- What is the primary focus of qualitative risk assessment?
- A) Numerical analysis of risk impacts
- B) Descriptive analysis of risks based on their nature
- C) Financial impact calculations
- D) Statistical probability of risk occurrence
- Answer: B) Descriptive analysis of risks based on their nature
- Which risk assessment approach uses numerical data and statistical methods to evaluate risks?
- A) Qualitative Risk Assessment
- B) Quantitative Risk Assessment
- C) Scenario Analysis
- D) Expert Judgment
- Answer: B) Quantitative Risk Assessment
- What is a key characteristic of qualitative risk assessment?
- A) Use of probability distributions
- B) Use of descriptive and subjective methods
- C) Emphasis on financial calculations
- D) Application of Monte Carlo simulations
- Answer: B) Use of descriptive and subjective methods
- Which approach involves rating risks based on their likelihood and impact using descriptive terms?
- A) Quantitative Risk Assessment
- B) Qualitative Risk Assessment
- C) Financial Risk Assessment
- D) Operational Risk Assessment
- Answer: B) Qualitative Risk Assessment
- Which risk assessment method uses mathematical models to predict the probability and impact of risks?
- A) Qualitative Risk Assessment
- B) Quantitative Risk Assessment
- C) SWOT Analysis
- D) Delphi Method
- Answer: B) Quantitative Risk Assessment
- Which technique is commonly used in qualitative risk assessment to categorize risks into high, medium, or low?
- A) Risk Matrix
- B) Monte Carlo Simulation
- C) Risk Heat Map
- D) Fishbone Diagram
- Answer: A) Risk Matrix
- In which risk assessment approach are risks typically assessed based on expert judgment and interviews?
- A) Quantitative Risk Assessment
- B) Qualitative Risk Assessment
- C) Scenario Analysis
- D) Statistical Analysis
- Answer: B) Qualitative Risk Assessment
- Which approach would most likely use a Monte Carlo simulation to assess risk?
- A) Qualitative Risk Assessment
- B) Quantitative Risk Assessment
- C) Risk Heat Map
- D) Fishbone Diagram
- Answer: B) Quantitative Risk Assessment
- What does a qualitative risk assessment typically provide in terms of risk prioritization?
- A) Numerical risk values
- B) Descriptive categories like high, medium, or low
- C) Financial loss estimates
- D) Statistical probabilities
- Answer: B) Descriptive categories like high, medium, or low
- Which risk assessment method involves analyzing risks using historical data and statistical techniques?
- A) Qualitative Risk Assessment
- B) Quantitative Risk Assessment
- C) Expert Judgment
- D) Scenario Analysis
- Answer: B) Quantitative Risk Assessment
- In qualitative risk assessment, what does a risk heat map typically illustrate?
- A) Risk frequency
- B) Risk financial impact
- C) Risk severity and likelihood
- D) Risk control effectiveness
- Answer: C) Risk severity and likelihood
- Which type of risk assessment uses probability distributions to predict risk outcomes?
- A) Qualitative Risk Assessment
- B) Quantitative Risk Assessment
- C) Scenario Analysis
- D) Risk Matrix
- Answer: B) Quantitative Risk Assessment
- What is a common tool used in qualitative risk assessment to identify potential causes of risks?
- A) Risk Matrix
- B) Fishbone Diagram
- C) Monte Carlo Simulation
- D) Risk Heat Map
- Answer: B) Fishbone Diagram
- Which risk assessment method evaluates risks by assigning numerical values to the probability and impact of each risk?
- A) Qualitative Risk Assessment
- B) Quantitative Risk Assessment
- C) SWOT Analysis
- D) Risk Matrix
- Answer: B) Quantitative Risk Assessment
- Which approach involves using surveys and expert opinions to assess risk impacts?
- A) Quantitative Risk Assessment
- B) Qualitative Risk Assessment
- C) Monte Carlo Simulation
- D) Scenario Analysis
- Answer: B) Qualitative Risk Assessment
- What is a limitation of qualitative risk assessment?
- A) Requires extensive numerical data
- B) Provides subjective and potentially biased assessments
- C) Involves complex statistical analysis
- D) Uses mathematical modeling
- Answer: B) Provides subjective and potentially biased assessments
- Which method is used to estimate the financial impact of risks using mathematical models?
- A) Qualitative Risk Assessment
- B) Quantitative Risk Assessment
- C) Fishbone Diagram
- D) Risk Matrix
- Answer: B) Quantitative Risk Assessment
- Which approach is more suitable for assessing risks with available historical data and quantifiable impacts?
- A) Qualitative Risk Assessment
- B) Quantitative Risk Assessment
- C) Scenario Analysis
- D) Delphi Method
- Answer: B) Quantitative Risk Assessment
- What is a common outcome of qualitative risk assessment?
- A) Detailed financial loss estimates
- B) Risk ratings and prioritization based on descriptions
- C) Probability distributions
- D) Risk statistical analyses
- Answer: B) Risk ratings and prioritization based on descriptions
- Which approach to risk assessment would use a Monte Carlo simulation to understand risk variability?
- A) Qualitative Risk Assessment
- B) Quantitative Risk Assessment
- C) SWOT Analysis
- D) Fishbone Diagram
- Answer: B) Quantitative Risk Assessment
- Which risk assessment method might use a Delphi panel to reach consensus on risk impacts?
- A) Qualitative Risk Assessment
- B) Quantitative Risk Assessment
- C) Scenario Analysis
- D) Risk Matrix
- Answer: A) Qualitative Risk Assessment
- What does quantitative risk assessment typically require for accurate analysis?
- A) Expert opinions and subjective judgments
- B) Historical data and statistical models
- C) Risk severity ratings
- D) Descriptive risk categorization
- Answer: B) Historical data and statistical models
- Which risk assessment approach involves using descriptive categories to assess risk impacts?
- A) Quantitative Risk Assessment
- B) Qualitative Risk Assessment
- C) Scenario Analysis
- D) Monte Carlo Simulation
- Answer: B) Qualitative Risk Assessment
- What is one advantage of quantitative risk assessment over qualitative risk assessment?
- A) Provides subjective insights
- B) Utilizes descriptive categories
- C) Offers numerical and statistical precision
- D) Avoids mathematical calculations
- Answer: C) Offers numerical and statistical precision
- Which tool is used in quantitative risk assessment to simulate different risk scenarios?
- A) Fishbone Diagram
- B) Risk Matrix
- C) Monte Carlo Simulation
- D) Risk Heat Map
- Answer: C) Monte Carlo Simulation
- In which risk assessment approach are risks often described using terms like “high,” “medium,” or “low”?
- A) Quantitative Risk Assessment
- B) Qualitative Risk Assessment
- C) Financial Risk Assessment
- D) Scenario Analysis
- Answer: B) Qualitative Risk Assessment
- Which risk assessment method involves assigning numerical probabilities to risk events?
- A) Qualitative Risk Assessment
- B) Quantitative Risk Assessment
- C) Risk Matrix
- D) Fishbone Diagram
- Answer: B) Quantitative Risk Assessment
- What type of risk assessment is likely to involve developing risk scenarios and their potential impacts?
- A) Quantitative Risk Assessment
- B) Qualitative Risk Assessment
- C) Scenario Analysis
- D) Risk Matrix
- Answer: C) Scenario Analysis
- Which approach provides a more detailed analysis of risk by using specific numerical values and statistical methods?
- A) Qualitative Risk Assessment
- B) Quantitative Risk Assessment
- C) SWOT Analysis
- D) Delphi Method
- Answer: B) Quantitative Risk Assessment
- Which risk assessment approach is best suited for assessing risks where data is scarce or subjective?
- A) Quantitative Risk Assessment
- B) Qualitative Risk Assessment
- C) Scenario Analysis
- D) Risk Matrix
- Answer: B) Qualitative Risk Assessment