PK0-004 Question #591: Real Exam Question with Answer & Explanation

The correct answer is C: Establish and monitor trigger conditions.. Medium-rated risks do not require immediate escalation or heavy resource allocation, but they must not be ignored. The best practice is to establish trigger conditions-early warning signs that indicate a risk is becoming more likely or is about to materialize-and then actively mo

Question

During the risk assessment process, the qualitative analysis results in the majority of risk scores being rated as medium. Which of the following is the BEST course of action?

Exhibit

Options

AIncrease the contingency reserve.
BAdd the risks to the watch list.
CEstablish and monitor trigger conditions.
DAssign the sponsor as the primary risk owner.

Explanation

Medium-rated risks do not require immediate escalation or heavy resource allocation, but they must not be ignored. The best practice is to establish trigger conditions-early warning signs that indicate a risk is becoming more likely or is about to materialize-and then actively monitor for them. This allows the team to respond proactively before a medium risk escalates. Increasing contingency reserves (A) is more appropriate for high-probability/high-impact risks. Adding risks to the watch list (B) is typically reserved for low-rated risks that need minimal tracking. Assigning the sponsor as the primary risk owner (D) is inappropriate; the sponsor should not be burdened with owning routine medium-level risks-that responsibility belongs to the project team.

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