PK0-005 · Question #259
A project manager and team are reviewing a task that is supposed to take nine days to complete and cost $3,000. There is a 20% chance that an associated risk related to changing requirements could…
The correct answer is B. 10 days and $3,200. This question requires calculating the Expected Monetary Value (EMV) and expected duration for the risk. The risk has a 20% probability of adding 5 days and $1,000. Expected additional days: 20% × 5 = 1 day. Expected additional cost: 20% × $1,000 = $200. Adding these to the…
Question
A project manager and team are reviewing a task that is supposed to take nine days to complete and cost $3,000. There is a 20% chance that an associated risk related to changing requirements could occur, resulting in rework that would add an additional five days and $1,000 in costs. Which of the following represents the total amount that should be budgeted for the task?
Options
- A9 days and $3,000
- B10 days and $3,200
- C12 days and $3,800
- D14 days and $4,000
How the community answered
(29 responses)- A17% (5)
- B72% (21)
- C7% (2)
- D3% (1)
Explanation
This question requires calculating the Expected Monetary Value (EMV) and expected duration for the risk. The risk has a 20% probability of adding 5 days and $1,000. Expected additional days: 20% × 5 = 1 day. Expected additional cost: 20% × $1,000 = $200. Adding these to the base estimates: 9 + 1 = 10 days and $3,000 + $200 = $3,200. This is the standard EMV technique used in risk-adjusted budgeting and scheduling.
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