For this assignment, you will be calculating the expected monetary value (EMV) for each risk using the information in the following chart:

Questions to answer:

What is the net EMV for activity DD?

There are three risks associated with Activity BB. Combine all three risks to determine the net EMV, and interpret the meaning behind the calculation. Is the overall risk value as calculated here positive or negative?

Take a look at Activity EE. Calculate the net EMV, and interpret the meaning behind the calculation. Is the overall risk value positive or negative?

Which risk has the highest EMV?

Which risk has the lowest negative EMV?

\begin{tabular}{|c|l|c|r|r|} \hline \multicolumn{5}{|c|}{ Risk Register } \\ \hline Risk \# & Activity \# & Probability & Cost Impact & EMV \\ \hline 1 & AA & 25% & $8,000 & \\ \hline 2 & BB & 70% & $3,800 & \\ \hline 3 & AA & 15% & $3,000 & \\ \hline 4 & DD & 60% & $25,000 & \\ \hline 5 & DD & 40% & $18,500 & \\ \hline 6 & AA & 65% & $6,000 & \\ \hline 7 & BB & 40% & $7,500 & \\ \hline 8 & BB & 35% & $30,000 & \\ \hline 9 & CC & 50% & $45,000 & \\ \hline 10 & EE & 45% & $28,750 & \\ \hline \end{tabular}