Cost of risk is too high

[KerryMiller]

I have project where the “cost of risk” values seem to high. For example, consider the risk below. There is an 25% chance that it will cost $5000. After a run, it appears that I have to make a risk reservation of 11,052. Or do I have to work it out differently?

[Intaver Support]

If this is happening when the risk is assigned to a single task, I suspect that the activity has a resource with a rate associated with it as well. When you have a schedule risk assigned to a task with a resource rate this will also generate "time dependent" costs.
Here is how this works.

Fixed cost risk to a single task 5 days:



Here are the results:



Create a resource with a rate of $100/hr:



Add the time delay risk:



Run a Simulation.
The results are now. The majority of the cost risk is due to the schedule increase.