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PK0-005 Practice Question: A project team has identified a risk that a key…

A project team has identified a risk that a key supplier may go out of business. The probability is low but the impact is high. The project manager decides to find an alternative supplier and sign a contract with them as a backup. This is an example of which risk response strategy?

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

Mitigate

(Mitigate) is correct because signing a backup contract reduces the impact of the risk, which is a mitigation strategy. Option B (Avoid) is wrong because avoidance would eliminate the risk entirely (e.g., using a different supplier from the start), not just have a backup. Option C (Transfer) is wrong because transferring the risk involves shifting the financial consequences to a third party (e.g., insurance or outsourcing), not having a backup supplier. Option D (Accept) is wrong because acceptance means acknowledging the risk without proactive action, whereas a backup plan is a proactive response.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • Mitigate

    Why this is correct

    Mitigation reduces the probability or impact of a risk; having a backup supplier reduces impact.

  • Avoid

    Why it's wrong here

    Avoidance eliminates the risk entirely, e.g., by choosing a different supplier.

  • Transfer

    Why it's wrong here

    Transfer involves shifting liability to another party, such as through insurance or warranties.

  • Accept

    Why it's wrong here

    Acceptance means taking no proactive action; here the team is proactively securing a backup.

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JA

Written by Johnson Ajibi, MSc IT Security

Senior Network & Security Engineer · founder of Courseiva

This PK0-005 practice question is part of Courseiva's free CompTIA certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the PK0-005 exam.