A Risk Is an Uncertain Event That, If It Occurs

question 46

Multiple Choice

A risk is an uncertain event that, if it occurs,

• A) must be accepted.
• B) can jeopardize accomplishing the project objective.
• C) must be avoided.
• D) helps to achieve the project objective.

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Definitions:

Land Improvements

Enhancements made to a parcel of land to increase its value, such as landscaping, fencing, and paving.

Personal Property

Personal property encompasses any movable property that is not attached to or associated with real estate, such as vehicles, furniture, and electronic devices.

Units-of-Activity

A depreciation method that allocates an asset's cost based on its usage, activities, or units of production rather than the passage of time.

Double-Declining-Balance

A method of accelerated depreciation which doubles the rate at which an asset depreciates compared to the straight-line depreciation method.