risk appetite is likely to engage in aggressive growth strategies while accepting significant potential losses.

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Answer Description

This statement is incorrect because risk appetite and risk tolerance are closely related concepts. An organization with a high risk appetite is willing to accept more risk in pursuit of higher returns, which correlates with a high risk tolerance. Conversely, a low risk tolerance implies a cautious approach to risk-taking, which would not align with aggressive growth strategies or accepting significant losses. Therefore, an entity with a low risk tolerance would typically also have a low risk appetite, not a high one.

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CompTIA Security+ SY0-701

Security Program Management and Oversight

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