PMI Risk Management Professional (PMI-RMP) — Question 114
During project execution, the project team realizes that the power outlet for imported equipment is not compatible with the current customer's electrical infrastructure. This event was originally identified as a risk during earlier stages of the project and the associated risk response indicated a plan to purchase a new power adapter.
Which project fund will be used to cover this cost?
Answer options
- A. Management reserve
- B. Management budget
- C. Project budget
- D. Contingency reserve
Correct answer: D
Explanation
The correct answer is D, the Contingency reserve, as it is specifically allocated for unforeseen costs that arise from identified risks. The Management reserve is for unknown risks, while the Management budget and Project budget are not designated for specific risk responses.