Which of the following describes a difference between qualitative and quantitative risk analysis?

Question

Options

• AQuantitative risk analysis addresses individual risks descriptively; qualitative risk analysis predicts
• BQuantitative risk analysis adds to the risk register, qualitative risk analysis leads to quantitative
• CQuantitative risk analysis prioritizes individual risks for subsequent treatment, qualitative risk
• DQualitative risk analysis addresses individual risks descriptively; quantitative risk analysis predicts

• A
  4% (1)
• B
  4% (1)
• D
  93% (25)

Explanation

Qualitative risk analysis evaluates individual risks using descriptive or subjective scales - such as High/Medium/Low probability and impact - to prioritize them for further action. It describes the nature of each risk without numerical modeling. Quantitative risk analysis goes further by using numerical techniques (e.g., Monte Carlo simulation, decision tree analysis) to model the combined effect of all risks on overall project objectives, producing probabilistic forecasts like 'there is a 70% chance of completing within budget.' This distinction - individual descriptive assessment (qualitative) vs. aggregate numerical prediction (quantitative) - is the key differentiator. Choices A and C reverse this relationship incorrectly. Choice B incorrectly implies a sequential dependency rather than a methodological distinction.

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