NEW QUESTION 1
Tracy is the project manager of the NLT Project for her company. The NLT Project is scheduled to last 14 months and has a budget at completion of $4,555,000. Tracy's organization will receive a bonus of $80,000 per day that the project is completed early up to $800,000. Tracy realizes that there are several opportunities within the project to save on time by crashing the project work. Crashing the project is what type of risk response?

• A. Transference
• B. Mitigation
• C. Exploit
• D. Enhance

Answer: D

NEW QUESTION 2
You are working with the project stakeholders to analyze and prioritize their requirements for the project. One of the project requirements is to achieve a high-level of customer satisfaction for the project deliverable. What is the danger in this project requirement?

• A. Achieving customer satisfaction is an assumption and should be documented in the project scope.
• B. Achieving customer satisfaction is a subjective requirement and entails a high level of risk of being successfully accomplished.
• C. Achieving customer satisfaction is a risk as the project manager cannot control how satisfied the customer will be with the project deliverables.
• D. Achieving customer satisfaction should always map to the quality requirements for the project.

Answer: B

NEW QUESTION 3
You are the project manager of a large construction project. This project will last for 18 months and will cost $750,000 to complete. You are working with your project team, experts, and stakeholders to identify risks within the project before the project work begins.
Management wants to know why you have scheduled so many risk identification meetings throughout the project rather than just initially during the project planning. What is the best reason for the duplicate risk identification sessions?

• A. The iterative meetings allow the project manager and the risk identification participants to identify newly discovered risk events throughout the project.
• B. The iterative meetings allow all stakeholders to participate in the risk identification processes throughout the project phases.
• C. The iterative meetings allow the project manager to discuss the risk events which have passed the project and which did not happen.
• D. The iterative meetings allow the project manager to communicate pending risks events during project execution.

Answer: A

NEW QUESTION 4
Sammy is the project manager for her organization. She would like to rate each risk based on its probability and affect on time, cost, and scope. Harry, a project team member, has never done this before and thinks Sammy is wrong to attempt this approach. Harry says that an accumulative risk score should be created, not three separate risk scores. Who is correct in this scenario?

• A. Harry is correct, because the risk probability and impact considers all objectives of the project.
• B. Harry is correct, the risk probability and impact matrix is the only approach to risk assessment.
• C. Sammy is correct, because organizations can create risk scores for each objective ofthe project.
• D. Sammy is correct, because she is the project manager.

Answer: C

NEW QUESTION 5
You are the project manager for the TTR project. You are in the process of gathering information for risk identification. You ask experts to participate in the process through their emails for maintaining anonymity. You collect the responses, summarize them, and are then re-circulated to the experts for further comment. Which of the following techniques are you using for risk identification?

• A. Delphi
• B. Expert judgment
• C. SWOT analysis
• D. Brainstorming

Answer: A

NEW QUESTION 6
Lisa is the project manager of the SQL project for her company. She has completed the risk response planning with her project team and is now ready to update the risk register to reflect the risk response. Which of the following statements best describes the level of detail Lisa should include with the risk responses she has created?

• A. The level of detail is set by historical information.
• B. The level of detail should correspond with the priority ranking.
• C. The level of detail must define exactly the risk response for each identified risk.
• D. The level of detail is set of project risk governance.

Answer: B

NEW QUESTION 7
Holly is the project manager of the NHQ project for her company. Her project sponsor, Tracy, has requested that Thomas, the department manager, from the Risk Management Department, will work with Holly to determine the effectiveness of the risk responses. Tracy and Thomas are concerned that some of the risks within Holly's project may not be addressed to depth they would like. In this scenario, who is responsible for ensuring that risk audits are performed at an appropriate frequency throughout the project?

• A. Thomas
• B. Tracy
• C. The project team
• D. Holly

Answer: D

NEW QUESTION 8
You are the project manager for your organization. You are working with your key stakeholders in the qualitative risk analysis process. You understand that there is certain bias towards the risk events in the project that you need to address, manage, and ideally reduce. What solution does the PMBOK recommend to reduce the influence of bias during qualitative risk analysis?

• A. Establish the definitions of the levels of probability and impact
• B. Provide iterations of risk analysis for true reflection of a risk probability and impact
• C. Isolate the stakeholders by project phases to determine their risk bias
• D. Involve all stakeholders to vote on the probability and impact of the risk events

Answer: A

NEW QUESTION 9
You are the project manager of the GHG project. You are preparing for the quantitative risk analysis process. You are using organizational process assets to help you complete the quantitative risk analysis process. Which one of the following is NOT a valid reason to utilize organizational process assets as a part of the quantitative risk analysis process?

• A. You will use organizational process assets for risk databases that may be available from industry sources.
• B. You will use organizational process assets for studies of similar projects by risk specialists.
• C. You will use organizational process assets to determine costs of all risks events within the current project.
• D. You will use organizational process assets for information from prior similar projects.

Answer: C

NEW QUESTION 10
You are the project manager of the CUL project in your organization. You and the project team are assessing the risk events and creating a probability and impact matrix for the identified risks. Which one of the following statements best describes the requirements for the data type used in qualitative risk analysis?

• A. A qualitative risk analysis requires fast and simple data to complete the analysis.
• B. A qualitative risk analysis requires accurate and unbiased data if it is to be credible.
• C. A qualitative risk analysis encourages biased data to reveal risk tolerances.
• D. A qualitative risk analysis required unbiased stakeholders with biased risk tolerances.

Answer: B

NEW QUESTION 11
You are the project manager of the NNH project. In this project you have created a contingency response that the cost performance index should be less than 0.93. The NHH project has a budget at completion of $945,000 and is 45 percent complete - though the project should be 49 percent complete. The project has spent $455,897 to reach the 45 percent complete milestone. What is the project's cost performance index?

• A. 1.06
• B. 0.92
• C. -$30,647
• D. 0.93

Answer: D

NEW QUESTION 12
A project manager must have certain interpersonal skills to communicate with stakeholders and manage their expectations of the project work. Which of the following interpersonal skills has been identified as one of the biggest reasons for project success or failure?

• A. Motivation
• B. Communication
• C. Influencing
• D. Political and cultural awareness

Answer: B

NEW QUESTION 13
Fill in the blank with an appropriate phrase. The _____ is the risk or danger of an action or an event, a method or a (technical) process that still conceives these dangers even if all theoretically possible safety measures would be applied.

• A. residual risk

Answer: A

NEW QUESTION 14
Rex is the project manager of the BDF Project. This project will last for two years and has a budget of $2,345,000. Management has instructed Rex that the project must not go over budget as funds are very tight in the organization. During the project planning Rex and the project team discover a positive risk event to save $75,000. Rex wants to make certain that this risk event happens so which risk response method is most appropriate?

• A. Share
• B. Mitigation
• C. Exploit
• D. Enhance

Answer: C

NEW QUESTION 15
You work as a project manager for BlueWell Inc. Management has asked you to work with the key project stakeholder to analyze the risk events you have identified in the project. They would like you to analyze the project risks with a goal of improving the project's performance as a whole. What approach can you use to achieve the goal of improving the project's performance through risk analysis with your project stakeholders?

• A. Focus on the high-priority risks through qualitative risk analysis
• B. Involve the stakeholders for risk identification only in the phases where the project directly affects them
• C. Involve subject matter experts in the risk analysis activities
• D. Use qualitative risk analysis to quickly assess the probability and impact of risk events

Answer: A

NEW QUESTION 16
Which of the following statements describe the purpose of an Issue Log? Each correct answer represents a complete solution. Choose all that apply.

• A. It analyzes the impact that the issue is having on the project.
• B. It tracks the actions taken to resolve the issue.
• C. It tracks the outcome of the actions taken.
• D. It addresses the risks that could affect the project.

Answer: ABC

NEW QUESTION 17
Gary is the project manager for his organization. He is working with the project stakeholders on the project requirements and how risks may affect their project. One of the stakeholders is confused about what constitutes risks in the project. Which of the following is the most accurate definition of a project risk?

• A. It is an uncertain event that can affect the project costs.
• B. It is an uncertain event or condition within the project execution.
• C. It is an uncertain event that can affect at least one project objective.
• D. It is an unknown event that can affect the project scope.

Answer: C

NEW QUESTION 18
You are the project manager for your organization. You are preparing for the quantitative risk analysis. Mark, a project team member, wants to know why you need to do quantitative risk analysis when you just completed qualitative risk analysis. Which one of the following statements best defines what quantitative risk analysis is?

• A. Quantitative risk analysis is the process of numerically analyzing the effect of identified risks on overall project objectives.
• B. Quantitative risk analysis is the planning and quantification of risk responses based on probability and impact of each risk event.
• C. Quantitative risk analysis is the review of the risk events with the high probability and the highest impact on the project objectives.
• D. Quantitative risk analysis is the process of prioritizing risks for further analysis or action by assessing and combining their probability of occurrence and impact.

Answer: A

NEW QUESTION 19
You are the project manager for your organization. You are working with your project team to complete the qualitative risk analysis process. The first tool and technique you are using requires that you assess the probability and what other characteristic of each identified risk in the project?

• A. Impact
• B. Risk owner
• C. Cost
• D. Risk category

Answer: A

NEW QUESTION 20
Your project uses a piece of equipment that if the temperature of the machine goes above 450 degree Fahrenheit the machine will overheat and have to be shut down for 48 hours. Should this machine overheat even once it will delay the project's end date. You work with your project to create a response that should the temperature of the machine reach 430, the machine will be paused for at least an hour to cool it down. The temperature of 430 is called what?

• A. Risk response
• B. Risk event
• C. Risk trigger
• D. Risk identification

Answer: C

NEW QUESTION 21
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