PM - Chap 12

The two major components of a risk are:

• Time and cost

• Uncertainty and impact

• Quality and time

• Cost and decision-making circumstances

Risk management is normally performed by:

• Developing contingency plans

• Asking the customer for help

• Asking the sponsor for help

• Developing work-around situations

The cause of a risk event is usually referred to as:

• An opportunity

• A hazard

• An outcome

• An unwanted surprise

Acceptance, mitigation, and transfer are examples of risk ________:

• Contingencies

• Uncertainties

• Expectations

• Responses

In which life-cycle phase would project uncertainty be the greatest?

• Initiation

• Planning

• Execution

• Closure

In which life-cycle phase would the financial risks of a project be the greatest?

• Initiation

• Planning

• Execution

• Closure

Identifying a risk as high, moderate, or low would be an example of which risk assessment?

• Go-for-broke

• Adverse

• Qualitative

• Quantitative

Monte Carlo simulation is an example of which risk assessment?

• Go-for-broke

• Adverse

• Qualitative

• Quantitative

Which of the following is not a valid reason for managing a risk?

• Minimizing the risk’s likelihood

• Minimizing the risk’s unfavorable consequences

• Maximizing the probability of the risk’s favorable consequences

• Providing a late-as-possible warning system

Which of the following is generally not part of overall risk management?

• Defining the roles and responsibilities of the team members

• Establishing a risk reporting format

• Selection of the project manager

• Risk scoring and interpretation