You work as a project manager for BlueWell Inc. You are performing the quantitative risk analysis for your project. One of the project risks has a 50 percent probability of happening, and it will cost the project $55,000 if the risk happens. What will be the expected monetary value of this risk event?
Question:
What will be the expected monetary value of this risk event?
Options:
Negative $27,500
Zero – the risk event has not yet occurred
Negative $26,000
Negative $55,000
Correct Answer
The Correct Answer for this Question is
Negative $27,500
