Pete works as a project manager for BlueWell Inc. The Management has told him that he must implement an agreed-upon contingency response if the cost performance index in his project is less than 0.90. Consider that Pete's project has a budget at completion of $275,000. His project is 65 percent complete and he has spent $175,000 to date. However, Pete is scheduled to be 78 percent complete. What is the cost performance index for this project to determine if the
contingency response should happen?

• A.0.96
• B.0.90
• C.1.02
• D.0.89

Comment: *

Name: *

Email: *

Verification: *

You work as a project manager for BlueWell Inc. You are working with Nancy, the COO of your company, on several risks within the project. Nancy understands that through qualitative analysis you have identified 80 risks that have a low probability and low impact as the project is currently planned. Nancy's concern, however, is that the impact and probability of these risk events may change as conditions within the project may change. She would like to know where will you document and record these 80 risks that have low probability and low impact for future reference. What should you tell Nancy?

• A.Risk identification is an iterative process so any changes to the low probability and low impact risks will be reassessed throughout the project life cycle.
• B.All risks, regardless of their assessed impact and probability, are recorded in the risk log.
• C.Risks with low probability and low impact are recorded in a watchlist for future monitoring.
• D.All risks are recorded in the risk management plan.

Comment: *

Name: *

Email: *

Verification: *

Consider the risk probability-impact matrix in the figure given below:

If Risk B happens in this project, how much will be left in the contingency reserve?

• A.$193,500
• B.-$334,500
• C.$148,300
• D.It depends on the total budget of the project.

Comment: *

Name: *

Email: *

Verification: *

The project values are in thousands. The project manager has a budget of US$8,000,000 for this project and asks how much more would be needed to add to the contingency reserve for a P40?

• A.US$247,500
• B.US$764,000
• C.US$644,000
• D.US$495,000

Comment: *

Name: *

Email: *

Verification: *

A high-profile, high-priority project within your organization is being created. Management wants you to pay special attention to the project risks and do all that you can to ensure that all of the risks are identified early in the project. Management has to ensure that this project succeeds. Management's risk aversion in this project is associated with what term?

• A.Utility function
• B.Quantitative risk analysis
• C.Risk mitigation
• D.Risk conscience

Comment: *

Name: *

Email: *

Verification: *