An Uncertain Event or Condition That, If It Occurs, Has

question 21

Multiple Choice

An uncertain event or condition that, if it occurs, has a positive or negative effect on project objectives is termed a

• A)Random chance.
• B)Disaster.
• C)Risk.
• D)Hazard.
• E)Bad luck.

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Definitions:

Straight-Line Method

A method of depreciation that allocates an equal amount of the cost of an asset over its useful life.

Depreciation Expense

The allocated amount of an asset's cost charged to expense over time, reflecting the loss in value as the asset is used in operations.

Straight-Line Depreciation Rate

A method of calculating depreciation of an asset, distributing its cost evenly across its useful life.

Useful Life

The estimated period over which a fixed asset is expected to be usable by the company, affecting its depreciation calculation.