CIS 517 QUIZ 6
Q Monte Carlo analysis can help predict the impact of risks on project deliverables. This is an element of one of the tools and techniques of which of the following processes?
Plan Risk Responses
Perform Qualitative Risk Analysis
Identify Risks
Perform Quantitative Risk Analysis
Q: Which of the following processes quantifies the aggregate risk exposure for the project by assigning numeric probabilities to risks and their impacts on project objectives?
Plan risk management
Perform quantitative risk analysis
Perform qualitative risk analysis
Control risks
Q: Your project team is in the process of identifying project risks on your current project. The team has the option to use all of the following tools and techniques to diagram some of these potential risks except for which one?
Ishikawa diagram
Decision tree diagram
Process flowchart
Influence diagram
Q: You are constructing a probability and impact matrix for your project. Which of the following statements is true?
The probability and impact matrix multiplies the risk's probability-which fall from 0.0 to 1.0-and the risk's impact for each potential outcome and then adds the result of the potential outcomes together to determine a risk score.
The probability and impact matrix are predetermined thresholds that use the risk's probability multiplied by the impact of the risk event to determine an overall risk score.
The probability and impact matrix multiplies the risk's probability by the risk impact-which both fall from 0.0 to 1.0-to determine a risk score.
The probability and impact matrix multiplies the risk's probability by the cost of the impact to determine an expected value of the risk event.
Q: Planning contingency reserves is part of the ____ response strategy.
Active risk mitigation
Passive risk mitigation
Active risk acceptance
Active risk avoidance
Q: What are contingency reserve funds used for?
Schedule slippages
Known unknowns
Defect repair validation
Third party analysis
Q: Which of the following risk identification techniques is described in the statement below?
"It is used to gather information where participants don't know each other nor do they have to be present at the same location."
Brainstorming
Assumptions analysis
SWOT analysis
Delphi
Q: Your team is developing the risk management plan. Which tool and technique of this process is used to develop risk cost elements and schedule activities that will be included in the project budget and schedule?
Meetings
Strategies for both threats and opportunities
Information gathering techniques
Risk data quality assessment
Q: Which of the following documents is an output of the plan risk management process?
Stakeholder register
Project charter
Risk register
Risk management plan
Q: All of the following are true regarding the Perform Qualitative Risk Analysis process except which one?
The probability and impact matrix is used during this process to assign red, yellow, and green conditions to risks.
Perform Qualitative Risk Analysis is an easy method of determining risk probability and impact that usually takes a good deal of time to perform.
Risk urgency assessment is a tool and technique of this process used to determine which risks need near-term response plans.
Probability and impact and expert interviews are used to help correct biases that occur in the data you've gathered during this process.
Q: Your hardware vendor left you a voicemail saying that a snowstorm in the Midwest might prevent your equipment from arriving on time. She wanted to give you a heads-up and asked that you return the call. Which of the following statements is true?
This is a contingency plan.
This is a residual risk.
This is a secondary risk.
This is a trigger.
Q: Which of the following processes assesses the likelihood of risk occurrences and their consequences using a numerical rating?
Perform Quantitative Risk Analysis
Plan Risk Responses
Perform Qualitative Risk Analysis
Identify Risks
Q: You are a project manager working on a software development project. You've developed the risk management plan, identified risks, and determined risk responses for the risks. A risk event occurs, and you implement the response. Then, another risk event occurs as a result of the response you implemented. What type of risk is this called?
Trigger risk
Residual risk
Secondary risk
Mitigated risk
Q: Which of the following is the graphical representation of a situation showing casual influences, time ordering of events, and other relationships among variables and outcomes?
Influence diagram
Pareto chart
System or process flow charts
Cause and effect diagram
Q: Each of the following statements is true regarding the risk management plan except for which one?
The risk management plan is an output of the Plan Risk Management process.
The risk management plan includes a description of the responses to risks and triggers.
The risk management plan includes thresholds, scoring and interpretation methods, responsible parties, and budgets.
The risk management plan is an input to all the remaining risk-planning processes.
Q: Which of the following information gathering techniques is described in the statement below?
"Project risk experts participate in this technique anonymously. A facilitator uses a questionnaire to solicit ideas about the important project risks. The responses are summarized and then re-circulated to the experts for further comment."
Brainstorming
SWOT analysis
Delphi technique
Checklist analysis
Q: Which of the following individuals responds to a risk with the pre-planned risk response?
Project sponsor
Project manager
Key stakeholder
Risk owner
Q: On which of the following documents you work throughout the risk management processes?
Risk management plan
Risk register
Project management plan
Project charter
Q: The information-gathering techniques used in the Identify Risks process include all of the following except _______________________.
brainstorming
checklist analysis
root cause analysis
the Delphi technique
Q: Assessing the probability and consequences of identified risks to the project objectives, assigning a risk score to each risk, and creating a list of prioritized risks describe which of the following processes?
Perform Qualitative Risk Analysis
Plan Risk Management
Perform Quantitative Risk Analysis
Identify Risks
Q: Which of the following terms defines the degree, amount, or volume of risk that an organization or individual will withstand?
Risk avoidance
Risk transference
Risk tolerance
Risk acceptance
Lesson: Risk Planning
Q: Which of the following statements regarding Ishikawa diagrams in the Identify Risks process is not true?
Ishikawa diagrams are also called fishbone diagrams.
Ishikawa diagrams are part of the diagramming tool and technique of this process.
Ishikawa diagrams show the steps needed to identify the risk.
Ishikawa diagrams are also called cause-and-effect diagrams.
Q: You've identified a risk event on your current project that could save $500,000 in project costs if it occurs. Your organization is considering hiring a consulting firm to help establish proper project management techniques in order to assure it realizes these savings. Which of the following is true based on this statement?
This is a risk event that should be shared to take full advantage of the potential savings.
This risk event should be mitigated to take advantage of the savings.
This risk event is an opportunity to the project and should be exploited.
This is a risk event that should be accepted because the rewards outweigh the threat to the project.
Q: You've identified a risk event on your current project that could save $100,000 in project costs if it occurs. Which of the following is true based on this statement?
This is a risk event that should be avoided to take full advantage of the potential savings.
This is a risk event that should be accepted because the rewards outweigh the threat to the project.
This risk event is an opportunity to the project and should be exploited.
This risk event should be mitigated to take advantage of the savings.
Q: You work for a large manufacturing plant. You are working on a new project to release an overseas product line. This is the company's first experience in the overseas market, and it wants to make a big splash with the introduction of this product. The stakeholders are a bit nervous about the project and historically proceed cautiously and take a considerable amount of time to examine information before making a final decision. The project entails producing your product in a concentrated formula and packaging it in smaller containers than the U.S. product uses. A new machine is needed in order to mix the ingredients into a concentrated formula. After speaking with one of your stakeholders, you discover this will be the first machine your organization has purchased from your new supplier. Which of the following statements is true given the information in this question?
This question describes a risk that requires a response strategy from the positive risk category.
This question describes risk triggers that are derived using interviewing techniques and recorded in the risk register during the Perform Qualitative Risk Analysis process.
This question describes the interviewing tool and technique used during the Identify Risks process.
The question describes risk tolerance levels of the stakeholders, which should be considered when performing the Plan Risk Management process.
Q: Which of the following is NOT a part of identify risks process?
Decision tree diagram
Influence diagram
Cause and effect diagram
System or process flow chart
Q: All of the following statements are true regarding the RBS except for which one?
The lowest level of the RBS can be used as a checklist, which is a tool and technique of the Identify Risks process.
The RBS is similar to the WBS in that the lowest levels of both are easily assigned to a responsible party or owner.
The RBS is contained in the risk management plan.
It describes risk categories, which are a systematic way to identify risks and provide a foundation for understanding for everyone involved on the project.
Q: Your project team has identified several potential risks on your current project that could have a significant impact if they occurred. The team examined the impact of the risks by keeping all the uncertain elements at their baseline values. What type of diagram will the team use to display this information?
Process flowchart
Fishbone diagram
Tornado diagram
Influence diagram
Q: Which of the following information gathering techniques of the Identify Risks process is based on a set of hypotheses or scenarios?
Assumptions analysis
Delphi technique
Checklist analysis
Brainstorming
Q: You are a project manager for Fountain of Youth Spring Water bottlers. Your project involves installing a new accounting system, and you're performing the risk-planning processes. You have identified several problems along with the causes of those problems. Which of the following diagrams will you use to show the problem and its causes and effects?
Decision tree diagram
Fishbone diagram
Benchmark diagram
Simulation tree diagram
Q: Your stakeholders have asked for an analysis of the cost risk. All of the following are true except for which one?
Monte Carlo analysis is the preferred method to use to determine the cost risk.
Monte Carlo analysis is a modeling technique that computes project costs one time.
A traditional work breakdown structure can be used as an input variable for the cost analysis.
Monte Carlo usually expresses its results as probability distributions of possible costs.
Q: Your hardware vendor left you a voicemail saying that a snowstorm in the Midwest will prevent your equipment from arriving on time. You identified a risk response strategy for this risk and have arranged for a local company to lease you the needed equipment until yours arrives. This is an example of which risk response strategy?
Mitigate
Avoid
Transfer
Acceptance
Q: Your team has identified the risks on the project and determined their risk score. The team is in the midst of determining what strategies to put in place should the risks occur. After some discussion, the team members have determined that the risk of losing their network administrator is a risk they'll just deal with if and when it occurs. Although they think it's a possibility and the impact would be significant, they've decided to simply deal with it after the fact. Which of the following is true regarding this question?
This is a response strategy for either positive or negative risk known as contingency planning.
This is a positive response strategy.
This is a negative response strategy.
This is a response strategy for either positive or negative risks known as passive acceptance.
Q: Risk attitude is an enterprise environmental factor that you should evaluate when performing the Plan Risk Management process. Risk attitude consists of all of the following elements except for which one?
Risk threshold
Risk urgency
Risk tolerance
Risk appetite
Q: All of the following statements are true regarding risk events except which one?
Risks that have more perceived rewards to the organization than consequences should be accepted.
Unknown risks can be threats to the project objectives, and nothing can be done to plan for them.
If risks occur, they can have a positive or negative effect on project objectives.
Project risks are uncertain events.
Q: You are using the interviewing technique of the Perform Quantitative Risk Analysis process. You intend to use normal and lognormal distributions. All of the following statements are true regarding this question except which one?
Interviewing techniques are used to quantify the probability and impact of the risks on project objectives.
Normal and lognormal distributions use mean and standard deviation to quantify risks.
Distributions graphically display the impacts of risk to the project objectives.
Triangular distributions rely on optimistic, pessimistic, and most likely estimates to quantify risks.
Q: You are the project manager for a new website for the local zoo. You need to perform the Perform Qualitative Risk Analysis process. When you've completed this process, you'll produce all of the following as part of the risk register update output except which one?
Probability of achieving time and cost estimates
Watch list of low-priority risks
Priority list of risks
Risk urgency information
USA 
India