Jeff, a Key Stakeholder in Your Project, Wants to Know

question 158

Multiple Choice

Jeff, a key stakeholder in your project, wants to know how the risk exposure for the risk events is calculated during quantitative risk analysis. He is worried about the risk exposure which is too low for the events surrounding his project requirements. How is the risk exposure calculated?

• A) The probability of a risk event plus the impact of a risk event determines the true risk expo sure.
• B) The risk exposure of a risk event is determined by historical information.
• C) The probability of a risk event times the impact of a risk event determines the true risk exposure.
• D) The probability and impact of a risk event are gauged based on research and in-depth analysis.

Discuss the concept of equality of opportunity versus equality of outcome.

Understand the changing age demographics in the United States and their societal implications.

Contrast the concepts of direct democracy and representative democracy.

Evaluate the strengths and weaknesses of a democratic form of government compared to nondemocratic forms.

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Definitions:

Financial Leverage

A strategy involving the use of borrowed money to increase the potential return of an investment.

Operating Leverage

The use of fixed as opposed to variable cost in a firm’s cost structure.

Combined Leverage

Refers to the use of both operating and financial leverage by a company to assess the potential impact on earnings due to changes in sales.

Degree of Financial Leverage

A measure that quantifies the sensitivity of a company's earnings per share to fluctuations in its operating income due to the use of fixed cost financing.