What type of risk response is this?

Wendy has identified a risk event in her project that has an impact of $75,000 and a 60 percent chance of happening. Through research, her project team learns that the risk impact can actually be reduced to just $15,000 with only a ten percent chance of occurring. The proposed solution will cost $25,000. Wendy agrees to the $25,000 solution.

What type of risk response is this?
A . Mitigation
B . Avoidance
C . Transference
D . Enhancing

View Answer

Answer: A