What is the risk threshold for the application mentioned in the notes?

• A. 15%.
• B. 20%.
• C. 25%.
• D. 30%.

Answer: (B)

The main idea is that a risk threshold is the maximum level of risk you’re willing to accept for an application. It acts as a decision point: if the estimated risk goes above this level, you take action to reduce it; if it stays below, you may accept it or monitor it.

In this scenario, the notes set the threshold at 20%. That means any risk assessment that yields or exceeds 20% is considered unacceptable and should trigger mitigation or other controls. A 20% threshold represents a balanced risk appetite: not too strict to stall progress, but not so lenient that meaningful risks are ignored.

Why this fits the notes: the threshold value given is 20%, so that value is used to decide when remediation is required. The other options (15%, 25%, 30%) would imply different levels of tolerance that aren’t stated in the notes, so they wouldn’t align with the described risk posture.