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What is the process of limiting a company's exposure to liability?
Correct Answer: A
Risk managementinvolves identifying, assessing, and mitigating risks that could result in liability. This process includes: * Implementing safety procedures and compliance measures. * Training employees on risk mitigation strategies. * Developing emergency response and contingency plans. * Why the other options are incorrect: * (B) Risk avoidanceseeks to eliminate risk altogether but is not always feasible. * (C) Liability managementis a subset of risk management but does not encompass the entire process. * (D) Limited liability analysisis a financial strategy, not a risk mitigation process.