Task 3 PFMP Practice Questions (Page 4)

Questions 16–20

1. 16application · medium

   A portfolio manager is tracking the effectiveness of a risk response that was implemented to reduce the impact of a supply chain disruption. The response involves maintaining a buffer inventory. After a quarter, the buffer inventory has been used, but the risk has not materialized. What should the portfolio manager do?

   • AReplenish the buffer inventory to maintain the response capability.
   • BReport the unused buffer as a waste of resources to stakeholders.
   • CReduce the buffer inventory to save costs, since the risk is unlikely.
   • DDiscontinue the buffer inventory since the risk did not materialize.
   Reveal Solution Discussion Select an answer first
2. 17foundation · easy

   Which output is produced during portfolio risk response planning?

   • AA detailed schedule for every component in the portfolio
   • BA final decision to accept all risks without any action
   • CA list of all risks that were not identified during risk identification
   • DA risk response plan that documents actions to address portfolio-level risks
   Reveal Solution Discussion Select an answer first
4. 18foundation · easy

   During portfolio risk response planning, which factor is most important when selecting a risk response strategy for a portfolio-level risk?

   • AThe response must align with the portfolio's strategic objectives and the stakeholders' risk appetite.
   • BThe response must be implemented by the portfolio manager without stakeholder input.
   • CThe response must be the least expensive option available to the portfolio.
   • DThe response must eliminate all portfolio-level risks.
   Reveal Solution Discussion Select an answer first
5. 19application · medium

   A portfolio manager is communicating risk response plans to a diverse group of stakeholders, including executives, project managers, and external partners. What is the most important factor to consider in this communication?

   • AThe channel of communication, such as email, meetings, or dashboards.
   • BThe level of detail and technical language used in the communication.
   • CThe timing of communication, ensuring it is delivered at the right moment.
   • DThe frequency of communication, ensuring regular updates are provided.
   Reveal Solution Discussion Select an answer first
6. 20application · medium

   A portfolio risk response has been successfully implemented, reducing a major risk. The portfolio manager needs to communicate this outcome to stakeholders. What is the most important consideration in this communication?

   • AWait until the next scheduled portfolio review to communicate the outcome.
   • BProvide a detailed technical analysis of the response implementation.
   • CEmphasize the success of the response to build confidence in the portfolio management process.
   • DClearly state the current risk status, the effectiveness of the response, and any residual risk.
   Reveal Solution Discussion Select an answer first