Question：------- risks are risks from which either good or harm may result.

　　A. Strategic risks

　　B. Fundamental risks

　　C. Speculative risks

　　D. Pure risks

　　E. Particular risks

　　The correct answer is: Speculative risks.

　　Fundamental risks are any risks that affect society in general and can't be controlled by any individual.

　　Particular risks are risks over which individuals have some measure of control.

　　Pure risks are risks from which only harm can result.

　　Strategic risks that relate to the fundamental and key decisions that directors take about the future of the organisation.

　　Question：Which of the following are potential benefits of risk management for a company?

　　A. Lower insurance costs

　　B. Elimination of residual risk

　　C. Cash flow predictability

　　D. Limitation of possibility of bankruptcy

　　E. Increased confidence of shareholders

　　The correct answers are: Cash flow predictability; Limitation of possibility of bankruptcy; Increased confidence of shareholders; Lower insurance costs.

　　解析：Risk management should reduce the risks that can result in unexpected cash flows or ultimately bankruptcy. As a result shareholders should be happier with the company.

　　Lower insurance costs could possibly be a benefit in accordance with the terms of the question, if insurance companies reduce premiums because they are happy with the risk management steps that the company is taking. However if the company chooses to manage its risks by significant use of insurance, premiums may also increase.

　　Residual risk is the risk that remains with the company after normal steps have been taken to manage other risks. It is unlikely to be eliminated as companies generally do not operate in a risk free environment.