Risk Evaluation focuses on which of the following concepts?

• A. Risk Evaluation is about understanding which risks have the greatest possibility of occurring and can have the greatest negative impact on the project. These become the critical few.
• B. Risk Evaluation is the process of assigning owners to each risk.
• C. Risk Evaluation is selecting the best supplier for risk mitigation.
• D. Risk Evaluation is the budgeting process for risk responses.

Answer: (A)

Risk Evaluation is about prioritizing which risks matter most by examining both how likely they are to occur and how much impact they could have on the project. By weighing probability and consequence, you identify the critical few that warrant attention, monitoring, and targeted responses. This prioritization ensures resources are focused where they will reduce risk the most.

The other activities—assigning owners to risks, choosing a supplier for mitigation, and budgeting for risk responses—are separate steps. Ownership is about who is responsible for a risk, supplier selection relates to how you implement mitigation options, and budgeting covers the cost side of risk responses. These belong in planning and execution stages beyond the initial evaluation.