[blank] is the amount of risk that the project contributes to the firm as a whole.
A)Project's stand-alone risk
B)Project's contribution-to-firm risk
C)Systemic risk
D)Scenario risk

Question

Quizplus · Accepted Answer

Project's contribution-to-firm risk measures the amount of risk that the project adds to the overall risk of the firm. It takes into account how the project interacts with other projects and operations of the firm, which is not captured in project's stand-alone risk. Systemic risk refers to the risk of breakdown or failure in the financial system, and scenario risk measures the impact of a specific event or scenario on the project or the firm.

[Blank] Is the Amount of Risk That the Project Contributes