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PMI-RMP · Question #3

PMI-RMP Question #3: Real Exam Question with Answer & Explanation

The correct answer is A: The risk exposure of the event is $245,000.. See the full explanation below for the reasoning.

Perform Targeted Risk Analysis

Question

You are the project manager of the KJH Project and are working with your project team to plan the risk responses. Consider that your project has a budget of $500,000 and is expected to last six months. Within the KJH Project you have identified a risk event that has a probability of .70 and has a cost impact of $350,000. When it comes to creating a risk response for this event what is the risk exposure of the event that must be considered for the cost of the risk response?

Options

  • AThe risk exposure of the event is $245,000.
  • BThe risk exposure of the event is $500,000.
  • CThe risk exposure of the event is $350,000.
  • DThe risk exposure of the event is $850,000.

Topics

#Expected Monetary Value (EMV)#Quantitative Risk Analysis#Risk Exposure#Risk Response Planning

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