Gary is the project manager for his project. He and the project team have completed the qualitative risk analysis process and are about to enter the quantitative risk analysis process when Mary, the project sponsor, wants to know what quantitative risk analysis will review. Which of the following statements best defines what quantitative risk analysis will review?

1. A. The quantitative risk analysis process will review risk events for their probability and impact on the project objectives.
2. B. The quantitative risk analysis seeks to determine the true cost of each identified risk event and the probability of each risk event to determine the risk exposure.
3. C. The quantitative risk analysis process will analyze the effect of risk events that may substantially impact the project's competing demands.
4. D. The quantitative risk analysis reviews the results of risk identification and prepares the project for risk response management.

Correct Answer: C

Rex is the project manager of the BDF Project. This project will last for two years and has a budget of $2,345,000. Management has instructed Rex that the project must not go over budget as funds are very tight in the organization. During the project planning Rex and the project team discover a positive risk event to save $75,000. Rex wants to make certain that this risk event happens so which risk response method is most appropriate?

1. A. Share
2. B. Mitigation
3. C. Exploit
4. D. Enhance

Correct Answer: C

Nancy is the project manager of a project with 78 stakeholders. This is a high-profile project and she needs to express to her project team and to the management the importance of communication in this project. She would like to show the number of stakeholder communication channels in the project. Based on this information how many communication channels exist within this project?

1. A. 156
2. B. 3,003
3. C. 78
4. D. 6,084

Correct Answer: B

Examine the figure given below.
What will be the expected monetary value of Risk C?

1. A. -$113,750
2. B. $175,000 if the risk event actually happens
3. C. -$175,000
4. D. -$27,000

Correct Answer: D

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. A teaming agreement is an example of what risk response?

1. A. Transference
2. B. Acceptance
3. C. Mitigation
4. D. Sharing

Correct Answer: D