CRA Risk Mitigation Strategies & Controls

Question 1

What is the first step in mitigating a risk?

Accepted Answer

Identifying the risk and evaluating its impact and likelihood

Answer

Ignoring the risk.

Answer

Delaying the response.

Answer

Assessing the financial costs only.

Question 2

What is a common risk mitigation strategy?

Accepted Answer

Transferring the risk to a third party

Answer

Ignoring the risk.

Answer

Delaying the project.

Answer

Focusing only on financial risks.

Question 3

Why is it important to continuously monitor risks?

Accepted Answer

To identify new risks and evaluate mitigation strategies

Answer

To avoid paying insurance premiums.

Answer

To delay the mitigation efforts.

Answer

To reduce project quality.

Question 4

What is risk transfer?

Accepted Answer

Shifting responsibility to another entity

Answer

Avoiding the risk.

Answer

Ignoring the potential impact.

Answer

Evaluating only financial impacts.

Question 5

What is a risk acceptance strategy?

Accepted Answer

Accepting the risk and planning for its consequences

Answer

Ignoring the risk.

Answer

Transferring the risk to a third party.

Answer

Postponing the risk evaluation.

Question 6

What does a risk matrix help with?

Accepted Answer

Prioritizing risks based on their likelihood and impact

Answer

Measuring financial losses only.

Answer

Only assessing external risks.

Answer

Setting project timelines.

Question 7

What is the purpose of implementing a contingency plan?

Accepted Answer

To be prepared for risks that occur

Answer

To avoid taking action.

Answer

To shift responsibility.

Answer

To delay decision-making.

Question 8

Why is stakeholder communication crucial in risk mitigation?

Accepted Answer

It ensures everyone is informed and aligned

Answer

It ensures a lack of transparency.

Answer

It keeps stakeholders unaware of risks.

Answer

It avoids discussing risks.

Question 9

How can you evaluate the effectiveness of a risk mitigation strategy?

Accepted Answer

By tracking performance and making necessary adjustments

Answer

By ignoring outcomes.

Answer

By delaying the evaluation.

Answer

By reducing the project budget.