ARM 401 COMPREHENSIVE EXAM 2026/2027
QUESTIONS AND SOLUTIONS RATED A+
✔✔A worker for Build-Rite Construction Company removed the pressure gauge and
warning sticker from an air compressor. The pressure gauge automatically shuts off the
compressor when the pressure gets too high. The sticker warned that an explosion
could result if the pressure was too high. Without the pressure gauge in place, the air
compressor exploded. The explosion killed one worker and severely injured another. If
Build-Rite performs a root cause analysis (RCA) of this fatal accident, which one of the
following might be determined to be a root cause?
A. Inadequate training
B. Removal of the pressure gauge
C. Explosion of the air compressor
D. Removal of the warning sticker - ✔✔A
✔✔The second step in the root cause analysis (RCA) process is charting the agents
that directly result in one event triggering another event. In RCA, these agents are
called
A. Causal factors.
B. Hygiene factors.
C. Precedence factors.
D. Stimulus factors. - ✔✔A
✔✔Fault tree analysis provides guidance in choosing among loss prevention
alternatives. An "and" gate connecting events in rectangles C, D, and E to the event in
rectangle A indicates which one of the following?
A. The event in rectangle C must be prevented in order to prevent the events in
rectangles D and E from occurring.
B. The event in rectangle C must be prevented in order to prevent the event in rectangle
A from occurring.
C. Preventing the event in rectangle C, D, or E from occurring will prevent the event in
rectangle A from occurring.
D. The events in rectangles C, D, and E must all be prevented in order to prevent the
event in rectangle A from occurring. - ✔✔C
✔✔From a system safety perspective, change analysis is an analysis
A. That dissects a repetitive task to determine potential hazards if each action is not
performed.
B. That identifies the critical components of a system and ranks the severity of losing
each component.
C. That uses the results of the other analysis techniques to identify the cause of the
accident.
D. That projects the effects a given system change is likely to have on an existing
system. - ✔✔D
,✔✔An organization may use several forms of analysis to prioritize risks and maximize
risk control resources. Under one type of analysis, the direction of reasoning in fault tree
analysis is reversed by starting with causes and branching out to consequences. This
type of analysis is called
A. Root cause analysis.
B. Sensitivity analysis.
C. Failure mode and effects analysis.
D. "5 Whys" analysis. - ✔✔C
✔✔An organization has had a high percentage of repetitive stress injuries to workers in
a particular phase of their production process. The risk manager has been asked to
analyze these injuries from a system safety analysis perspective. Which one of the
following techniques should the risk manager use to investigate these accidents?
A. Future states analysis
B. Job safety analysis
C. Strategy analysis
D. Failure mode and effects analysis - ✔✔B
✔✔The initial phase in the life cycle in any safety system is the
A. Engineering phase.
B. Conceptual phase.
C. Production phase.
D. Preliminary phase. - ✔✔B
✔✔Harris Company is analyzing its workers compensation loss exposure. Harris
Company retains most of the exposure and purchases excess insurance to cap its
liability on any individual claim. Because Harris Company has a large work force, it can
predict its workers compensation cost with some level of accuracy. For next year, the
risk manager estimates that there is a 70% chance that workers compensation costs will
be $6 million or less, a 25% chance workers compensation costs will be between $6
million and $8 million, and a 5% chance workers compensation costs will exceed $8
million. The type of analysis the risk manager performed is called
A. SWOT analysis.
B. HAZOP analysis.
C. Quantitative analysis.
D. Qualitative analysis - ✔✔C
✔✔To accurately determine its level of risk, an organization must examine the
effectiveness of its efforts to prevent losses from occurring and to reduce the severity of
losses that do occur. An organization's efforts in this area are called
A. Risk identification.
B. Risk control.
C. Risk transfer.
D. Risk retention. - ✔✔B
,✔✔From a system safety perspective, components of a system include
A. Physical elements.
B. Manufacturing and distribution.
C. Design and development.
D. Implementation. - ✔✔A
✔✔Which one of the following is an advantage of "5 Whys" analysis?
A. As it is a quantitative method, the result is a precise mathematical measure,
complete with confidence levels.
B. It uses the statistical data that has been collected.
C. If the investigator asks an irrelevant question, the analysis ends without additional
follow-up questions.
D. When several root causes are found, it can help determine the relationship among
them. - ✔✔D
✔✔A risk manager for an organization has proposed a meeting to ask a series of "What
if?" questions to project the consequences for implementing alternative processes under
consideration. Which one of the following system safety analysis techniques is the risk
manager proposing?
A. Technique of operations review approach
B. Job safety analysis
C. Change analysis
D. Sequence of events theory - ✔✔C
✔✔Joe works in an auto garage. His work area is cluttered and disorganized. His
supervisor is rarely in the area, and Joe lacks direction and proper training. Joe is
injured when he receives a severe shock from improper grounding while using a piece
of electrical equipment. This example best illustrates the accident causation theory of
the
A. Technique of operations review (TOR) approach.
B. Domino theory.
C. Job safety analysis.
D. Energy transfer theory. - ✔✔A
✔✔After one employee was involved in several workplace accidents, the risk manager
and the industrial safety engineer concluded that these resulted from ancestry and
social environment of the person. Which one of the following accident causation
theories or approaches considers this an accident factor?
A. Sequence of events theory
B. Job safety analysis
C. Technique of operations review
D. Energy transfer theory - ✔✔A
✔✔A systematic procedure that uses the results of other analysis techniques to identify
the predominant determinants of an accident is called
, A. Fault tree analysis.
B. Failure mode and effects analysis.
C. Root cause analysis.
D. "5 Whys" analysis. - ✔✔C
✔✔An approach to accident causation, which looks at an organization as a whole to
identify potential sources of losses is
A. Job safety analysis.
B. System safety analysis.
C. The energy transfer theory.
D. The technique of operations review (TOR) approach. - ✔✔B
✔✔Which one of the following theories of accident causation presumes that accidents
are the result of a chain of accidental factors?
A. Technique of operations review approach
B. Energy transfer theory
C. Job safety analysis
D. Sequence of events theory - ✔✔D
✔✔The theoretical probability of a head on a coin toss is 50%. Based on the law of
large numbers, which one of the following is the number of coin tosses most likely to
result in an empirical frequency of 50% receiving a head on a coin toss?
A. 2
B. 10
C. 50
D. 100 - ✔✔D
✔✔An organization's premises and operations liability losses have a severity distribution
with a mean of $10,000 and a standard deviation of $15,000. What is the coefficient of
variation for this distribution?
A. .60
B. .67
C. 1.5
D. 1.67 - ✔✔C
✔✔The weighted average of all the possible outcomes of a theoretical probability
distribution is the
A. Expected value.
B. Median.
C. Mode.
D. Dispersion. - ✔✔A
✔✔InterMountain Railroad carries logs, lumber, plywood, and other forest products in a
six-state region in the Western part of the United States. InterMountain self-insures its
derailment cargo losses. The risk manager at InterMountain ran a regression using ton-
QUESTIONS AND SOLUTIONS RATED A+
✔✔A worker for Build-Rite Construction Company removed the pressure gauge and
warning sticker from an air compressor. The pressure gauge automatically shuts off the
compressor when the pressure gets too high. The sticker warned that an explosion
could result if the pressure was too high. Without the pressure gauge in place, the air
compressor exploded. The explosion killed one worker and severely injured another. If
Build-Rite performs a root cause analysis (RCA) of this fatal accident, which one of the
following might be determined to be a root cause?
A. Inadequate training
B. Removal of the pressure gauge
C. Explosion of the air compressor
D. Removal of the warning sticker - ✔✔A
✔✔The second step in the root cause analysis (RCA) process is charting the agents
that directly result in one event triggering another event. In RCA, these agents are
called
A. Causal factors.
B. Hygiene factors.
C. Precedence factors.
D. Stimulus factors. - ✔✔A
✔✔Fault tree analysis provides guidance in choosing among loss prevention
alternatives. An "and" gate connecting events in rectangles C, D, and E to the event in
rectangle A indicates which one of the following?
A. The event in rectangle C must be prevented in order to prevent the events in
rectangles D and E from occurring.
B. The event in rectangle C must be prevented in order to prevent the event in rectangle
A from occurring.
C. Preventing the event in rectangle C, D, or E from occurring will prevent the event in
rectangle A from occurring.
D. The events in rectangles C, D, and E must all be prevented in order to prevent the
event in rectangle A from occurring. - ✔✔C
✔✔From a system safety perspective, change analysis is an analysis
A. That dissects a repetitive task to determine potential hazards if each action is not
performed.
B. That identifies the critical components of a system and ranks the severity of losing
each component.
C. That uses the results of the other analysis techniques to identify the cause of the
accident.
D. That projects the effects a given system change is likely to have on an existing
system. - ✔✔D
,✔✔An organization may use several forms of analysis to prioritize risks and maximize
risk control resources. Under one type of analysis, the direction of reasoning in fault tree
analysis is reversed by starting with causes and branching out to consequences. This
type of analysis is called
A. Root cause analysis.
B. Sensitivity analysis.
C. Failure mode and effects analysis.
D. "5 Whys" analysis. - ✔✔C
✔✔An organization has had a high percentage of repetitive stress injuries to workers in
a particular phase of their production process. The risk manager has been asked to
analyze these injuries from a system safety analysis perspective. Which one of the
following techniques should the risk manager use to investigate these accidents?
A. Future states analysis
B. Job safety analysis
C. Strategy analysis
D. Failure mode and effects analysis - ✔✔B
✔✔The initial phase in the life cycle in any safety system is the
A. Engineering phase.
B. Conceptual phase.
C. Production phase.
D. Preliminary phase. - ✔✔B
✔✔Harris Company is analyzing its workers compensation loss exposure. Harris
Company retains most of the exposure and purchases excess insurance to cap its
liability on any individual claim. Because Harris Company has a large work force, it can
predict its workers compensation cost with some level of accuracy. For next year, the
risk manager estimates that there is a 70% chance that workers compensation costs will
be $6 million or less, a 25% chance workers compensation costs will be between $6
million and $8 million, and a 5% chance workers compensation costs will exceed $8
million. The type of analysis the risk manager performed is called
A. SWOT analysis.
B. HAZOP analysis.
C. Quantitative analysis.
D. Qualitative analysis - ✔✔C
✔✔To accurately determine its level of risk, an organization must examine the
effectiveness of its efforts to prevent losses from occurring and to reduce the severity of
losses that do occur. An organization's efforts in this area are called
A. Risk identification.
B. Risk control.
C. Risk transfer.
D. Risk retention. - ✔✔B
,✔✔From a system safety perspective, components of a system include
A. Physical elements.
B. Manufacturing and distribution.
C. Design and development.
D. Implementation. - ✔✔A
✔✔Which one of the following is an advantage of "5 Whys" analysis?
A. As it is a quantitative method, the result is a precise mathematical measure,
complete with confidence levels.
B. It uses the statistical data that has been collected.
C. If the investigator asks an irrelevant question, the analysis ends without additional
follow-up questions.
D. When several root causes are found, it can help determine the relationship among
them. - ✔✔D
✔✔A risk manager for an organization has proposed a meeting to ask a series of "What
if?" questions to project the consequences for implementing alternative processes under
consideration. Which one of the following system safety analysis techniques is the risk
manager proposing?
A. Technique of operations review approach
B. Job safety analysis
C. Change analysis
D. Sequence of events theory - ✔✔C
✔✔Joe works in an auto garage. His work area is cluttered and disorganized. His
supervisor is rarely in the area, and Joe lacks direction and proper training. Joe is
injured when he receives a severe shock from improper grounding while using a piece
of electrical equipment. This example best illustrates the accident causation theory of
the
A. Technique of operations review (TOR) approach.
B. Domino theory.
C. Job safety analysis.
D. Energy transfer theory. - ✔✔A
✔✔After one employee was involved in several workplace accidents, the risk manager
and the industrial safety engineer concluded that these resulted from ancestry and
social environment of the person. Which one of the following accident causation
theories or approaches considers this an accident factor?
A. Sequence of events theory
B. Job safety analysis
C. Technique of operations review
D. Energy transfer theory - ✔✔A
✔✔A systematic procedure that uses the results of other analysis techniques to identify
the predominant determinants of an accident is called
, A. Fault tree analysis.
B. Failure mode and effects analysis.
C. Root cause analysis.
D. "5 Whys" analysis. - ✔✔C
✔✔An approach to accident causation, which looks at an organization as a whole to
identify potential sources of losses is
A. Job safety analysis.
B. System safety analysis.
C. The energy transfer theory.
D. The technique of operations review (TOR) approach. - ✔✔B
✔✔Which one of the following theories of accident causation presumes that accidents
are the result of a chain of accidental factors?
A. Technique of operations review approach
B. Energy transfer theory
C. Job safety analysis
D. Sequence of events theory - ✔✔D
✔✔The theoretical probability of a head on a coin toss is 50%. Based on the law of
large numbers, which one of the following is the number of coin tosses most likely to
result in an empirical frequency of 50% receiving a head on a coin toss?
A. 2
B. 10
C. 50
D. 100 - ✔✔D
✔✔An organization's premises and operations liability losses have a severity distribution
with a mean of $10,000 and a standard deviation of $15,000. What is the coefficient of
variation for this distribution?
A. .60
B. .67
C. 1.5
D. 1.67 - ✔✔C
✔✔The weighted average of all the possible outcomes of a theoretical probability
distribution is the
A. Expected value.
B. Median.
C. Mode.
D. Dispersion. - ✔✔A
✔✔InterMountain Railroad carries logs, lumber, plywood, and other forest products in a
six-state region in the Western part of the United States. InterMountain self-insures its
derailment cargo losses. The risk manager at InterMountain ran a regression using ton-
