Some Level of Risk Planning Should Be Done During ____

question 15

Multiple Choice

Some level of risk planning should be done during ____ of the project life cycle to make sure that a contractor understands the risks involved with bidding on a proposed project.With knowledge of potential risks, the contractor can include contingency or management reserve amounts in the bid price.

• A) the planning phase
• B) the performing phase
• C) the initiating phase
• D) the closing phase

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Definitions:

Direct Increase

An increase in the value or quantity of an asset or account directly due to additional investments or improvements, rather than through earnings.

Capital Assets

Long-term assets acquired for use in business operations, expected to be used or held for more than one financial period.

Capitalized

Costs that are recognized as part of an asset on the balance sheet rather than being expensed, often related to the acquisition or construction of a long-term asset.

Amortized

The process of gradually writing off the initial cost of an asset or loan over a period of time in a systematic and rational manner.