Which of the following statements is TRUE for this risk event?

You are the project manager of GHT project. You have identified a risk event on your current
project that could save $670,000 in project costs if it occurs. Your organization is considering
hiring a vendor to help establish proper project management techniques in order to assure it
realizes these savings. Which of the following statements is TRUE for this risk event?

A.
This risk event should be accepted because the rewards outweigh the threat to the project.

B.
This risk event should be mitigated to take advantage of the savings.

C.
This risk event is an opportunity to the project and should be exploited.

D.
This is a risk event that should be shared to take full advantage of the potential savings.

Explanation:

This risk event has the potential to save money on project costs and organization is hiring a
vendor to assure that all these saving are being realized. Hence this risk event involves sharing
with a third party to help assure that the opportunity take place.
Answer A is incorrect. This risk event is not accepted as this event has potential to save money as

well as it is shared with a vendor so that all these savings are being realized.
Answer C is incorrect. This risk event can be exploited but as here in this scenario, it is stated that
organization is hiring vendor, therefore event is being shared not exploited.
Answer B is incorrect. The risk event is mitigated when it has negative impacts. But here it is
positive consequences (i.e., saving), therefore it is not mitigated.