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PK0-005 · Question #193

PK0-005 Question #193: Real Exam Question with Answer & Explanation

The correct answer is A: Transfer. Transfer is a risk management strategy that involves shifting the responsibility or impact of a risk to a third party, such as an insurance company, a vendor, or a contractor. By buying an extended warranty for a set of servers, the project manager is transferring the risk of ser

Project Management Concepts

Question

A project manager buys an extended warranty for a set of servers. Which of the following risk management strategies is the manager using?

Options

  • ATransfer
  • BAvoid
  • CAccept
  • DMitigate

Explanation

Transfer is a risk management strategy that involves shifting the responsibility or impact of a risk to a third party, such as an insurance company, a vendor, or a contractor. By buying an extended warranty for a set of servers, the project manager is transferring the risk of server failure or malfunction to the warranty provider, who will cover the cost of repair or replacement in case of a risk event. This way, the project manager reduces the exposure and liability of the project to the risk, while still retaining some level of accountability and oversight.

Topics

#Risk Management#Risk Transfer#Project Risk Strategies

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