Billy is the project manager of the HAR Project and is in month six of the project. The project is scheduled to last for 18 months. Management asks Billy how often the project team is participating in risk reassessment in this project. What should Billy tell management if he's following the best practices for risk management?

1. A. Project risk management is scheduled for every month in the 18-month project.
2. B. Project risk management has been concluded with the project planning.
3. C. At every status meeting the project team project risk management is an agenda item.
4. D. Project risk management happens at every milestone.

Correct Answer: C

Ned is the project manager of the HNN project for your company. Ned has asked you to help him complete some probability distributions for his project. What portion of the project will you most likely use for probability distributions?

1. A. Bias towards risk in new resources
2. B. Risk probability and impact matrixes
3. C. Risk identification
4. D. Uncertainty in values such as duration of schedule activities

Correct Answer: D

You work as a project manager for BlueWell Inc. You with your team are using a method or a (technical) process that conceives the risks even if all theoretically possible safety measures would be applied. One of your team member wants to know that what is a residual risk. What will you reply to your team member?

1. A. It is a risk that can not be addressed by a risk response.
2. B. It is a risk that will remain no matter what type of risk response is offered.
3. C. It is a risk that remains because no risk response is taken.
4. D. It is a risk that remains after planned risk responses are taken.

Correct Answer: D

Mary is the project manager of the HGH Project for her company. She and her project team have agreed that if the vendor is late by more than ten days they will cancel the order and hire the NBG Company to fulfill the order. The NBG Company can guarantee orders within three days, but the costs of their products are significantly more expensive than the current vendor. What type of a response strategy is this?

1. A. Internal risk management strategy
2. B. Contingent response strategy
3. C. External risk response
4. D. Expert judgment

Correct Answer: B

You are the project manager of the GHY Project for your company. You have completed the risk response planning with your project team. You now need to update the WBS. Why would the project manager need to update the WBS after the risk response planning process? Choose the best answer.

1. A. Because of work that was omitted during the WBS creation
2. B. Because of new work generated by the risk responses
3. C. Because of risk responses that are now activities
4. D. Because of risks associated with work packages

Correct Answer: B