PMI PMI-RMP Practice Exams
Last updated on Oct 21,2026- Exam Code: PMI-RMP
- Exam Name: PMI Risk Management Professional
- Certification Provider: PMI
- Latest update: Oct 21,2026
A project has a S0S4 chance of a US$100 000 profit and a 40% chance of a US$100,000 loss .
What is the expected monetary value for this project?
- A . US$20.000 loss
- B . US$20,000 profit
- C . US$40,000 loss
- D . US$100,000 profit
B
Explanation:
The expected monetary value (EMV) for this project can be calculated as follows: (0.6 x US$100,000) – (0.4 x US$100,000) = US$60,000 – US$40,000 = US$20,000 profit.
The EMV of a project is the weighted average of the possible outcomes, which are a US$100,000 profit or a US$100,000 loss in this case. To calculate the EMV, we multiply the probability of each outcome by its monetary value, and then add them together. The formula is: EMV = (Probability of profit x Value of profit) + (Probability of loss x Value of loss)
In this case, the probability of profit is 60%, and the value of profit is US$100,000. The probability of loss is 40%, and the value of loss is -US$100,000 (negative because it is a loss). Therefore, the EMV is: EMV = (0.6 x 100,000) + (0.4 x -100,000) EMV = 60,000 – 40,000 EMV = US$20,000
This means that the project has an expected monetary value of US$20,000 profit, which is the answer option B. The other options are incorrect because they do not match the EMV calculation.
The EMV is a useful tool for comparing different projects or alternatives based on their expected values. However, it does not account for the variability or uncertainty of the outcomes, which may also affect the project decision making. For example, a project with a higher EMV but a higher risk may not be preferable to a project with a lower EMV but a lower risk. Therefore, the EMV should be used with caution and in conjunction with other risk analysis techniques.
For more information on the EMV and other risk analysis methods, you can refer to the PMI Risk Management Professional (PMI-RMP) Examination Content Outline and Specifications, the A Guide to the Project Management Body of Knowledge (PMBOK® Guide) C Sixth Edition, and the Expected Monetary Value (EMV): A Guide With Examples. I hope this helps you understand the concept of EMV and how to apply it to project risk management
4 1. A budget change request was initiated by a functional manager in an organization due to a shortage in the functional manager’s department budget. The functional manager asks the CEO to approve utilization of a contingency budget reserved for one of the projects in its closing phase.
What should the risk manager of the related project have done to prevent this situation from happening?
In a highly dynamic project environment, the project manager is known to have project risks as a permanent agenda item in their periodic project progress meetings .
How will this help improve the project’s risk management activities? (Choose 3)
- A . By helping to monitor variances and trends frequently throughout the project
- B . By helping to determine the overall project risks
- C . By helping the lessons learned from previous risks to be efficiently utilized
- D . By helping to update the project scope statement document
- E . By helping update the risk register and close out expired risks
In a large industrial business, an on-going system development project faces a previously identified risk. The risk is adequately managed by the risk manager, however there is still residual risk .
What should the risk manager do?
- A . Update the risk register accordingly and review it in regular project meetings.
- B . Accept the risk because residual risks are often low.
- C . Ask a subject matter expert (SME) to assess the residual risk and take action.
- D . Assign a risk owner and set it as high priority and high impact.
C
Explanation:
Decision tree analysis is a technique that uses a graphical representation of various possible outcomes and consequences of different courses of action, based on their probabilities of occurrence and associated payoffs or costs. It can help the project team to compare and evaluate the alternatives and choose the optimal one. In this case, the risk manager should use decision tree analysis to help the team members predict the outcomes of their potential choices following their probability of occurrence. Political, economic, social, technological, legal, and environmental (PESTLE) analysis, strengths, weaknesses, opportunities, and threats (SWOT) analysis, and cost-benefit analysis are not techniques that can directly help the team members to predict the outcomes of their potential choices following their probability of occurrence, and are therefore not the best answer.
Reference: PMI Risk Management Professional (PMI-RMP) ® Exam Content Outline1, PMI Practice Standard for Project Risk Management2, Risk Management Professional (PMI-RMP) ® Cert Guide3
The risk manager of a major project needs to ensure the organizational process assets (OPAsj are updated as a result of risk management activities .
How will the risk manager accomplish this?
- A . Ensuring that the project sponsor is kept well-informed
- B . Arranging periodic risk: management process audits
- C . Communicating the status of risks regularly to stakeholders
- D . Monitoring costs with intervention when necessary
B
Explanation:
The risk manager can ensure the organizational process assets (OPAs) are updated as a result of risk management activities by arranging periodic risk management process audits. These audits help evaluate the effectiveness of risk management processes and identify areas of improvement, leading to updates in the OPAs.
According to the PMBOK Guide, one of the tools and techniques for the monitor risks process is audits. Audits are examinations of the risk management processes to ensure that they are aligned with the project objectives and are following the organizational policies and procedures. Audits can also identify any gaps, inconsistencies, or areas of improvement in the risk management activities.
By conducting periodic audits, the risk manager can ensure that the organizational process assets are updated and reflect the current state of the project risk management. Some of the organizational process assets that can be updated as a result of audits are risk management templates, risk categories, risk databases, and lessons learned1.
Reference: PMBOK Guide, 6th edition, pages 456-457, 481-4821; PMI-RMP Exam Content Outline, 2015, page 9
The risk manager also serves as a facilitator for a project and realizes the project team members have biases impacting how they perceive risks .
What analysis is currently being used?
- A . Quantitative risk analysis
- B . Force field analysis
- C . Qualitative risk analysis
- D . Stakeholder analysis
C
Explanation:
The analysis currently being used is qualitative risk analysis. Qualitative risk analysis involves assessing risks based on their likelihood of occurrence and their potential impact on the project. This type of analysis can help identify biases that may be impacting how team members perceive risks. Qualitative risk analysis is the process of prioritizing individual project risks for further analysis or action by assessing their probability of occurrence and impact as well as other characteristics. Qualitative risk analysis helps to identify the most significant risks that require attention and response planning. One of the tools and techniques used in qualitative risk analysis is risk data quality assessment, which evaluates the degree to which the data about individual project risks is useful for risk management. Risk data quality assessment considers various aspects of data quality, such as reliability, accuracy, integrity, precision, and bias. Bias is the tendency of human judgment to be influenced by personal or organizational preferences, assumptions, beliefs, or emotions, rather than by objective facts or evidence. Bias can affect how project team members perceive and assess risks, leading to inaccurate or incomplete risk analysis results. Therefore, the risk manager who realizes the project team members have biases impacting how they perceive risks is currently using qualitative risk analysis to prioritize the risks and assess the quality of risk data.
Reference: PMI, Practice Standard for Project Risk Management, 2009, p. 37-38, 41-42.
A new risk manager has been assigned to a project experiencing delays, quality issues, low performance, and client complaints. The work is being completed with the client’s vendor, which apparently has been causing all of the issues.
What should the risk manager do first?
- A . Enhance risk identification.
- B . Review the contingency reserves.
- C . Create a risk response plan.
- D . Review the risk registry.
D
Explanation:
The risk registry is a document that records the identified risks, their characteristics, their status, and their responses. It is a key input for risk management and a source of information for project stakeholders. The risk manager should review the risk registry first to understand the current state of the project risks, especially the ones related to the client’s vendor, and to evaluate the effectiveness of the risk responses implemented so far. Enhancing risk identification, reviewing the contingency reserves, and creating a risk response plan are possible actions that the risk manager may take after reviewing the risk registry, but they are not the first thing to do.
Reference: PMI Risk Management Professional (PMI-RMP) ® Exam Content Outline1, PMI Practice Standard for Project Risk Management2, Risk Management Professional (PMI-RMP) ® Cert Guide3
While implementing the risk response plan for a previously identified risk, some secondary risks were identified but not captured on the risk register. The project manager decided to review the risk management plan to ensure this does not happen for future, similar situations .
What should the project manager do next?
- A . Identify secondary or residual risks for associated risk plans.
- B . Develop risk response plans for all identified risks.
- C . Update the communications management plan to avoid future issues
- D . Monitor and control secondary and residual risks in the risk register.
A
Explanation:
The project manager should monitor and control secondary and residual risks in the risk register. This will ensure that any new risks identified during the implementation of the risk response plan are captured and managed effectively. Monitoring and controlling risks is a continuous process that helps in identifying, analyzing, and planning for new risks as well as updating the risk register as needed.
According to the PMI Risk Management Professional (PMI-RMP) ® Examination Content Outline, one of the tasks under the domain of Risk Response Planning is to “identify and assess the effectiveness of alternative strategies to reduce threats or enhance opportunities, such as mitigation, transference, avoidance, and acceptance” 1. This implies that the project manager should also consider the potential secondary or residual risks that may arise from implementing the chosen risk response strategy. Secondary risks are new risks that are created as a direct result of implementing a risk response, while residual risks are those that remain after the risk response has been executed 2. Both types of risks should be identified and assessed for their impact and probability, and added to the risk register for further monitoring and control. Therefore, the correct answer is A.
Reference: 1: PMI Risk Management Professional (PMI-RMP) ® Examination Content Outline, page 91 2: A Guide to the Project Management Body of Knowledge (PMBOK® Guide) C Sixth Edition, page 4362
While executing an oil extraction project in an environmentally sensitive area, weather is the main cause of delay in the project work. The risk manager was aware that the delays caused by the weather could not be avoided or mitigated.
What should the risk manager do to manage this risk?
- A . Perform time recovery actions.
- B . Execute the prevention plans.
- C . Execute the contingency plans.
- D . Perform change management.
C
Explanation:
Contingency plans are predefined actions that the project team will take if an identified risk event occurs. They are designed to reduce the impact or probability of the risk, or to restore the project to its original objectives. Contingency plans are part of the risk response planning process, and they should be documented in the risk register. In this case, the risk manager should execute the contingency plans to deal with the delays caused by the weather, as they cannot be avoided or mitigated. Performing time recovery actions, executing prevention plans, or performing change management are not appropriate responses for this risk, as they are either reactive, proactive, or corrective measures that do not address the risk directly.
Reference: = PMBOK Guide, 6th edition, page 443; The Standard for Risk Management in Portfolios, Programs, and Projects, page 75.
A project manager was informed that the testing of the latest component in the project’s software update release was not successful. As a result, 1he delivery timelines for the software release wifi be delayed, The project manager did not previously capture this as a risk to the project.
What should the project manager do next to avoid similar risks?
- A . Add contingencies to other tasks to mitigate similar risks.
- B . Reassess risks with a new assumptions and constraints analysis.
- C . Review the risk response plan looking for lessons learned.
- D . Log the event in the issue log and update the project management plan.
B
8 1. A project manager was informed that the testing of the latest component in the project’s software update release was not successful. As a result, 1he delivery timelines for the software release wifi be delayed, The project manager did not previously capture this as a risk to the project.
What should the project manager do next to avoid similar risks?
A project has a significant impact on an organization. Multiple stakeholders expressed concerns regarding the overall project risk during construction of the risk management plan, and they agreed that the risk appetite is low.
What should the project risk manager monitor closely?
- A . Risk thresholds
- B . Risk response strategies
- C . Risk management reports
- D . Risk breakdown structure (RBS)
A
Explanation:
The project risk manager should monitor risk thresholds closely, as they represent the organization’s risk appetite. In a project with a low risk appetite, it is essential to ensure that risks are managed within the defined thresholds to address stakeholders’ concerns and maintain their confidence in the project’s success.
According to the PMI Risk Management Professional (PMI-RMP) Reference Materials, risk thresholds are the measure of acceptable variation around an objective that reflects the risk appetite of the organization 1. Risk appetite is the degree of uncertainty an entity is willing to take on in anticipation of a reward2. In this case, the project has a significant impact on the organization and the stakeholders have a low risk appetite, meaning they are not willing to accept much deviation from the project objectives. Therefore, the project risk manager should monitor the risk thresholds closely to ensure that the project risks do not exceed the acceptable level of variation and impact the project performance negatively. By monitoring the risk thresholds, the project risk manager can also identify when risk responses are needed and evaluate their effectiveness.
Reference: 1: PMI, Practice Standard for Project Risk Management, 2009, p. 20 2: PMI, A Guide to the Project Management Body of Knowledge (PMBOK® Guide), Sixth Edition, 2017, p. 720