Hi All,

Coul you please explain following question?

Quesion ID: 992

There is a probability of 0.1 a given risk will occur in a project. If it occurs, it will result in a loss US $10,000. The insurance cost for this event  is US $700,  with a deductible amount of US $250. Should the project manager  buy this insurance?

A) No, since $1,250 > $1,000

B) Yes, since $1,000 > $950

C) Yes, since $1,000 > $700

D) No, since the deductible amount changes the expected monetary value of the risk event