Access BASF's Corporate Report from its web site. Included in this CRR is an exhibit containing its goals, one of which is a reduction of chemical emissions for various chemicals by varying percentages by 2012 (for example, this exhibit is found on page 13 of its 2004 report). Based on the stated goals and progress made toward its goals, compare and contrast management's and the auditor's perspectives as it applies to each risk management step for the risk of chemical emissions at BASF (use Figure 2-4 as a guide).

Figure 2-4

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(1) Risk Assessment Example: Risk of loan losses (11) Response by Management Example: Loan reviews and required collateral (V) Reaction by Management Example: Diversification, Securitization (IV) Performance Results Example: Bad debt statistics and collection rates Information System Example: System for tracking loan activity Financial Statements