PMP (Project Management Professional) · Question
What is the purpose of a 'contingency reserve' in risk management?
Contingency reserves are funds, time, or resources held for identified risks with planned responses.
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Question: What is the purpose of a 'contingency reserve' in risk management?
Answer options: ✅ To address identified risks for which responses have been planned
- To cover unknown-unknown risks
- To fund routine project activities
- To provide extra budget for scope creep
Correct answer: To address identified risks for which responses have been planned
Explanation: Contingency reserves are funds, time, or resources held for identified risks with planned responses.
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Question explanations
- What is the primary output of the 'Direct and Manage Project Work' process?
- Which project management approach emphasizes frequent communication, self-organizing teams, and adapting to ch
- Which of the following is an output of the 'Develop Project Charter' process?
- Which type of risk response strategy involves shifting the impact of a threat along with ownership to a third
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