Sam is the project manager of a construction project in south Florida. This area of the United States is prone to hurricanes during certain parts of the year. As part of the project plan Sam and the project team acknowledge the possibility of hurricanes and the damage the hurricane could have on the project's deliverables, the schedule of the project, and the overall cost of the project. Once Sam and the project stakeholders acknowledge the risk of the hurricane they go on planning the project as if the risk is not likely to happen. What type of risk response is Sam using?

1. A. Active acceptance
2. B. Passive acceptance
3. C. Avoidance
4. D. Mitigation

Correct Answer: B

Donna is the project manager of the QSD Project and she believes Risk Event D in the following figure is likely to happen.
If this event does happen, how much will Donna have left in the risk contingency reserve if none of the other risk events have happened?

1. A. $35,000
2. B. $41,700
3. C. $14,000
4. D. $6,700

Correct Answer: D

Which of the following is a risk response planning technique associated with threats that seeks to reduce the probability of occurrence or impact of a risk to below an acceptable threshold?

1. A. Avoidance
2. B. Exploit
3. C. Transference
4. D. Mitigation

Correct Answer: D

In addition to monitoring and controlling the project risks for their status and information the risk monitoring and controlling process accomplishes four key things for a project. Which one of the following is NOT a determination that is made by the risk monitoring and
controlling process?

1. A. Determines if the project assumptions are still valid
2. B. Determines if the risk management policies and procedures are being followed
3. C. Determines if the risk contingency reserves should be modified to be in alignment with the current risk assessment
4. D. Determines if the project constraints are still valid

Correct Answer: D

You are the project manager of the NJJ project. Your enterprise environmental factors require that you establish certain risk management rules regarding low risks within your project. What is the best policy for risks with low probability and low impact in the project management?

1. A. These risks should be accepted.
2. B. These risks should be placed on a watchlist for future monitoring.
3. C. These risks should be identified, but dismissed.
4. D. These risks should be placed in the risk register.

Correct Answer: B