PRINCE2F PRINCE2 Practices Practice Question
Which risk response is appropriate for a threat that the project decides to mitigate by outsourcing?
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
✓
Transfer
Transfer involves shifting the financial impact of a risk to a third party, e.g., through insurance or outsourcing.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
Reduce
Why it's wrong here
Reduce involves taking action to lower probability or impact.
- ✗
Avoid
Why it's wrong here
Avoiding would mean not doing the activity that causes the risk.
- ✗
Accept
Why it's wrong here
Accept means no action is taken.
- ✓
Transfer
Why this is correct
Transfer passes the risk to a third party.
Go deeper
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Same concept, more angles
1 more way this is tested on PRINCE2F
These questions test the same concept from different angles. Work through them to make sure you can recognise it however the exam phrases it.
Variation 1. Which risk response is appropriate for a threat that can be mitigated by transferring the financial impact to a third party?
medium- A.Avoid
- B.Reduce
- ✓ C.Transfer
- D.Accept
Why C: Transfer involves shifting the financial impact of a risk to a third party, e.g., through insurance or contract.
JA
Written by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
This PRINCE2F practice question is part of Courseiva's free PeopleCert 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 PRINCE2F exam.