1) If a risk event has a 45 percent chance of occurring, and the consequences will be $1,134, what does $2,520 represent?

	a.	The expected monetary value of the risk event
	b.	The expected monetary value minus $750 set aside as contingency
	c.	The risk value associated with performing a quantitative risk analysis
	d.	Both b) and c)
	e.	The net path value

2) A project plan has been developed and there are 247 tasks identified in the WBS each of which has at least one risk associated with it. The client has a low risk attitude and it is critical that this project be completed within a six month timeframe. To best estimate likelihood that this project can be completed on time, what should the project manager do next?

	a.	Plot the probability distribution curve to estimate the timeframe that the risks will occur
	b.	Request that a Monte Carlo analysis be completed
	c.	Recommend that this project not proceed given the client's low risk attitude and number of tasks to be completed
	d.	Perform risk analysis
	e.	None of the above

3) You are the project manager for the construction of an incinerator to burn refuse (i.e. garbage). Local residents and environmental groups are opposed to this project. This is considered an important risk to the project that is added to the risk log. Your team conducts a thorough analysis of the probability and impact of each of the risks to determine priority. This risk management process is:

	a.	Qualitative risk analysis
	b.	Quantitative risk analysis
	c.	Contingency risk planning
	d.	Both a) and c)
	e.	None of the above

4) A project manager on a bridge construction project has compiled several data points from the company's previous bridge projects. Based on the data, bridges tend to take 78 days to complete. Under optimal conditions it can take 50 days and under challenging conditions it can take 100 days. Select the option that best describes what the project manager should do to estimate the project's duration?

	a.	Raise a risk that the proposed bridge will not be able to be completed on time
	b.	Assume the bridge will take 50 days to complete because conditions appear to be favorable
	c.	Multiply the number of days it typically takes to build a bridge by a factor of four, then add the number of days under optimal and challenging conditions and divide by six
	d.	Note the number of days in the schedule
	e.	Both c) and d)

5)The project manager on an enterprise wide IT project has completed a risk probability matrix and risk impact assessment. What should the project manager do next?

	a.	Determine and rank the priority of each risk in order to focus on high priority risks
	b.	Convene a meeting with the Subject Matter Expert to verify that the risk probability matrix and risk impact assessment were correctly performed
	c.	Escalate risks that have a 90% probability to the project sponsor to secure greater contingency funding
	d.	Both a) and b)
	e.	None of the above