Which strategy is recommended when using a quantitative risk assessment approach?

The recommended strategy when using a quantitative risk assessment approach emphasizes maximizing return on investment (ROI) while keeping expenditures reasonable. In this case, the chosen option reflects a scenario where the expenditure of $250,000 yields a return of $275,000. This results in a positive net gain, indicating that the investment is sound as the return exceeds the expenditure by a significant margin.

In the context of risk assessment, it is crucial to consider not just the absolute figures but the balance between risk and reward. A successful quantitative risk assessment aims to identify investments that will yield returns greater than the associated costs, thereby minimizing risk while maximizing potential gains.

The focus on the chosen option also aligns with the principles of risk management where assessments factor in both the financial implications and the strategic advantages of various investments. This approach supports informed decision-making based on quantitative data, ensuring that resources are allocated to the most beneficial initiatives.