Which term describes the chance of a negative outcome or consequence?

• A. Risk
• B. Likelihood
• C. Severity
• D. Holding Principle

Answer: (A)

Risk describes the chance of a negative outcome or consequence. It captures not just whether something could happen, but how likely it is and how serious the result could be. In practice, risk reflects the overall threat level, often thought of as a combination of probability and impact. That’s why it’s the best fit for describing the chance of a negative outcome.

Likely describes how probable something is, but doesn’t address how bad it could be. Severity describes how serious the outcome would be, not how likely it is. The holding principle isn’t a standard term used to describe this concept.