What does the probability of occurrence multiplied by the impact of the event, equals to

In risk management, the quantitative value derived from multiplying the probability (or likelihood) of a risk event occurring by its potential impact (or consequence) is referred to as the risk magnitude. This value, also known as a risk score or risk exposure, represents the significance of the risk. While this magnitude is used to determine the "level of risk" (e.g., Low, Medium, High), the direct product of the calculation itself is most precisely termed the magnitude.

A. Risk Tangent is not a standard or recognized term within the ISO 31000 framework or general risk management vocabulary.

B. A Risk Scale is a predefined set of values or descriptors (e.g., 1-5, or Low-High) used to measure risk components, not the calculated result.

C. Risk Level is the classification (e.g., acceptable, tolerable, unacceptable) assigned to a risk after its magnitude has been calculated and evaluated against risk criteria.

1. ISO Guide 73:2009, Risk management — Vocabulary, Section 3.8.1.5. The official definition for "level of risk" is "magnitude of a risk or combination of risks, expressed in terms of the combination of consequences and their likelihood." This directly links the calculation (combination of consequence and likelihood) to the concept of "magnitude," making it the fundamental output.

2. Purdy, G. (2010). ISO 31000:2009—Setting a new standard for risk management. Risk Analysis: An International Journal, 30(6), 881-886. This academic review discusses the ISO 31000 process, where risk analysis (Clause 5.4.3) involves determining the magnitude of risk from its consequences and likelihoods before proceeding to risk evaluation.

3. University of California, Berkeley. (n.d.). Risk Management Courseware, Enterprise Risk Management. Course materials frequently distinguish between the calculated "risk magnitude" (or score) and the subsequent "risk level" or "rating" which is determined by plotting the magnitude on a risk matrix against the organization's risk appetite and criteria. The multiplication directly yields the magnitude.