During a risk assessment, it's discovered that the cost of mitigating a specific risk is higher than the potential loss. The organization decides to accept the risk. This decision demonstrates risk ____________.

Risk acceptance involves acknowledging and tolerating a certain level of risk without implementing specific measures to mitigate it. In this scenario, the organization opts to accept the risk due to the cost-benefit analysis showing that mitigating the risk is economically unfeasible. Understanding when to accept risks is a key aspect of effective risk management in organizations.__________________________________________________