All of the following statements about contingency and management reserves are true EXCEPT:

multiple choice

• The management reserve covers unforeseen risks.

• If a risk does not materialize, funds pertaining to that risk are removed from the contingency reserve.

• Contingency reserves are established to cover identified risks.

• The management reserve applies to the total project.

• Contingency and management reserves are dependent on each other.

Answer rating: 100% (QA)

Contingency and management reserves are dependent on each other Explanation Contingency and management reserves dont seem to be reciprocally exclusive ... View the full answer