Which document should record the agreed amount of risk budget for a project?
Which document should record the agreed amount of risk budget for a project?
The document that should record the agreed amount of risk budget for a project is the Project Plan. The Project Plan includes comprehensive details about the project's scope, timeline, and budget, including sections allocated for managing risks. This ensures that all financial resources, including those set aside for mitigating risks, are accounted for and transparent to stakeholders.
I go for B - in the main Project plan. PRINCE2 recommends the following are included in the budget for a plan: 1.money to fund the activities to create specialist products (and management activities) 2.money to fund responses to risks (risk budget) 3. money to fund authorized changes to baseline products (change budget) 4. cost tolerance
The correct answer is C
• Risk Management Strategy will detail if a risk budget is to be used, what it will be used for, and defines mechanisms for control of and access to this budget • Amounts are documented in the relevant plan
Given it is part of project budget, it will be in Project Budget, which will be added to project plan. hence B
The project BUDGET but the project PLAN. So the answer is C (not B the Project Plan)
B As the risk budget is part of the project budget
C is good
page 125 ;10.3.7 Establishing a risk budget => As the risk budget is part of the project budget, there may be a tendency to treat it as just another sum of money that the project manager can spend .
c is correct
C seems corrext
C is correct
A Risk Budget is a sum of money that is put aside just to deal with specific responses to threats or opportunities and it cannot be used for anything else. Risk Budget is often referred to as a contingency budget and defined in the Rish Management Approach document. So the correct answer should be C!
Risk budget is reserved in Risk Management Strategy and so it should be C
Shouldn't it be C? A risk management approach describes how risk will be managed on the project. This includes the specific processes, procedures, techniques, standards and responsibilities to be applied.