Ted is the project manager of the HRR project for his company. Management has asked that Ted periodically reviews the contingency reserve as risk events happen, pass, or are still pending. What is the purpose of reviewing the contingency reserve?

1. A. It helps to evaluate if the remaining reserve is adequate for the risk exposure.
2. B. It helps to determine how much more funds will need to be invested in the project.
3. C. It helps to evaluate secondary and residual risks related to the risk responses and their costs.
4. D. It helps to determine the probability and impact of project risks.

Correct Answer: A

You are the project manager for your organization. You are working with your key stakeholders in the qualitative risk analysis process. You understand that there is certain bias towards the risk events in the project that you need to address, manage, and ideally reduce. What solution does the PMBOK recommend to reduce the influence of bias during qualitative risk analysis?

1. A. Establish the definitions of the levels of probability and impact
2. B. Provide iterations of risk analysis for true reflection of a risk probability and impact
3. C. Isolate the stakeholders by project phases to determine their risk bias
4. D. Involve all stakeholders to vote on the probability and impact of the risk events

Correct Answer: A

Lisa is the project manager of the FKN project for her organization. She is working with Sam, the CIO, to discuss a discount the vendor has offered the project based on the amount of materials that is ordered. Lisa and Sam review the offer and agree that while their project may qualify for the discounted materials the savings is nominal and they would not necessarily pursue the savings. Lisa documents this positive risk response in the risk register. What risk response is this?

1. A. Enhance
2. B. Transference
3. C. Share
4. D. Acceptance

Correct Answer: D

Stephen is the project manager of the GBB project. He has worked with two subject matter experts and his project team to complete the risk assessment technique. There are approximately 47 risks that have a low probability and a low impact on the project. Which of the following answers best describes what Stephen should do with these risk events?

1. A. The low probability and low impact risks should be added to a watchlist for future monitoring.
2. B. Because they are low probability and low impact, the risks can be dismissed.
3. C. The low probability and low impact risks should be added to the risk register.
4. D. Because they are low probability and low impact, Stephen should accept the risks.

Correct Answer: A

You are the project manager of the HJK Project for your organization. You and the project team have created risk responses for many of the risk events in the project. Where should you document the proposed responses and the current status of all identified risks?

1. A. Stakeholder management strategy
2. B. Risk management plan
3. C. Risk register
4. D. Lessons learned documentation

Correct Answer: C