Distinguish between qualitative and quantitative risk assessment.

• A. Qualitative risk assessment uses numerical probabilities.
• B. Qualitative risk assessment uses descriptive scales.
• C. Qualitative risk assessment relies solely on qualitative judgments.
• D. Qualitative risk assessment cannot be used in risk analysis.

Answer: (B)

Qualitative risk assessment uses descriptive scales to characterize risk rather than numeric values. It relies on expert judgment and qualitative data, typically rating likelihood and impact with terms like low, medium, and high (or similar descriptors) to rank and prioritize risks. This approach is useful when data are scarce or a quick, high-level view is needed, and it focuses on relative severities rather than precise numbers.

In contrast, numerical probabilities and quantified impact values are the hallmark of quantitative risk assessment, where models and statistics produce exact risk figures and expected losses. The other statements either mislabel qualitative methods as numerical, overstate that they rely only on qualitative judgments, or claim they’re unusable in risk analysis, which isn’t true.