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Where to Add risk as per this question

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Following is a question in test 4 of simplilearn where I have some confusion. Shouldn't the answer to this question be Risk Register. After recording potential risk in risk register we can determine if we need to put in watchlist after Qualititative Analysis.

Answer provided in simplilearn is WatchList.

7. You are using a large number of subcontractors on your project. One fine day when you inspect the attendance register, you noticed a lot of irregularities in time in and time out of these...

Where to Add risk as per this question

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