Project Management Professional-Chapter 15b (Answer key)

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Project Management Professional-Chapter 15b (Answer key)

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Chapter 15b: Answer key about RISK MANAGEMENT 1. Answer: c In a fixed price contract the supplier is obligated to deliver the contracted-for item at a fixed price. The supplier is aware of the risk and will put an allowance for the risk in the contracted price. This often means that the project team will pay the supplier for the cost of the risk regardless of whether the risk occurs. 2. Answer: a Risk avoidance is eliminating the risk from consideration by doing something that will eliminate it as a possibility. Risk acceptance is allowing the risk to happen and...

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