You are the project manager of the BJA Project for your company. Management is worried about
one of the identified risks in your project. The risk event has a probability of 90 percent and a cost
impact of $85,000. Management and you discuss possible solutions to address the risk. You share

with them that for $75,000 you can reduce the probability of the risk event to 15 percent and the
impact to $25,000. This solution will add three weeks to the project schedule. Management thinks
this is a good idea and they would like you to add the time and cost additions to your project plan.
What type of risk response is used?

A.
Avoidance

B.
Acceptance

C.
Exploit

D.
Mitigation