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In Cloud Computing, service level degradation is a crucial phenomenon that will have an impact on businesses outcome. This impact in business domain could be measured in terms of not achieving the desired outcomes and loss of investment. On the basis of this measurement, a decision has to be made by the service requester on the continuation of that service or re-composing it. In the literature, approaches have been proposed that allow for service re-composition in Service-Oriented Architecture (SOA) but in Cloud Computing techniques are needed that analyze the chances and affect of Service Degradability and assist in making informed service management decision. Such analysis is achieved by the assessment of transactional risk. In this paper we propose a methodology that analyses the transactional risk and proposes assessments that can be utilized to make informed decisions.