PMI Risk Management Professional Certification Practice Exam Set 8

David is the project manager of HGF project for his company. David, the project team, and several key stakeholders have completed risk identification and are ready to move into qualitative risk analysis. Tracy, a project team member, does not understand why they need to complete qualitative risk analysis. Which one of the following is the best explanation for completing qualitative risk analysis?


Options are :

  • It is a rapid and cost-effective means of establishing priorities for the plan risk responses and lays the foundation for quantitative analysis. (Correct)
  • All risks must pass through quantitative risk analysis before qualitative risk analysis.
  • Qualitative risk analysis helps segment the project risks, create a risk breakdown structure, and create fast and accurate risk responses.
  • It is a cost-effective means of establishing probability and impact for the project risks.

Answer : It is a rapid and cost-effective means of establishing priorities for the plan risk responses and lays the foundation for quantitative analysis.

You are the project manager for your organization. You have determined that an activity is too dangerous to complete internally so you hire licensed contractor to complete the work. The contractor, however, may not complete the assigned work on time which could cause delays in subsequent work beginning. This is an example of what type of risk event?


Options are :

  • Secondary risk (Correct)
  • Transference
  • Pure risk
  • Internal

Answer : Secondary risk

Harry works as a project manager for the NHQ Project. He is performing quantitative risk analysis for his project. One of the project risks has a 40 percent probability of happening, and it will cost the project $65,000 if the risk happens. What is the expected monetary value of this risk event?


Options are :

  • Negative $26,000 (Correct)
  • $27,000
  • Negative $67,000
  • .Zero - the risk event has not yet occurred

Answer : Negative $26,000

PMI-SP Scheduling Professional Certification Practical Exam Set 8

You work as a project manager for BlueWell Inc. You are involved with the project team on the different risk issues in your project. You are using the applications of IRGC model to facilitate the understanding and managing the rising of the overall risks that have impacts on the economy and society. One of your team member wants to know that what is the need to use the IRGC. What will be your reply?


Options are :

  • IRGC addresses questions such as the understanding of the secondary impacts of a risk.
  • IRGC is both a concept and a tool.
  • IRGC addresses the development of resilience and the capacity of organizations and people to face unavoidable risks.
  • IRGC models aim at building robust, integrative inter-disciplinary governance models for emerging and existing risks. (Correct)

Answer : IRGC models aim at building robust, integrative inter-disciplinary governance models for emerging and existing risks.

Beth is a project team member on the JHG Project. Beth has added extra features to the project and this has introduced new risks to the project work. The project manager of the JHG project elects to remove the features Beth has added. The process of removing the extra features to remove the risks is called what?


Options are :

  • Defect repair
  • Corrective action
  • Scope creep
  • Preventive action (Correct)

Answer : Preventive action

You work as a project manager for TechSoft Inc. You are working with the project stakeholders on the qualitative risk analysis process in your project. You have used all the tools to the qualitative risk analysis process in your project. Which of the following techniques is NOT used as a tool in qualitative risk analysis process?


Options are :

  • Risk Data Quality Assessment
  • Risk Urgency Assessment
  • Risk Categorization
  • Risk Reassessment (Correct)

Answer : Risk Reassessment

PMI-SP Scheduling Professional Certification Practice Test Set 1

Ned is the project manager of the HNN project for your company. Ned has asked you to help him complete some probability distributions for his project. What portion of the project will you most likely use for probability distributions?


Options are :

  • Risk probability and impact matrixes
  • Bias towards risk in new resources
  • Risk identification
  • Uncertainty in values such as duration of schedule activities (Correct)

Answer : Uncertainty in values such as duration of schedule activities

You are the project manager for GHY Project and are working to create a risk response for a negative risk. You and the project team have identified the risk that the project may not complete on time, as required by the management, due to the creation of the user guide for the software you're creating. You have elected to hire an external writer in order to satisfy the requirements and to alleviate the risk event. What type of risk response have you elected to use in this instance?


Options are :

  • Sharing
  • Exploiting
  • Transference (Correct)
  • Avoidance

Answer : Transference

In what portion of a project are risk and opportunities greatest and require intense planning and anticipation of risk events?


Options are :

  • Initiating (Correct)
  • Planning
  • Closing
  • Executing

Answer : Initiating

PMI-RMP PMI Risk Management Professional Practice Test Set 8

You are the project manager of your organization. Your organization will receive a bonus if the project finishes by December 20. Management has communicated this bonus to you and your project team and has asked you to evaluate the project to see if it is possible to realize the reward. The bonus offered to your organization is $750,000. You have examined the project and believe that you can crash the project for an additional $275,000 and reach the December 20 date. Management is thrilled with your assessment and they approve the crash fee. What risk response is this?


Options are :

  • Crashing can be a type of the exploit risk response.
  • Crashing is the addition of labor, not a risk response.
  • Crashing can be a type of the enhancing risk response. (Correct)
  • Crashing can be considered transference because of the $275,000 is actually paid from the bonus, which is paid by the project customer.

Answer : Crashing can be a type of the enhancing risk response.

You are the project manager of a large, high-profile project in your organization. You have realized that politics within your company may affect the true identification of risk events within the project. You decide that you'd like to use a method to identify risk events through an anonymous process. Which one of the following risk events will allow you to collect and distribute risk information without the stakeholders knowing what other stakeholders are communicating about the project risk events?


Options are :

  • Monte Carlo Technique
  • Surveys
  • Checklist analysis
  • Delphi Technique (Correct)

Answer : Delphi Technique

Management has asked you to perform a risk audit and report back on the results. Bonny, a project team member asks you what a risk audit is. What do you tell Bonny?


Options are :

  • A risk audit is a review of all the risk probability and impact for the risks, which are still present in the project but which have not yet occurred.
  • A risk audit is a review of all the risks that have yet to occur and what their probability of happening are.
  • A risk audit is an audit of all the risks that have occurred in the project and what their true impact on cost and time has been.
  • A risk audit is a review of the effectiveness of the risk responses in dealing with identified risks and their root causes, as well as the effectiveness of the risk management process. (Correct)

Answer : A risk audit is a review of the effectiveness of the risk responses in dealing with identified risks and their root causes, as well as the effectiveness of the risk management process.

PMI-SP Scheduling Professional Certification Practice Test Set 8

You are the project manager of the AFD project for your company. You are working with the project team to reassess existing risk events and to identify risk events that have not happened and whose relevancy to the project has passed. What should you do with these events that have not happened and would not happen now in the project?


Options are :

  • Close the outdated risks (Correct)
  • Add the risks to a low-priority watchlist
  • Add the risk to the issues log
  • Add the risks to the risk register

Answer : Close the outdated risks

Joan is the project manager of the KYU project for her company. She is working with management on defining a contingency reserve for her project. Currently the project is scheduled to last 18 months and it has a cost budget of $2.5 million. What two areas of the project can the contingency reserve address in regard to risk management?


Options are :

  • Quality and costs
  • Cost and resource management
  • Risk and project planning
  • Costs and schedule (Correct)

Answer : Costs and schedule

her project team and other key stakeholders to identify the risks within the project. She is currently aiming to create a comprehensive list of project risks so she is using a facilitator to help generate ideas about project risks. What risk identification method is Mary likely using?


Options are :

  • Expert judgment
  • Checklist analysis
  • Delphi Techniques
  • Brainstorming (Correct)

Answer : Brainstorming

PMP Certification Mock

There are five inputs to the quantitative risk analysis process. Which one of the following is NOT an input to the perform quantitative risk analysis process?


Options are :

  • Enterprise environmental factors (Correct)
  • Risk management plan
  • Risk register
  • Cost management plan

Answer : Enterprise environmental factors

You work as a project manager for BlueWell Inc. Your project is running late and you must respond to the risk. Which risk response can you choose that will also cause you to update the human resource management plan?


Options are :

  • Fast tracking the project
  • Teaming agreements
  • Crashing the project (Correct)
  • Transference

Answer : Crashing the project

You work as a project manager for BlueWell Inc. You are currently working with the project stakeholders to identify risks in your project. You understand that the qualitative risk assessment and analysis can reflect the attitude of the project team and other stakeholders to risk. Effective assessment of risk requires management of the risk attitudes of the participants. What should you, the project manager, do with assessment of identified risks in consideration of the attitude and bias of the participants towards the project risk?


Options are :

  • Evaluate and document the bias towards the risk events
  • Evaluate the bias through SWOT for true analysis of the risk events
  • Document the bias for the risk events and communicate the bias with management
  • Evaluate the bias towards the risk events and correct the assessment accordingly (Correct)

Answer : Evaluate the bias towards the risk events and correct the assessment accordingly

PMI-SP Scheduling Professional Practice Exam Set 6

Marsha is the project manager of the NHQ Project. There's a risk that her project team has identified, which could cause the project to be late by more than a month. Marsha does not want this risk event to happen so she devises extra project activities to ensure that the risk event will not happen. The extra steps, however, will cost the project an additional $10,000. What type of risk response is this approach?


Options are :

  • Enhancing
  • Mitigation (Correct)
  • Exploiting
  • Transference

Answer : Mitigation

You work as a project manager for BlueWell Inc. You would like to utilize sensitivity analysis in your project, but the management does not understand how this will be displayed. What type of chart is usually used with sensitivity analysis to show the relative affect of risks on the project?


Options are :

  • Force field analysis chart
  • GERT Chart
  • Ishikawa chart
  • Tornado diagram (Correct)

Answer : Tornado diagram

Rob is the project manager of the IDLK Project for his company. This project has a budget of $5,600,000 and is expected to last 18 months. Rob has learned that a new law may affect how the project is allowed to proceed - even though the organization has already invested over $750,000 in the project. What risk response is the most appropriate for this instance?


Options are :

  • Transference
  • Mitigation
  • Enhance
  • Acceptance (Correct)

Answer : Acceptance

PMI-100 Certified Associate Management Practical Exam Set 9

Don is the project manager of the PFO project for his organization. Don is working with the project team members and two subject matter experts to assess the identified risk events in the project. Which of the following approaches is the best to assess the risk events in the project?


Options are :

  • Interviews or meetings (Correct)
  • Probability and Impact Matrix
  • Root cause analysis
  • Determination of the true cost of the risk event

Answer : Interviews or meetings

Lamont is the project manager of a project that has recently finished the final project deliverables. The project customer has signed off on the project deliverable and Lamont has a few administrative closure activities to complete. In the project, there were several large risks that could have wrecked the project but Lamont and his project team found some creative methods to resolve the risks without affecting the project costs or project end date. What should Lamont do with the risk responses he identified during the project's monitoring and controlling process?


Options are :

  • Include the risk responses in the organization's lessons learned database. (Correct)
  • Include the risk response in the project risk management plan.
  • Include the responses in the project management plan
  • Nothing. The risk responses are included in the project's risk register already.

Answer : Include the risk responses in the organization's lessons learned database.

You and your project team are just starting the risk identification activities for a project that is scheduled to last for 18 months. Your project team has already identified a long list of risks that need to be analyzed. How often should you and the project team do risk identification?


Options are :

  • It depends on how many risks are initially identified.
  • Several times until the project moves into execution
  • At least once per month
  • Identify risks is an iterative process (Correct)

Answer : Identify risks is an iterative process

PMI-SP Scheduling Professional Certification Practice Test Set 4

What approach can a project manager use to improve the project's performance during qualitative risk analysis?


Options are :

  • Focus on high-priority risks. (Correct)
  • Analyze as many risks as possible regardless of who initiated the risk event.
  • Create a risk breakdown structure and delegate the risk analysis to the appropriate project team members.
  • Focus on near-term risks first.

Answer : Focus on high-priority risks.

You are the project manager for the NHQ Project. This project requires that you install 140 copies of design software onto your department's computers. The vendor offers you a twenty percent discount on the software if your company will purchase 150 or more copies of the software. You communicate this offer with other departments in your firm to see if anyone else would need 10 copies of the software to save your project a significant amount of funds. What is this risk response called?


Options are :

  • Avoidance
  • Sharing (Correct)
  • Transference
  • Exploiting

Answer : Sharing

Which of the following techniques examines the degree to which organizational strengths offset threats and opportunities that may serve to overcome weaknesses?


Options are :

  • Brainstorming
  • Delphi
  • SWOT Analysis (Correct)
  • Expert Judgment

Answer : SWOT Analysis

PMP Certification

You are the project manager for your organization and you are working with Thomas, a project team member. You and Thomas have been working on a specific risk response for a probable risk event in the project. Thomas is empowered with a risk response and will control all aspects of the identified risk response in which a particular risk event will happen within the project. What title, in regard to risk, is bestowed on Thomas?


Options are :

  • Risk expeditor
  • Risk team leader
  • Risk coordinator
  • Risk owner (Correct)

Answer : Risk owner

Risks with low ratings of probability and impact are included on a ____ for future monitoring.


Options are :

  • Observation list
  • Watchlist (Correct)
  • Risk alarm
  • Risk register

Answer : Watchlist

The Identify Risk process determines the risks that affect the project and document their characteristics. Why should the project team members be involved in the Identify Risk process?


Options are :

  • They are the individuals that are most affected by the risk events.
  • They are the individuals that will most likely cause and respond to the risk events.
  • They are the individuals that will have the best responses for identified risks events within the project.
  • They are the individuals that will need a sense of ownership and responsibility for the risk events. (Correct)

Answer : They are the individuals that will need a sense of ownership and responsibility for the risk events.

PMI Certification Question and Answers

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