CAM Risk Analysis 2

Question 1

A Control Account Manager identifies a supplier delay that could impact a critical milestone. What is the FIRST action the CAM should take?

Accepted Answer

Document the risk in the project risk register and assess its probability and impact

Answer

Risks must first be documented and assessed before any response or funding action is taken.

Question 2

In quantitative risk analysis, which technique uses repeated random sampling to model the range of possible cost or schedule outcomes?

Accepted Answer

Monte Carlo simulation

Answer

Monte Carlo simulation runs thousands of random iterations to produce a probability distribution of outcomes.

Question 3

Which reserve is controlled at the program level, outside the Performance Measurement Baseline, and used for realized risks within the contract scope?

Accepted Answer

Management reserve

Answer

Management reserve sits outside the PMB and is released by the program manager for in-scope realized risks.

Question 4

A risk has a 40% probability of occurring and would cost $200,000 if it occurs. What is its expected monetary value (EMV)?

Accepted Answer

$80,000

Answer

EMV is probability times impact: 0.40 x $200,000 = $80,000.

Question 5

A CAM decides to subcontract a high-risk fabrication task to a vendor with proven expertise, shifting the consequence to the vendor. Which risk response strategy is this?

Accepted Answer

Transfer

Answer

Shifting risk ownership and consequence to a third party, such as through subcontracting or insurance, is risk transfer.

(CAM) Control Account Manager Certification Practice Test

(CAM) Control Account Manager Certification Practice Test

CAM Risk Analysis 2