8100 Professional Level Exam Risk Assessment and Management

Question 1

How is risk 'probability' defined in a professional risk assessment context?

Accepted Answer

The likelihood that a specific risk event will occur

Answer

The financial impact of a risk event

Answer

The number of risks identified in a project

Answer

The time required to recover from a risk event

Question 2

What is a 'risk register' in professional practice?

Accepted Answer

A document that records identified risks, their analysis, and planned responses

Answer

A log of all incidents that have already occurred

Answer

A list of approved risk tolerances set by management

Answer

A regulatory filing for insurance purposes

Question 3

What is the difference between a 'risk' and an 'issue' in professional risk management?

Accepted Answer

A risk is a potential future event; an issue is a problem that has already occurred

Answer

A risk is more serious than an issue

Answer

An issue can be planned for; a risk cannot

Answer

They are the same thing described differently

Question 4

What does a 'probability-impact matrix' help professionals do?

Accepted Answer

Prioritize risks by combining their likelihood and potential effect into a risk score

Answer

Calculate the exact dollar value of each risk

Answer

Assign risk owners randomly

Answer

Schedule risk reviews on a calendar

Question 5

Which risk analysis technique uses repeated simulations to model the probability distribution of possible project outcomes?

Accepted Answer

Monte Carlo simulation

Answer

SWOT analysis

Answer

Delphi technique

Answer

Sensitivity analysis

Question 6

What is 'residual risk' in professional risk management?

Accepted Answer

The risk that remains after risk responses have been implemented

Answer

The original risk before any mitigation

Answer

Risk caused by the response action itself

Answer

Risk transferred to a third party