4.5.5 Describe the Guidance for Effective Management of Risk PRINCE2-FOUNDATION-VERSION-7 Practice Questions (Page 2)

Questions 6–10

1. 6foundation · easy

   Why is fostering a positive risk culture important in a project?

   • AIt encourages people to openly discuss risks and opportunities without fear of blame
   • BIt ensures that only the project manager manages risks
   • CIt guarantees that all risks will be avoided
   • DIt removes the need for a risk budget
   Reveal Solution Discussion Select an answer first
2. 7expert · hard

   A project team identifies a risk that a critical component may be unavailable due to supply chain issues. The team decides to partner with another company to develop a substitute component. Which risk response type does this represent?

   • AShare
   • BReduce
   • CTransfer
   • DAccept
   Reveal Solution Discussion Select an answer first
4. 8application · medium

   A project manager is assessing a risk that has a 5% probability of causing a major delay. The project manager has invested significant effort in planning the project and is confident that the risk will not occur. Which decision bias is most likely affecting the project manager, and what is the best mitigation?

   • AAvailability bias; mitigate by recalling similar risks from past projects
   • BAnchoring bias; mitigate by using the initial probability as a reference
   • COptimism bias; mitigate by using historical data and independent review
   • DConfirmation bias; mitigate by seeking evidence that supports the low probability
   Reveal Solution Discussion Select an answer first
5. 9foundation · easy

   How can lessons learned be used to support risk management in a project?

   • ATo inform the identification and analysis of risks in the current project
   • BTo guarantee that all risks are identified at the start of the project
   • CTo replace the need for a risk management approach
   • DTo eliminate the need for a risk budget
   Reveal Solution Discussion Select an answer first
6. 10foundation · easy

   Which behavior best supports effective risk management in a positive risk culture?

   • AKeeping risks confidential to avoid alarming stakeholders
   • BWaiting until a risk is certain before reporting it
   • CAssigning blame when a risk occurs
   • DEncouraging team members to report risks early, even if they are uncertain
   Reveal Solution Discussion Select an answer first