Section: Volume B
Explanation:
There is only one tool and technique available for Fred to plan risk management: planning meetings and analysis. Planning Meeting and Analysis is a tool and technique in the Plan Risk Management process.
Planning meetings are organized by the project teams to develop the risk management plan. Attendees at these meetings include the following:
* Project manager
* Selected project team members
* Stakeholders
* Anybody in the organization with the task to manage risk planning
Sophisticated plans for conducting the risk management activities are defined in these meetings, responsibilities related to risk management are assigned, and risk contingency reserve application approaches are established and reviewed.
Incorrect Answers:
A, B, D: These are not plan risk management tools and techniques.

Explanation/Reference:
Explanation:
A quantitative risk assessment quantifies risk in terms of numbers such as dollar values. This involves gathering data and then entering it into standard formulas. The results can help in identifying the priority of risks. These results are also used to determine the effectiveness of controls. Some of the terms associated with quantitative risk assessments are:
Single loss expectancy (SLE)-It refers to the total loss expected from a single incident. This incident

can occur when vulnerability is being exploited by threat. The loss is expressed as a dollar value such as $1,000. It includes the value of data, software, and hardware. SLE = Asset value * Exposure factor Annual rate of occurrence (ARO)-It refers to the number of times expected for an incident to occur in a

year. If an incident occurred twice a month in the past year, the ARO is 24. Assuming nothing changes, it is likely that it will occur 24 times next year. Annual loss expectancy (ALE)-It is the expected loss for a year. ALE is calculated by multiplying SLE with ARO. Because SLE is a given in a dollar value, ALE is also given in a dollar value. For example, if the SLE is $1,000 and the ARO is 24, the ALE is $24,000.
ALE = SLE * ARO Safeguard value-This is the cost of a control. Controls are used to mitigate risk. For

example, antivirus software of an average cost of $50 for each computer. If there are 50 computers, the safeguard value is $2,500. A, B, C: These are wrong formulas and are not used in quantitative risk assessment.

Section: Volume C
Explanation:
Risk register is a document that contains the results of the qualitative risk analysis, quantitative risk analysis, and risk response planning.
Risk register is developed along with all processes of the risk management from Plan Risk Management through Monitor and Control Risks.
Incorrect Answers:
A: The quality management plan is a component of the project management plan. It describes how the project team will implement the organization's quality policy. The quality management plan addresses quality control (QC), quality assurance (QA), and continuous process improvement for the project. Based on the requirement of the project, the quality management plan may be formal or informal, highly detailed or broadly framed.
B: Risk management plan includes roles and responsibilities, risk analysis definitions, timing for reviews, and risk threshold. The Plan Risk Responses process takes input from risk management plan and risk register to define the risk response.
D: The project charter is the document that formally authorizes a project. The project charter provides the project manager with the authority to apply organizational resources to project activities.

Section: Volume C
Explanation:
Exposure Factor represents the impact of the risk over the asset, or percentage of asset lost. For example, if the Asset Value is reduced to two third, the exposure factor value is 0.66.
Therefore, when the asset is completely lost, the Exposure Factor is 1.0.
Incorrect Answers:
B, C, D: These are not the values of exposure factor for zero assets.

Explanation/Reference:
Explanation:
The probability and impact matrix is a technique to prioritize identified risks of the project on their risk rating, and are being prepared while performing qualitative risk analysis. Evaluation of each risk's importance and, hence, priority for attention, is typically conducted using a look-up table or a probability and impact matrix. This matrix specifies combinations of probability and impact that lead to rating the risks as low, moderate, or high priority.
Incorrect Answers:
A, B: These processes are part of Risk Management. The probability and impact matrix is prepared during the qualitative risk analysis for further quantitative analysis and response based on their risk rating.
C: SLE, ARO and ALE are used in quantitative risk assessment.