PK0-005 Project Life Cycle Practice Question
A project manager is evaluating a risk with a probability of 30% and an impact of $50,000. What is the expected monetary value (EMV) of this risk?
Answer choices
Why each option matters
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
$15,000
EMV = Probability × Impact = 0.30 × $50,000 = $15,000.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
$150,000
Why it's wrong here
This would be 300% of impact.
- ✗
$1,500
Why it's wrong here
This would be 3% of 50,000.
- ✗
$50,000
Why it's wrong here
That is the impact, not the EMV.
- ✓
$15,000
Why this is correct
EMV = 0.30 × 50,000 = 15,000.
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Written by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
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