Chapter 7- Managing Risk Test Practice With Answers #8
An uncertain event or condition that, if it occurs, has a positive or negative effect on a
project objectives is termed.
A. Random chance
B. A disaster
C. Risk
D. Hazard
E. Bad luck - correct answer C
The chances of a risk event occurring as a project proceeds through its life cycle tends
to
A. Slowly rise
B. Drop sharply and then level out
C. Rise sharply and then level out
D. Remain about the
E. Slowly drop - correct answer E
The cost impact of a risk event occurring as a project proceeds through its life cycle
tends to
A. Slowly rise
B. Drop sharply and then level out
C. Rise sharply and then level out
D. Remain about the same
E. Slowly drop - correct answer A
The attempt to recognize and manage potential and unforeseen trouble spots that may
occur when a project is implemented is known as
A. Risk forecasting
B. Risk management
C. Contingency planning
D. Scenario analysis
E. Disaster protection - correct answer B
Which of the following is not one of the steps in the risk management process?
A. Risk response development
B. Risk assessment
C. Risk identification
D. Risk tracking
E. Risk response control - correct answer D
The initial step in the risk management process is to
A. Determine the level of acceptable risk
B. Assess the risk potential
C. Identify the risks
D. Set aside budget funds for managing the risks
, E. Appoint a risk manager - correct answer C
One common mistake made early in the risk identification process is to
A. Not all possibilities are considered
B. Participants are over-optimistic
C. Participants are over-pessimistic
D. Focus on objectives and not on the events that could produce consequences.
E. Too much attention is given to past events - correct answer D
In the beginning the focus of risk management should be on risks that
A. Impact the whole project
B. Impact the critical path
C. Are known
D. Have the greatest cost impact
E. Have the greatest schedule impact - correct answer A
The 1999 NASA Mars Climate Orbiter is an example of
A. Disaster avoidance through proactive risk management
B. Murphy's Law
C. Proper use of critical thinking
D. Mismanaged risk control
E. Using historical records to assess risk - correct answer D
Which of the following would not be considered a threat?
A. Inflation
B. Meeting the project schedule
C. International disruptions
D. Economic conditions
E. Competition - correct answer B
A list of questions that address traditional areas of uncertainty on a project is termed a
risk
A. Risk profile
B. Questionnaire
C. Research
D. Query
E. Checklist - correct answer A
Which of the following is typically included in risk profiles?
A. Management aspects
B. Market aspects
C. Technical aspects
D. Both A and C are included
E. A, B, and C are all included - correct answer D
All of the following are included in the risk identification process EXCEPT
An uncertain event or condition that, if it occurs, has a positive or negative effect on a
project objectives is termed.
A. Random chance
B. A disaster
C. Risk
D. Hazard
E. Bad luck - correct answer C
The chances of a risk event occurring as a project proceeds through its life cycle tends
to
A. Slowly rise
B. Drop sharply and then level out
C. Rise sharply and then level out
D. Remain about the
E. Slowly drop - correct answer E
The cost impact of a risk event occurring as a project proceeds through its life cycle
tends to
A. Slowly rise
B. Drop sharply and then level out
C. Rise sharply and then level out
D. Remain about the same
E. Slowly drop - correct answer A
The attempt to recognize and manage potential and unforeseen trouble spots that may
occur when a project is implemented is known as
A. Risk forecasting
B. Risk management
C. Contingency planning
D. Scenario analysis
E. Disaster protection - correct answer B
Which of the following is not one of the steps in the risk management process?
A. Risk response development
B. Risk assessment
C. Risk identification
D. Risk tracking
E. Risk response control - correct answer D
The initial step in the risk management process is to
A. Determine the level of acceptable risk
B. Assess the risk potential
C. Identify the risks
D. Set aside budget funds for managing the risks
, E. Appoint a risk manager - correct answer C
One common mistake made early in the risk identification process is to
A. Not all possibilities are considered
B. Participants are over-optimistic
C. Participants are over-pessimistic
D. Focus on objectives and not on the events that could produce consequences.
E. Too much attention is given to past events - correct answer D
In the beginning the focus of risk management should be on risks that
A. Impact the whole project
B. Impact the critical path
C. Are known
D. Have the greatest cost impact
E. Have the greatest schedule impact - correct answer A
The 1999 NASA Mars Climate Orbiter is an example of
A. Disaster avoidance through proactive risk management
B. Murphy's Law
C. Proper use of critical thinking
D. Mismanaged risk control
E. Using historical records to assess risk - correct answer D
Which of the following would not be considered a threat?
A. Inflation
B. Meeting the project schedule
C. International disruptions
D. Economic conditions
E. Competition - correct answer B
A list of questions that address traditional areas of uncertainty on a project is termed a
risk
A. Risk profile
B. Questionnaire
C. Research
D. Query
E. Checklist - correct answer A
Which of the following is typically included in risk profiles?
A. Management aspects
B. Market aspects
C. Technical aspects
D. Both A and C are included
E. A, B, and C are all included - correct answer D
All of the following are included in the risk identification process EXCEPT
