Determine the risk score for the Project X below, given the following information:

Risk Event	Probability	Impact	Compounded Risk score
1.0	9	4
2.0	7	7
3.0	7	9
4.0 (Opportunity)	6	3

 

59.43

166

36.50

49.75

32.50

You are managing a construction project. There's a 30% chance that weather will cause a three-day delay, costing $12,000. There's also a 20% chance that the price of your building materials will drop, which will save $5,000. What's the total Expected Value for both of these risks?

 

$1,000

-$3,600

$3,600

$4,600

$2,600