Contracts/Project Management State Test Study
An output of administrative closure is the creation of: a. project archives. b. a project charter. c. a project management plan. d. a risk analysis plan.
Answer : A
What is one of the advantages of a functional organization? A. All employees report to one manager and have a clear chain of command. B. All employees report to two or more managers, but project team members show loyalty to functional managers. C. The organization is focused on projects and project work. D. Teams are collocated.
A. An advantage for employees in a functional organization is that they have only one supervisor and a clear chain of command exists.
You are the project manager for a large construction project. The project objective is to con-struct a set of outbuildings to house the Olympic support team that will be arriving in your city 18 months from the project start date. Resources are not readily available as they are currently assigned to other projects. Jack, an expert crane operator, is needed for this project two months from today. Which of the following skills will you use to get Jack assigned to your project? A. Negotiation and influencing skills B. Communication and organizational skills C. Communication skills D. Problem-solving skills
A. Negotiation and influencing skills are needed to convince Jack's boss and come to agreement concerning his assignment.
You are a project manager working on gathering requirements and establishing estimates for the project. Which process group are you in? A. Planning B. Executing C. Initiating D. Monitoring and Controlling
A. The Planning process is where requirements are fleshed out, stakeholders are identified, and estimates on project costs and time are made.
You've decided to try your hand at project management in the entertainment industry. You're working on a movie production and the team has just completed the storyboard phase of the project. Which of the following is true? A. The storyboard is a deliverable that marks the end of the phase. The deliverable must be approved before the next phase begins. B. The storyboard phase marks the end of the Initiating process group and the next phase of the project should begin. C. All of the phases of this project together make up a program. D. The division of phases and determining which processes to use in each phase is called tailoring
A. The storyboard is a deliverable. Phase endings are characterized by the completion, review, and approval of the deliverable. The next phase should not begin until the deliverable is approved.
Your company manufactures small kitchen appliances. They are introducing a new product line of appliances in designer colors with distinctive features for kitchens in small spaces. These new products will be offered indefinitely starting with the spring catalog release. Which of the following is true? A. This is a project because this new product line has never been manufactured and sold by this company before. B. This is an ongoing operation because the company is in the business of manufacturing kitchen appliances. Introducing designer colors and features is simply a new twist on an existing process. C. This is an ongoing operation because the new product line will be sold indefinitely. It's not temporary. D. This is not a project or an ongoing operation. This is a new product introduction not affect-ing ongoing operations.
A. This is a project. The product line is new, which implies that this is a unique product—it hasn't been done before. We can discern a definite start and end date by the fact that the new appliances must be ready by the spring catalog release.
An example of scope validation is: a. Reviewing the performance of an installed software module. b. Managing changes to the project schedule. c. Decomposing the WBS to a work package level. d. Performing a benefit-cost analysis to determine if we should proceed.
Answer : A
Contract closure is different from administrative closure in that contract closure: a. occurs before administrative closure. b. is the only one to involve the customer. c. includes the return ofproperty. d. may be done more than once for each contract.
Answer : A
To control the schedule, a project manager is reanalyzing the project to predict project duration. She does this by analyzing the sequence of activities with the least amount of scheduling flexibility. What technique is she using? a. Critical path method b. Flowchart c. Precedence diagramming d. Work breakdown structure
Answer : A
What type of contract do you not want to use if you do not have enough labor to audit invoices? a. Cost plus fixed fee (CPFF) b. Time & material (T&M) c. Fixed price (FP) d. Fixed price incentive fee (FPIF)
Answer : A
A temporary endeavor undertaken to create a new product or service is called a: a. New product development. b. Project. c. Program. d. Enterprise.
Answer : B
All of the following are examples of the cost of nonconformance EXCEPT? a. Rework b. Quality training c. Scrap d. Warranty costs
Answer : B
Approved Change Requests are an input to: a. Control Scope and Validate Scope. b. Direct and Manage Project Work. c. develop project management plan and develop project charter. d. Develop Project Management Plan and Develop Schedule.
Answer : B
The WBS for the project represents: a. All the tangible items that must be delivered to the client. b. All the work that must be completed for the project. c. The work that must be performed by the project team. d. All the activities of the project.
Answer : B
A group of related projects that are managed in a coordinated way that usually include an element of ongoing activity is called a: a. Major project. b. Project office. c. Program. d. Group of projects.
Answer : C
A person who is involved in or may be affected by the activities or anyone who has something to gain or lose by the activity of the project is called a: a. Team member. b. Customer. c. Stakeholder. d. Supporter.
Answer : C
A plan is a formal plan for an entire business entity defining its mission, vision, goals, strategies, and measures of progress. A) project B) program management C) strategic D) enterprise
Answer : C
A project manager has just been assigned to a project. The document that recognizes the existence of the project is called: a. The statement of work. b. The project assignment. c. The project charter. d. The product description.
Answer : C
A schedule performance index (SPI) of 0.76 means: a. you are over budget. b. you are ahead of schedule. c. you are only progressing at 76 percent of the rate originally planned. d. you are only progressing at 24 percent of the rate originally planned.
Answer : C
A team is using a fishbone diagram to help determine what quality standards will be used on the project. What part of the quality management process are they in? a. Perform quality control b. Perform quality assurance c. Plan Quality Management d. Variable analysis
Answer : C
Configuration management plan is: a. Used to ensure that the description of the project product is correct and complete. b. The creation of the work breakdown structure. c. The set of procedures developed to control changes. d. A mechanism to track budget and schedule variances.
Answer : C
In which project management process group is the detailed project budget created? a. Initiating b. Before the project management process c. Planning d. Executing
Answer : C
Quality is: a. meeting and exceeding the customer's expectations. b. adding extras to make the customer happy. c. the degree to which the inherent characteristics fulfill requirements. d. conformance to management's objectives.
Answer : C
The "halo effect" refers to the tendency to: a. promote from within. b. hire the best. c. move people into project management because they are good in their technical fields. d. move people into project management because they have had project management training.
Answer : C
The work defined at the lowest level of the breakdown structure to estimate as well as manage time and cost is called the: a. Activity. b. Task. c. Work package. d. Cost account.
Answer : C
What conflict resolution technique is a project manager using when he says, "I cannot deal with this issue now!" a. Problem solving b. Forcing c. Withdrawal d. Compromising
Answer : C
Your company has an emergency and needs contracted work done as soon as possible. Under these circumstances, which of the following would be the helpful to add to the contract? a. A clear contract statement of work b. Requirements as to which subcontractors can be used c. Incentives d. A force majeure clause
Answer : C
A project manager has assembled the project team, identified 56 risks on the project, determined what would trigger the risks, rated them on a risk rating matrix, tested their assumptions and assessed the quality of the data used. The team is continuing to move through the risk management process. What has the project manager forgotten to do? a. Simulation b. Risk mitigation c. Overall risk ranking for the project d. Involving of other stakeholders
Answer : D
A rough order of magnitude estimate is made during which project management process group? a. Project planning b. Project closing c. Project executing d. Project initiating
Answer : D
All of the following are characteristics of a project EXCEPT: a. Temporary b. Definite beginning and end c. Interrelated activities d. Repeats itself every month
Answer : D
Which of the following conflict resolution techniques will generate the MOST lasting solution? a. Forcing b. Smoothing d. Compromise e. Problem solving
Answer : D
Workarounds are determined during which risk management process? a. Identify Risks b. Perform Quantitative Risk Analysis c. Plan Risk Responses d. Control Risks
Answer : D
Your program manager has come to you, the project manager, for help with a bid for her newest project. You want to protect your company from financial risk. You have limited scope definition. What is the BEST type of contract to choose? a. Fixed price (FP) b. Cost plus percent of cost (CPPC) c. Time and material (T&M) d. Cost plus fixed fee (CPFF)
Answer : D
If earned value (EV) = 350, actual cost (AC) = 400, planned value (PV) = 325, what is cost variance (CV)? a. 350 b. -75 c. 400 d. -50
Answer : D Hint: CV = EV - AC
During the full life cycle of the project, a plot of the project.s expected expenditures will usually follow a characteristic ..S.. shape. This indicates that: a. There is a cyclic nature to all projects. b. Problems will always occur in the execution phase. c. There are high expenditures during closeout. d. The bulk of the project budget will be spent in the execution phase.
Answer :D
Purchasing insurance is considered an example of risk: a. mitigation. b. transfer. c. acceptance. d. avoidance.
Answer B
A project manager is trying to complete a software development project, but cannot get enough attention for the project. Resources are focused on completing process-related work and the project manager has little authority to properly assign resources. What form of organization must the project manager be working in? a. Functional b. Matrix c. Expediter d. Coordinator
Answer: A
A project manager must have some work done by an outside contractor. This work has a great deal of risk associated with it, and it has become very difficult to find a contractor willing to take on the job. Which of the following types of contract would offer the greatest incentive to the contractor? a. Cost plus percentage of cost as an award fee b. Cost plus fixed fee c. Cost plus incentive fee d. Firm fixed price
Answer: A
Information is a process that involves making needed information available to project stakeholders in a timely manner. A) distribution B) confidentiality C) gathering D) none of the above
Answer: A
Management describes the processes and methods required to create and manage the project budget. A) Cost B) Time C) Integration D) Scope
Answer: A
Management describes the processes and methods required to create, collect, disseminate, and store information about the project. A) Communication B) Quality C) Scope D) Time
Answer: A
Management describes the processes and methods required to ensure that the project delivers exactly what the customer requested and only what they requested to create a successful project. A) Scope B) Integration C) Communication D) Human Resource
Answer: A
Management describes the processes and methods required to identify, quantify, and control risks associated with the project. A) Risk B) Quality C) Scope D) Cost
Answer: A
Risk tolerances are determined in order to help: a. the team rank the project risks. b. the project manager estimate the project. c. the team schedule the project. d. management know how other managers will act on the project.
Answer: A
The knowledge area of Time Management consists of one controlling process, and that is: A) Control schedule. B) Control quality. C) Control time. D) Control project plan.
Answer: A
The project management framework is structured around five process groups which are made up of component processes consisting of tools, and outcomes organized within nine knowledge areas. A) techniques B) processes C) methods D) documents
Answer: A
A project manager has just been assigned to a new project and has been given the preliminary project scope statement and the project charter. The first thing the project manager must do is: a. create a project scope statement. b. confirm that all the stakeholders have contributed to the scope. c. analyze project risk. d. begin work on a project management plan.
Answer: B
In a matrix organization, which of the following is true?? a. The project manager is responsible for employee skills improvement. b. The functional manager is responsible for employee skills improvement. c. The project manager is responsible for the employee.s annual appraisal. d. The employee is responsible for his or her own skills improvement.
Answer: B
Management describes the processes and methods required to ensure the project delivers the stated and implied needs for which it was designed. A) Scope B) Quality C) Time D) Cost
Answer: B
Management describes the processes and methods required to identify, define, combine, unify, and coordinate the various processes with all of the other eight knowledge areas. A) Scope B) Integration C) Communication D) Human Resource
Answer: B
Monitoring and controlling risks is a that involves monitoring residual risks, identifying new risks, executing risk reduction plans, and evaluating their effectiveness throughout the project life cycle. A) plan B) process C) knowledge group D) step
Answer: B
Risks will be identified during which risk management process (es)? A. Perform Quantitative Risk Analysis and Identify Risks B. Identify Risks and Control Risks C. Perform Qualitative Risk Analysis and Control Risks D. Identify Risks
Answer: B
The WBS and WBS dictionary are completed. The project team has begun working on identifying risks. The sponsor contacts the project manager, requesting that the responsibility assignment matrix be issued. The project has a budget of U.S. $loo,ooo and is taking place in three countries using 14 human resources. There is little risk expected for the project and the project manager has managed many projects similar to this one. What is the next thing to do? a. Understand the experience of the sponsor on similar projects. b. Create an activity list. c. Make sure the project scope is defined. d. Complete risk management and issue the responsibility assignment matrix.
Answer: B
Which of the following is an advantage of centralized contracting? A. Makes it easier to find vendors B. Increases company expertise in contracting C. Gives more loyalty to the project D. Allows a contracts person to work on a single project
Answer: B
Who is ultimately responsible for quality management on the project? a. Project engineer b. Project manager c. Quality manager d. Team member
Answer: B
A buyer extends a formal invitation containing a scope of work. The invitation seeks a response describing the methodology and results that will be provided to the buyer. This is called: a. Invitation to bid. b. Request for information. c. Request for proposal. d. Request for bid.
Answer: C
A project manager is employed by a construction company and is responsible for the furnishing of the completed building. One of the first things that the project manager for this project should do is to write a: a. Work breakdown structure. b. Budget baseline. c. Project charter. d. Project plan.
Answer: C
Management describes the processes and methods required to acquire and manage goods and resources from a source outside of the project team. A) Cost B) Human Resource C) Procurement D) Time
Answer: C
Which of the following is NOT a deliverable in the close project process? A) Project Archives B) Project Closure C) Project Plan D) lessons learned
Answer: C
A change request is a request to change project scope, costs, or ____ " A) quality B) plan C) design D) schedule
Answer: D
A cost performance index (CPI) of 0.89 means: a. at this time, we expect the total project to cost 89 percent more than planned. b. when the project is completed we will have spent 89 percent more than planned. c. the project is only progressing at 89 percent of that planned. d. the project is only getting 89 cents out of every dollar invested.
Answer: D
In the context of estimation, a heuristic is best described as a:: a. control tool. b. scheduling method. c. planning tool. d. rule of thumb.
Answer: D
Management describes the processes and methods required to create and manage appropriate schedules to complete the project. A) Scope B) Integration C) Cost D) Time
Answer: D
Management describes the processes and methods required to effectively use the people associated with the project. A) Scope B) Cost C) Time D) Human Resource
Answer: D
The equivalent of cost reimbursable contracts is frequently termed: a. Back charge contracts. b. Fixed price contracts. c. Progress payment contracts. d. Cost plus contracts.
Answer: D
The highest point of Maslow's hierarchy of needs is: A. Physiological satisfaction B. Attainment of survival c. Esteem d. Self-actualization
Answer: D
The nine knowledge areas are broken down into three groups, including: A) Integration. B) Core knowledge areas. C) Facilitating knowledge areas. D) All of the above
Answer: D
The project management process groups are: a. Initiating, planning, expediting, and control. b. Plan, organize, develop, and control. c. Plan, do, observe, commit. d. Initiating, planning, executing, monitoring &controlling, and closing.
Answer: D
The project manager is making sure that the product of the project has been completed according to the project management plan. What part of the project management process is he in? a. Planning b. Executing c. Monitoring and controlling d. Closing
Answer: D
When a change is made to the project, the must be adjusted. A) scope B) time C) quality D) baseline
Answer: D
Which of the following is NOT a component process of Integration Management? A) Develop project charter B) Direct and manage project execution C) Monitor and control project work D) Collect requirements
Answer: D
You are taking over a project during the planning process group and discover that six individuals have signed the project charter. Which of the following should most concern you? a. Who will be a member of the change control board b. Spending more time on configuration management c. Getting a single project sponsor d. Determining the reporting structure
Answer: D
The VP of customer service has expressed concern over a project you're involved in. His specific concern is that if the project is implemented as planned, he'll have to purchase additional equip-ment to staff his customer service center. The cost is substantial and was not taken into consid-eration in the project budget. The project sponsor insists that the project must go forward as originally planned or the customer will suffer. Which of the following is true? A. The VP of customer service is correct. Since the cost was not taken into account at the begin-ning of the project, the project should not go forward as planned. Project initiation should be revisited to examine the project plan and determine how changes can be made to accom-modate customer service. B. The conflict should be resolved in favor of the customer. C. The conflict should be resolved in favor of the project sponsor. D. The conflict should be resolved in favor of the VP of customer service
B. Conflicts between stakeholders should always be resolved in favor of the customer. This ques-tion emphasizes the importance of identifying your stakeholders and their needs as early as pos-sible in the project. We'll discuss this more in later chapters.
You have been assigned to a project in which the objectives are to expand three miles of the north-south highway through your city by two lanes in each direction. You are interested in implementing a new project process called Design-Build in order to speed up the project schedule. The idea is that the construction team will work on the first mile of the highway reconstruction at the same time the design team is coming up with plans for the third mile of the reconstruction rather than completing all design before any construction begins. This is an example of ___________________. A. Managing the projects as a program B. Fast tracking C. Progressive elaboration D. Collocation
B. Fast-tracking is starting a new phase before the phase you're working on is completed. This compresses the project schedule, and as a result, the project is completed sooner.
The project manager develops a process improvement plan to encourage continuous process improvement during the life of the project. Which of the following is a valid tool or technique to assist the project manager to assure the success of the process improvement plan? A. Change control system B. Process analysis C. Benchmarking D. Configuration management system
B. Process analysis
The Project Integration Management knowledge area is made up of which of the following processes? A. Initiation, Project Plan Development, and Integrated Change Control B. Project Plan Development, Project Plan Execution, and Integrated Change Control C. Project Plan Development, Initiation, and Scope Planning D. Initiation, Scope Planning, and Integrated Change Control
B. Project Integration Management is made up of Project Plan Development, Project Plan Exe-cution, and Integrated Change Control.
The VP of marketing approaches you and requests that you change the visitor logon screen on the company's website to include a username with at least six characters. This is considered ___________________. A. Project initiation B. Ongoing operations C. A project D. Project execution
B. Projects exist to create a unique product or service. The logon screen in this question is not a unique product. A minor change has been requested, indicating this is an ongoing operation function. Some of the criteria for projects are that they are unique, temporary with definitive start and end dates, and considered complete when the project goals are achieved
The amount of authority a project manager possesses can be related to ___________________. A. The project manager's communication skills B. The organizational structure C. The amount of authority the manager of the project manager possesses D. Key stakeholder's influence on the project
B. The level of authority the project manager has is determined by the organizational structure. For instance, in a functional organization, the project manager has little to no authority, but in a projectized structure, the project manager has full authority.
You are managing a project to install a new postage software system that will automatically print labels and administer postage for certified mailings, overnight packages, and other special mailing needs. You've attempted to gain the cooperation of the business analyst working on this project and need some answers. She is elusive and tells you that this project is not her top pri-ority. What should you do to avoid situations like this in the future? A. Establish the business analyst's duties well ahead of due dates and tell her you'll be reporting on her performance to her functional manager. B. Establish the business analyst's duties well ahead of due dates and tell her you are expecting her to meet these expectations because the customer is counting on the project meeting due dates to save significant costs on their annual mailings. C. Negotiate with the business analyst's functional manager during the planning process to establish expectations and request to participate in the business analyst's annual perfor-mance review. D. Negotiate with the business analyst's functional manager during the planning process to establish expectations and inform the functional manager of the requirements of the project. Agreement from the functional manager will assure the cooperation of the business analyst.
C. Negotiate with the functional manager to participate in the business analyst's annual perfor-mance review.
Which of the following brings together a set of tools and techniques used to describe, organize, and monitor the work of project activities? A. Project managers B. A Guide to the PMBOK C. Project management D. Stakeholders
C. Project management brings together a set of tools and techniques to organize project activi-ties. Project managers are the ones responsible for managing the project processes.
You have been assigned to a project in which the objectives are to expand three miles of the north-south highway through your city by two lanes in each direction. You are in charge of the demolition phase of this project, and you report to the project manager in charge of this project. You have been hired on contract and will be released at the completion of the demolition phase. What type of organizational structure does this represent? A. Functional organization B. Weak matrix organization C. Projectized organization D. Balanced matrix organization
C. Projectized organizations are focused on the project itself. One issue with this type of structure is determining what to do with project team members when they are not actively involved on the project. One alternative is to release them when they are no longer needed.
The project manager meets with the project team to review lessons learned from previous projects. In what activity is the team involved? A. Performance management B. Scope identification C. Risk identification D. Project team status meeting
C. Risk identification
During which project management process are risk and stakeholder's ability to influence project outcomes the highest at the beginning of the process? A. Planning B. Executing C. Initiating D. Monitoring and Controlling
C. The Initiating process is where stakeholders have the greatest ability to influence outcomes of the project. Risk is highest during this stage because of the high degree of unknown factors
Which organization has set the de facto standards for project management techniques? A. PMBOK B. PMO C. PMI D. PMA
C. The Project Management Institute (PMI) is the industry-recognized standard for project man-agement practices.
A project is considered successful when ___________________. A. The product of the project has been manufactured. B. The project sponsor announces the completion of the project. C. The product of the project is turned over to the operations area to handle the ongoing aspects of the project. D. The project meets or exceeds the expectations of the stakeholders.
D. A project is considered successful when stakeholder needs and expectations are met or exceeded.
An accepted deadline for a project approaches. However, the project manager realizes only 75% percent of the work has been completed. The project manager then issues a change request. What should the change request authorize? A. Additional resources using the contingency fund B. Escalation approval to use contingency funding C. Team overtime to meet schedule D. Corrective action based on causes
D. Corrective action based on causes
You have been assigned to a project in which the objectives are to direct customer calls to an interactive voice response system before being connected to a live agent. You are in charge of the media communications for this project. You report to the project manager in charge of this project and the VP of marketing, who share responsibility for this project. Which organizational structure do you work in? A. Functional organization B. Weak matrix organization C. Projectized organization D. Balanced matrix organization
D. Employees in a balanced matrix often report to two or more managers. Functional managers and project managers share authority and responsibility for projects. There is a balance of power between the functional managers and project managers.
Your company manufactures small kitchen appliances. It is introducing a new product line of appliances in designer colors with distinctive features for kitchens in small spaces. These new products will be offered indefinitely starting with the spring catalog release. In order to deter-mine the characteristics and features of the new product line, you will have to perform which of the following? A. Fast tracking B. Consulting with the stakeholders C. Planning the project life cycle D. Progressive elaboration
D. Progressive elaboration is the process of determining the characteristics and features of the product of the project. Progressive elaboration is carried out in steps in detailed fashion.
You are the project manager for Fun Days vacation packages. Your new project assignment is to head up the Fun Days resort opening in Austin, Texas. You are estimating the duration of the project plan activities, devising the project schedule, and monitoring and controlling deviations from the schedule. Which of the Project Management Knowledge Areas are you working in? A. Project Scope Management B. Project Quality Management C. Project Integration Management D. Project Time Management
D. Project Time Management involves the following processes: Activity Definition, Activity Sequencing, Activity Duration Estimating, Schedule Development, and Schedule Control.
What are the five project management process groups, in order? A. Initiating, Executing, Planning, Monitoring and Controlling, and Closing B. Initiating, Monitoring and Controlling, Planning, Executing, and Closing C. Initiating, Planning, Monitoring and Controlling, Executing, and Closing D. Initiating, Planning, Executing, Monitoring and Controlling, and Closing
D. Remember the acronym that sounds like syrup of ipecac: IPECC (Initiating, Planning, Executing, Monitoring and Controlling, and Closing).
