The Process of Developing Methods for Responding to Project Risks

question 67

Multiple Choice

The process of developing methods for responding to project risks is called:

• A)risk mitigation planning.
• B)risk reaction planning.
• C)risk response planning.
• D)risk management.

---

Definitions:

Construction In Progress

This refers to the balance sheet classification of the cost of construction projects that are not yet complete.

Liability

A financial obligation or debt owed by a business to another entity, which requires settlement through the transfer of assets or services.

Revenue Recognition

The process by which companies document and account for their income, specifically defining when and under what circumstances revenue is considered earned.

Manage Earnings

This involves legal and possibly unethical financial reporting strategies to make a company's financial condition appear more favorable than it actually is.