Risk Evaluation and Prioritization: Master Risk Assessment and Management

Question 1

Which criterion is NOT commonly used for evaluating project risks?

Accepted Answer

Severity

Answer

Likelihood

Answer

Impact

Answer

Urgency

Question 2

A risk with a high likelihood and high impact is considered to have which priority level?

Accepted Answer

High priority

Answer

Low priority

Answer

Medium priority

Answer

Urgent

Question 3

What is the process of identifying, analyzing, and evaluating project risks called?

Accepted Answer

Risk assessment

Answer

Risk management

Answer

Risk prioritization

Answer

Risk mitigation

Question 4

What is the process of developing strategies to reduce the probability or impact of risks called?

Accepted Answer

Risk mitigation

Answer

Risk management

Answer

Risk assessment

Answer

Risk monitoring

Question 5

Which tool is NOT commonly used for risk monitoring?

Accepted Answer

Gantt chart

Answer

Risk register

Answer

Risk matrix

Answer

Earned value management

Question 6

What is the process of evaluating the effectiveness of risk management activities called?

Accepted Answer

Risk review

Answer

Risk assessment

Answer

Risk monitoring

Answer

Risk mitigation

Question 7

Which of the following is NOT a criterion typically used for evaluating project risks?

Accepted Answer

Probability

Answer

Likelihood

Answer

Impact

Answer

Urgency

Question 8

The process of continuously monitoring and reviewing project risks throughout the project lifecycle is known as:

Accepted Answer

Risk Monitoring

Answer

Risk Auditing

Answer

Risk Control

Answer

Risk Management

Question 9

Which factor is NOT typically considered in a risk evaluation matrix?

Accepted Answer

Financial implications

Answer

Probability of occurrence

Answer

Potential impact

Answer

Urgency of response

Question 10

When prioritizing risks, which consideration is of primary importance?

Accepted Answer

Severity of potential consequences

Answer

Likelihood of occurrence

Answer

Availability of mitigation strategies

Answer

Alignment with project objectives

Question 11

Which visual tool effectively displays the relationship between risk factors and their likelihood and impact?

Accepted Answer

Risk scatterplot

Answer

Bow-tie diagram

Answer

Monte Carlo simulation

Answer

SWOT analysis

Question 12

True or False: Risk evaluation and prioritization should occur only at the beginning of a project lifecycle.

Accepted Answer

False

Answer

True

Question 13

What is the primary purpose of risk identification?

Accepted Answer

To identify potential risks that may affect the project

Answer

To develop mitigation strategies for each risk

Answer

To prioritize risks based on their likelihood and impact

Answer

To quantify the potential impact of each risk

Question 14

Which technique is typically used for stakeholder analysis?

Accepted Answer

Power-interest grid

Answer

SWOT analysis

Answer

PEST analysis

Answer

Root cause analysis

Question 15

True or False: It is necessary to eliminate or mitigate all risks before a project can proceed.

Accepted Answer

False

Answer

True

Question 16

Which objective is NOT typically associated with risk evaluation and prioritization?

Accepted Answer

Predicting future project outcomes with certainty

Answer

Informing decision-making

Answer

Allocating resources effectively

Answer

Improving project quality

Question 17

Which of the following factors is NOT considered a key criterion for evaluating project risks?

Accepted Answer

Risk appetite

Answer

Impact

Answer

Likelihood

Answer

Urgency

Question 18

A risk with a high likelihood and a severe impact is considered to be:

Accepted Answer

Significant

Answer

Negligible

Answer

Minor

Answer

Moderate

Question 19

Which risk prioritization technique involves assigning a numerical value to each risk based on its likelihood and impact?

Accepted Answer

Risk Priority Number (RPN)

Answer

Risk Assessment Matrix

Answer

Delphi Technique

Answer

Failure Modes and Effects Analysis (FMEA)

Question 20

A risk that the project team can proactively address with available resources is considered:

Accepted Answer

Manageable

Answer

Unmanageable

Answer

Significant

Answer

Negligible

Question 21

Which of the following is NOT a potential consequence of project risks?

Accepted Answer

Enhanced project outcomes

Answer

Increased project costs

Answer

Delayed project completion

Answer

Reduced project quality

Question 22

What is the process of regularly monitoring and reviewing risks throughout the project lifecycle called?

Accepted Answer

Risk monitoring and control

Answer

Risk evaluation

Answer

Risk assessment

Answer

Risk prioritization

Question 23

Which of the following is a critical responsibility of a project manager in relation to risk management?

Accepted Answer

Ensuring timely identification and mitigation of project risks

Answer

Managing the project team

Answer

Developing the project schedule

Question 24

A project risk management plan typically includes all of the following elements EXCEPT:

Accepted Answer

Project budget

Answer

Risk monitoring and control measures

Answer

Risk response strategies

Answer

Risk identification process