PMI Risk Register & Response Planning 3 — Questions and Answers
Question 1: Which risk response strategy for opportunities is the opposite of 'Avoid' for threats?
- Transfer
- Exploit (Correct answer)
- Accept
- Escalate
Correct answer: Exploit
Exploit seeks to ensure the opportunity definitely occurs, mirroring how Avoid seeks to eliminate a threat entirely.
Question 2: A project manager wants to reduce the probability of a critical risk occurring. Which response strategy is being used?
- Mitigate (Correct answer)
- Transfer
- Accept
- Avoid
Correct answer: Mitigate
Mitigation reduces the probability or impact of a threat, though it does not eliminate the risk entirely.
Question 3: The risk register entry for 'risk cause' documents:
- The financial impact if the risk occurs
- The root source or condition that may give rise to the risk (Correct answer)
- The date the risk was identified
- The person responsible for monitoring the risk
Correct answer: The root source or condition that may give rise to the risk
The risk cause identifies the underlying condition or event that could lead to the risk materializing.
Question 4: Which document establishes thresholds and risk appetite that guide how risks are prioritized in the risk register?
- Risk register
- Risk management plan (Correct answer)
- Project charter
- Issue log
Correct answer: Risk management plan
The risk management plan defines methodology, roles, risk categories, probability/impact scales, and stakeholder risk tolerances.
Question 5: When a risk exceeds the project team's authority or threshold and must be handled at a higher organizational level, the correct response is to:
- Avoid
- Accept passively
- Escalate (Correct answer)
- Transfer
Correct answer: Escalate
Escalation is used when a risk falls outside the project's scope of control and requires executive or organizational-level response.
Question 6: A contingency reserve in the project budget is BEST associated with which type of risk response?
- Avoid
- Active acceptance (Correct answer)
- Transfer
- Exploit
Correct answer: Active acceptance
Active acceptance includes establishing contingency reserves (time or cost) to address known risks should they materialize.
Question 7: Which risk response strategy for opportunities involves allocating ownership to a third party better positioned to realize the benefit?
- Enhance
- Share (Correct answer)
- Exploit
- Accept
Correct answer: Share
Sharing involves transferring ownership of an opportunity to a third party who can best capitalize on it, such as a joint venture.
PMI Risk Register & Response Planning 3
Which risk response strategy for opportunities is the opposite of 'Avoid' for threats?