a. Holistic risk management provides mono-line policies while traditional risk management provide multiline policies. O b. holistic risk management protects industrial risks while traditional risk management protects industrial risks and financial exposures. c. holistic risk management provides the protection to the balance sheet while traditional risk management cannot provide this cover. O d. holistic risk management manages operational risk only while traditional risk management manages all risk categories that have an impact on the balance sheet. Q22 Cuestion 22 Not yet Marked out of P Flag P Elag gueation Umda University is a privately owned education institution operating in four provinces of South Africa. The council of the university held four meetings during the 2023 academic year ending July 2023, where the following documents were discussed: (1) Risk register (5 top risks) Notes: All risk management reports were timely communicated to both the management and council. (2) Audit report (matters needing urgent attention) Debt costs increased from 3% to 5% of university income b. Non-adherence to accounting policies c. All computer assets of the university have exceeded the SARS-prescribed depreciation rates and period. (3) Financial information e. Performance information The university has only achieved 2 out of 6 strategic objectives. A recognised institution has downgraded the university teaching and research from a ranking of 11 to 26 . Council has not ensured the implementations of recommendations made by both the Internal Audit and Auditors during the last three years. f. Audit opinion: the university obtained a disqualified opinion from auditors. Council minutes (approved) Composition Council has five non-executive members who receive remuneration. Risk-related fees for non-executive members are R25 000 per meeting. The chair of the Council, who is a nonexecutive member, receives R50 000 per meeting, while the deputy chair, also a non-executive member, receives R45 000 per meeting. All other members of Council do not receive remuneration. The cost of each meeting, excluding the remuneration of members, is R45 000. It is expected that this cost will increase by 5% in the next academic period. Decisions Zero increase on meeting fees of Council members in the next academic period. Increase the number of Council meetings from 4 to 6 per academic year. Management to apply for government funding even though the Minister of Finance announced a blanket 20\% budget cut in all social spending. Management is not allowed to make any loans. Replenish the university financial reserves by contributing 10% of surplus each year for the next ten years. uestion Identify the compliance risk in the options below. 1. Disqualified audit opinion b. Lapsed insurance policy O c. Non adherence to SARS prescribed depreciation rates d. Poor achievement of strategic objectives