9. A utility company is preparing to build a natural gas-fired power plant and is concemed about cost overrun risk due to uncertain steel prices. Because of this, the utility has decided to enter into a firmfixed price contract with a contractor to build the plant. In this situation the utility is managing the cost overrun risk by: A. Risk assessment B. Risk analysis C. Risk transfer D. Risk acceptance 10. Which of the followings is NOT the factor to be considered to define a project: A. Related tasks B. Specific drawings C. Have start and end dates D. Funding limits E. Consume resources 11. What are the factors which all projects are constrained by: A. Quality Cost Time B. Quality Scope Time Cost C. Quality Time Scope D. Scope Time Cost 12. Which of the following is the second step in risk management: A. Inclusion in the project budget of funds to cover the risks B. Identification of risks and their consequences C. Identification of ways to reduce or mitigate the risks D. Preparation of a contingency plan for each project activity E. Qualitative and quantitative Analysis of identified risk 13. There is 70% chance that a project will be succeed and make $1,000,000, otherwise, this project will lose $500,000. The expected value of the outcome is: A. +$700,000 B. $700,000 C. +$550,000 D. $550,000 E. +$450,000 F. $450,000 G. None of the above 14. Which of the following cost estimating type has the least accuracy: A. Order of magnitude estimate B. Budget estimate C. Definitive estimate 15. A contingency amount can be: A. Applied to individuals activities or work packages B. Applied to the project as a whole C. Continually increased to cover cost escalation D. All of the above E. A and B only F. None of the above