Chapter 11 Project Risk Management

PMP ® Certification Training Programme

Project Risk Management Questions

Questions: 15
Time: 15 min

1 Name the process which includes,

1. Assessing the probability and consequences of identified risks to the project objectives
2. Assigning overall risk ranking to the project, and
3. Creating a list of prioritized risks

A. Perform Quantitative Risk Analysis

B. Identify Risks

C. Perform Qualitative Risk Analysis

D. Plan Risk Management

2 Each of the following statements is true regarding the risk management plan except:

A. The risk management plan is an output of the Plan Risk Management process.

B. The risk management plan includes a description of the responses to risks and triggers.

C. The risk management plan includes thresholds, scoring, and interpretation methods, responsible
parties and budgets

D. The risk management plan is an input to all the remaining risk-planning processes.

3 Which of the following processes assesses the likelihood of risk occurrences and their
consequences using numeric probability assignments?

A. Perform Qualitative Risk Analysis

B. Identify Risks

C. Perform Quantitative Risk Analysis

D. Plan Risk Responses

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4 You are the project manager for a new website. You need to perform Qualitative Risk Analysis.
When you have completed this process, you will produce all the following outputs except:

A. Overall risk ranking for the project

B. List of prioritized risks

C. Risk responses

D. List of risks for additional analysis and management

5 You have identified a risk event on your current project that if it occurs could save $100,000 in the
project costs. Which of the following is true based on this statement? Choose the best answer:

A. This is a risk event that should be accepted, because the rewards outweigh the threat to the project.

B. This risk event is an opportunity to the project.

C. The risk event is a threat to the project.

D. There is not enough information to determine if this risk event is a threat to the project.

6 You were in the middle of a two-year project to deploy new technology to field offices across the
country. A hurricane caused power outages just when the upgrade was near completion. When the
power was restored, all the project reports and historical data were lost with no way of retrieving
them. What should have been done to prevent this problem?

A. Purchase insurance

B. Plan for a reserve fund

C. Monitor the weather and have a contingency plan

D. Schedule the installation outside the hurricane season

7 Your hardware vendor left you a voicemail saying that a potential snowstorm in the Midwest will
prevent your equipment from arriving on time. You identified a risk response for this risk and have
arranged for a local company to lease you the needed equipment until yours arrives. This is an
example of which risk response strategy?

A. Transference

B. Acceptance

C. Mitigation

D. Avoidance

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8 Your project progressed as planned until yesterday. Suddenly, an unexpected risk event occurred.
You quickly devised a response to deal with this negative risk event using which of the following?

A. Contingency plan

B. Workarounds

C. Corrective Action

D. Additional risk identification

9 A project has the following risks,

1. 20% probability of 14 days delay in finalizing customer requirements.
2. 10% probability of 21-day delay in obtaining test system.
3. 50% probability that integration will take 14 more days.
What is the EMV of these events?

A. 11.9 days

B. 35.8 days

C. 49 days

D. 7 days

10 The risks identified for the project must be analyzed to be able to rely on them during the rest of the
project. Which of the following must be completed most importantly?

A. Trigger data analysis

B. Data quality assessment

C. A risk rating matrix

D. Analysis of trends in qualitative risk analysis

11 Residual risks are risks that remain after risk response planning. Secondary risks are:

A. Planning risks that are no longer a factor during project execution

B. Discovered during risk identification

C. New risks created by the risk response strategies selected

D. Lower priority risks not requiring mitigation efforts

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12 A PM has completed risk response planning and has a risk response plan. What is the NEXT thing
the PM should do?

A. Revise the Project management plan

B. Recommend corrective action

C. Update the risk identification checklist

D. Create risk response strategies

13 What is a trigger in project risk management?

A. An expected situation causing an unidentified risk to occur

B. A warning sign that a previously identified risk might be occurring or has occurred

C. An unexpected situation causing an identified risk to occur

D. An unexpected situation causing an unidentified risk to occur

14 With your team you are using judgment from subject matter experts to identify and analyze project
risks. There is a small number of experts available, but some of them have long been in a teacher-
student or manager-assistant relationship. Which of the following techniques can ensure best that
there is no dominating opinion during an expert review?

A. Peer review

B. SWOT analysis

C. Delphi technique

D. Monetary value calculation

15 Risks will be identified during which risk management process (es)?

A. Perform Quantitative Risk Analysis & Identify Risks

B. Identify Risks & Monitor Risks

C. Perform Qualitative Risk Analysis & Monitor Risks

D. Identify Risks

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