volume_mute
During the 'Assess Risks' task, a BA identifies a risk with a 20% probability of occurring. If it occurs, the impact is a loss of 80,000 USD. However, there is a 10% chance it could result in an opportunity gain of 30,000 USD. What is the Expected Monetary Value (EMV) of this risk?
publish date: 2026/03/07 07:38:34.164372 UTC
volume_mute
Correct Answer
-$13,000
Explanation
EMV is calculated as (0.20 * -80,000) + (0.10 * 30,000), which equals -16,000 + 3,000 = -$13,000.
Reference
go-math-science.com