PK0-005 · Question #310
PK0-005 Question #310: Real Exam Question with Answer & Explanation
The correct answer is C: Quantitative risk analysis. Quantitative risk analysis involves numerically analyzing the effect of identified risks on overall project objectives. It often includes assigning monetary values to risks to understand their impact in financial terms, helping in prioritizing risks based on their potential cost
Question
A project manager is in the process of evaluating the probability and impact of a risk by assigning numbers such as a monetary value. Which of the following is the project manager using?
Options
- AMonte Carlo simulation
- BRoot cause analysis
- CQuantitative risk analysis
- DRisk response analysis
Explanation
Quantitative risk analysis involves numerically analyzing the effect of identified risks on overall project objectives. It often includes assigning monetary values to risks to understand their impact in financial terms, helping in prioritizing risks based on their potential cost or impact on the project. This contrasts with qualitative risk analysis, which assesses risks based on their probability and impact but does not assign numerical values.
Topics
Community Discussion
No community discussion yet for this question.