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…

Question

Options

• AThe quantitative risk analysis process will analyze the effect of risk events that may
• BThe quantitative risk analysis reviews the results of risk identification and prepares the project
• CThe quantitative risk analysis process will review risk events for their probability and impact on
• DThe quantitative risk analysis seeks to determine the true cost of each identified risk event

• A
  87% (46)
• B
  4% (2)
• C
  8% (4)
• D
  2% (1)

Explanation

Quantitative risk analysis numerically analyzes the effect of identified risk events on overall project objectives (typically cost and schedule). Option A correctly captures this by stating it analyzes the 'effect of risk events.' Option B describes the input preparation process, which is more aligned with qualitative analysis. Option C describes qualitative risk analysis, which reviews probability and impact ratings (high/medium/low) rather than numerical values. Option D is partially correct but too narrow - quantitative analysis goes beyond just cost per risk to model combined effects on the entire project using techniques like Monte Carlo simulation and decision tree analysis. The key distinguishing feature of quantitative analysis is that it uses numerical data to assess overall project risk exposure.

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