Final answer:
The risk equation in epidemiology uses probability of occurrence and magnitude of impact to determine the level of risk. Relative risk is a crucial part of this equation, quantifying the risk associated with specific exposures by comparing incidences in exposed and unexposed groups. D) Source of risk and number of business processes affected
Step-by-step explanation:
The factors the risk equation uses to determine the level of risk are probability of occurrence and magnitude of impact. In epidemiology, for instance, assessing risk involves analyzing the frequency of a health-related event by comparing groups with different exposures to a potential risk factor. The relative risk is calculated by dividing the incidence of the health event for the exposed group by the incidence of the health event in the unexposed group (RR = incidence of outcome in exposed group / incidence of outcome in non-exposed group).
In broader risk analysis, especially relating to environmental or technological threats, the same principles apply, although the variables involved might differ. The equation also considers the potential for secondary risks and the effectiveness of strategies to mitigate risk. By understanding all these factors, we can anticipate and prevent adverse outcomes in various contexts, from public health to environmental management and beyond.