Project Management Final Exam
Victor, a project manager, is constructing a budget for a project to construct a house. He estimates that the materials will cost $100,000 and the project will require 15 people working 6 hours a day to ensure timely completion. He estimates the cost of labor at $15 per hour. Additional costs, safety equipment, and overheads are marked at a rate of 50 percent of direct labor. In this scenario, the total cost of the project will be _____. a. $110,510 b. $120,000; c. $100,900; d. $102,025; e. $100,090;
$102,025
A task is expected to take 20 hours of labor at $25 per hour. The required material cost is $500 and the organization charges 30% of direct labor for overhead. The total task cost is: A task is expected to take 20 hours of labor at $25 per hour. The required material cost is $500 and the organization charges 30% of direct labor for overhead. The total task cost is: a. $1,150; b. $500; c. $1,500 d. $1,300; e. $1,250;
$1150
Walter, a luthier, is assigned with the task of building 20 guitars in six months. He is given a budget of $1,500,000 to buy the necessary raw materials required for building 20 guitars of same quality. In a period of four months, Walter is able to complete 75 percent of the work and spends $1,250,000 in the process. The project that Walter is working on has a spending variance of _____.
$125,000
Kimberley, a project manager in a software development company, is assigned a new project. She is given a budget of $500,000 and a span of six months to complete the project. In three months, she is able to complete 50 percent of the project. In this scenario, the earned value of the work completed is _____. a. $250,000; b. $200,000; c. $300,000; d. $350,000; e. $150,000
$250,000
A task has a normal duration of 9 days and a crash duration of 7 days. Its normal cost is $40 and its crash cost is $100. What is the crash cost per day? a. $140; b. $70; c. $50; d. $30 e. $40;
$30
Stefan, a project manager in a publishing company, has undertaken a project to translate a book in French into English and to sell a million copies. He estimates that the cost of the materials will be $6000 and the project will require 30 hours of labor at $50 per hour. If the overheads for the project are estimated at a rate of 50 percent of the labor costs, the total cost of the project will be: a. $4,500; b. $1,500; c. $7,800; d. $1080; e. $8,250.
$8,250
Rachel, a project manager, has undertaken a project to build a wall around a compound. She estimates that the cost of materials will be $520 and labor costs will be $10 for 20 hours. If the overheads for this project are 50 percent of the labor and material costs, the total cost will be: a. $1080 b. $780; c. $880; d. $1,560 e. $960.
$880
Estimated (remaining cost) to completion (ETC) is calculated as.
(BAC - EV)/CPI
Victoria, a project manager, has undertaken a project similar to one she did earlier. Owing to her teams familiarity with the processes that are required to complete the project, Victoria is able to produce the required deliverable ahead of schedule. She achieves this by simultaneously completing two phases of work. In this scenario, which of the following does Victoria use to complete the project? a. Fast tracking; b. Micromanagement; c. Crashing; d. A standard operating procedure; e. Resource leveling
Fast tracking
Slack is calculated as? a. LFT - EFT; b. LFT - LST; c. LST - LFT; d. EFT - EST e. LFT - EST;
LFT-EFT
David, an architect, is in charge of executing a housing project. He appoints Charles to collect, record, and report all the necessary information to David and other relevant stakeholders. In this scenario, Charles will be engaged in _____ the project.
Monitoring
Technical dependencies on a project plan are easiest to see on a:
PERT/CPM chart
All of the following are criteria available to help choose the priority rule mentioned in the textbook except; a. in process inventory b. Schedule slippage; c. Project cost; d. resource utilization;
Project Cost
Mark, the chief editor of a magazine, needs to create a list of all the in house writers, designers, and freelancers who will be working on the next issue of the magazine. He also needs to list their activities, their schedules, and their cost per hour. In the context of project management, which of the following should Mark use to create this list? a. Fast tracking; b. Project crashing; c. Standard buffering; d. Resource loading e. Project chartering;
Resource loading
A Term not used in the discussion of PERT/CPM analysis is: a. Events; b. Critical Path; c. Activity; d. Sensitivity path; e. networks
Sensitivity path
William, a project manager, needs to prepare the budget for a new software development project. To do so, he takes inputs from other managers who have worked on similar projects in the past. After estimating the overall project cost, he gives the estimates to his team members so that they can split up the cost of each individual task involved in producing the required deliverable. In this scenario, William is using _____.
Top down budgeting
A big advantage of AON networks is that they are easier to draw.
True
A budget is a plan for allocating resources to project activities.
True
A disaster is an event that may have an extraordinarily high cost if it occurs, but has a very low probability of occurring.
True
A key advantage of top down budgeting is that the overall budget costs can be estimated quite accurately.
True
A limitation associated with traditional approaches to project management is that the dependency between resources and tasks is often ignored.
True
A resource allocation decision may be intended to avoid a future problem rather than correct a current problem.
True
A tasks duration is a function of both the amount of labor required to complete the task as well as the calendar time required to complete it.
True
AON and AOA networks can both be used to depict any project network.
True
According to research minimum slack rule is the overall best priority rule.
True
According to the text, there is no satisfactory way to measure accurately the percent of completion of most tasks.
True
Activities that have duration but do not require resources are referred to as pseudoactivities.
True
Bottom up budgets are usually more accurate in the detailed tasks.
True
Control systems that make use of all five components of project control are called cybernetic control systems.
True
Critical path tasks always have zero slack.
True
Earned Value is a measure of overall project progress in terms of performance, budget, and schedule.
True
Earned value (EV) of a task is the budgeted cost of the work actually performed.
True
Earned value is a measure for overall project progress in terms of performance, budget and schedule.
True
Events in a project consume no resources or time
True
Exception reports are primarily intended for unexpected situations.
True
If resources were not scarce, the resource allocation problem would be concerned solely with profit maximization.
True
In general, steady state demand for human resources is highly desirable.
True
In order to manage for overall project success, control must be exercised at the detailed work level for each aspect of project performance.
True
Individual elements of project budgets are generally more accurate in bottom up budgeting.
True
It is often the case with particularly challenging or uncertain projects that the planning monitoring controlling effort is minimized so that the "real work" can be done.
True
Learning curves can be used to help improve cost estimates.
True
Monitoring is the direct connection between project planning and control.
True
Most organizations use top down budgeting.
True
Project budget is nothing more than the project plan, based on the WBS, expressed in monetary terms.
True
Project monitoring and control can be thought of as opposite sides of project selection and planning.
True
Question text The amount of resources a project can use depends in part on the timing of the allocation.
True
Resource loading refers to the amounts of specific resources that are scheduled for use on specific activities or projects at specific times.
True
Statistical quality control techniques can be helpful for determining what size variances are significant.
True
The actual project duration will be known with certainty after the project is completed.
True
The difference between LFT and EFT is called slack.
True
The difference between the LST and EST is called slack.
True
The formula for the expected time of an activity in a network assumes that the optimistic, pessimistic, and most likely time estimates have a Beta distribution.
True
The go/nogo control takes the form of tests (sensors) to determine if some specific precondition (standard and comparator) has been met before permission is granted to continue (decision maker and effector).
True
The plan monitor control cycle constitutes a closed loop process.
True
The shortest time to complete a network is equal to the duration of the longest path through the network.
True
The simulation approach is generally preferred over the statistical method.
True
The variance of the normal time can be quite different from the variance of the crash time.
True
Too often, intensity of activity is measured instead of results.
True
Weekly progress report meetings should be rarely held.
True
When the work is routine, fast tracking rarely causes serious problems.
True
Devon, a project manager, is working on a software development project. He needs more coders to complete the project on time. As a result, he hires people and they are given on the job training by their coworkers. However, this significantly reduces the output of the team and leads to a delay in the project. The given scenario exemplifies: a. the mythical man month effect; b. systems engineering; c. integration management; d. the boomerang effect; e. the sleeper effect.
a.
Vanessa, a student, has to submit two assignments, A and B, on the same day. Each assignment is divided into three tasks. She has to write the first draft, check it for accuracy, and let her friend review it before submission. Each of these tasks takes 5 hours. In order to multitask effectively, Vanessa should: a. complete the first two tasks of assignment A and start on assignment B while her friend reviews assignment A; b. complete the first task for each assignment before moving on to the second task and so on; c. complete both assignments simultaneously for her friend to review; d. complete assignment A after assignment B has been reviewed. e. complete assignment B after assignment A has been reviewed;
a.
Walter, a project manager in a design agency, is using a project management software to manage his project. The agency he works for is currently prioritizing other projects and needs to conserve scarce resources. In the context of priority rules for allocating resources, which of the following rules should Walter use?
a. Least successors b. Most critical followers; c. Longest task duration first; d. As soon as possible; e. As late as possible;
Organ Bennett Inc., a public relations firm, is working on a project to improve the brand image of Sizil, a client firm, over a period of a year. The project requires Organ Bennett to organize a press conference to announce the launch of Sizils new product. The project members need to invite reporters for the same. In the context of the language of the Program Evaluation and Review Technique (PERT) and the Critical Path Method (CPM), inviting reporters is most likely a _____.
activity
Which of the following priority rules makes resources available so that activities start on their LSTs whenever possible without increasing the projects duration? a. as late as possible; b. shortest task duration first; c. as soon as possible; d. minimum slack first; e. most critical successor
as late as possible;
Susan, a project manager, uses a work breakdown structure to list the elemental tasks of a project. She then asks the team members responsible for each of these tasks to give her an estimate of the cost required to accomplish each task. Next, she adds indirect costs such as administrative costs and a reserve for contingencies to the total task cost and files her budget with the accounting department. In this scenario, Susan is using _____.
bottom up
Nadia, an intern in a restoration firm, collects data on a project involving the remodeling of an monument and sends the collected information to Maria, her supervisor. Maria uses this data to estimate the projects progress. After finding that the project is behind schedule, she makes small changes to the tasks involved in the project to bring the performance into agreement with the plan. In this scenario, Maria is engaged in _____ the project.
controlling
Alice, a project manager, has undertaken a project to build an irrigation canal. Based on the resources allocated to her, she makes an initial estimate that the time required to dig the canal would be 20 days. She also prepares an alternative estimate by adding an additional resource that will allow the project to be completed in 10 days. This alternative estimate that Alice prepares is referred to as the _____. a. standard duration; b. buffer duration; c. crash duration; d. critical duration e. slope duration;
crash duration
Renly, a project manager in a construction company, has undertaken a project to construct a house. He estimates that the house will take 5 months to complete with his team of 10 workers. He also prepares a second estimate that allows the house to be completed in 2 months if 10 more workers are added to the team. Renlys second estimate is referred to as the _____. a. standard duration; b. critical duration c. slope duration; d. buffer duration; e. crash duration;
crash duration
Which of the following is not a tool used to aid the PM in project control? a. variance analysis; b. control charts; c. earned value analysis; d. discounted cash flow analysis e. trend projections;
discounted cash flow analysis
Samuel, a project manager, and Martha, his subordinate, are working on a project. In the budgeting phase, Samuel is responsible for estimating the costs for Level 1 tasks and Martha is responsible for estimating the costs for Level 2 tasks. While collating the data, Samuel finds that the total estimated cost for Level 1 tasks is much lower than the total estimated cost for Level 2 tasks. Which of the following is a reason for this discrepancy? a. Subordinates are usually optimistic and never admit that details have been forgotten or that anything can or will go wrong; b. Project managers are naturally pessimistic and want to build in protection for everything that might possibly go wrong; c. Subordinates tend to have more experience than higher management in allocating costs; d. Project managers and subordinates are often dishonest in their estimations. e. Jobs always look easier, faster, and cheaper to the project manager than to the subordinates who have to do them;
e.
Which of the following statements is not true about a firm and its project accounting? a. most firms must comply with the Sarbanes Oxley Act; b. most firms have their own accounting idiosyncrasies; c. each firm has its own rules with regard to the allocation of overhead; d. unexpected charges may suddenly appear when the PM least expects it e. the project manager must rely on the accounting department to make special allowances for his/her project;
e.
Arthur, a project manager, has multiple projects under him, and his team members are multitasking between these projects. When he planned these projects, Arthur asked his team members the number of hours they will take to complete their respective tasks. However, they are taking longer than discussed, which is preventing Arthur from taking on more projects. According to Goldratt, which of the following should Arthur do to fix this issue? a. Hire more team members for new projects.; b. Focus on completing the most resource intensive projects first; c. Increase the time allotted to projects that are taking longer; d. Focus on completing the least resource intensive projects first; e. Reduce the number of projects each team member is working on simultaneously
e. Reduce the number of projects each team member is working on simultaneously
An identifiable state resulting from the completion of one or more activities is called? a. the critical path b. a milestone; c. an event; d. a path; e. an activity;
event
Verita Nist, an automobile company, sought to improve the production time and quality of its products within a year. In the first month, the company installed five new assembling machines. This reduced the production time by 15 percent. In the context of the language of the Program Evaluation and Review Technique (PERT) and the Critical Path Method (CPM), this decrease in the production time of Verita Nists products is an example of a _____. a. event; b. throughput c. activity; d. task; e. critical path;
event
Mauvin Maz, a fashion boutique, found that its newly acquired batch of raw materials did not meet the companys quality standards and was affecting the quality of its final products. In order to prevent any financial loss due to this problem, the top managers of Mauvin Maz decided to release a report to the workers asking them to stop using the newly acquired raw materials until a formal quality check is conducted. In this scenario, Mauvin Maz most likely released a _____.
exception report
Another name for total slack is free slack.
false
As a project unfolds, the cost uncertainty increases as the project moves towards completion.
false
Starting the building phase before the design and planning phases is called. a. construction overlapping b. fast tracking; c. operations overlapping; d. concurrent engineering; e. concurrent construction;
fast tracking
The safety time added to chains other than the critical chain is called. a. team buffer b. project buffer; c. critical buffer; d. feeding buffer; e. path buffer;
feeding buffer
The first step in setting up a monitoring system is to: a. identify all project milestones; b. identify key factors to be controlled; c. develop a change request form d. identify reports required; e. identify personnel;
identify key factors to be controlled
Rico Gen, a sports apparel manufacturing company, maintains a target of increasing its sales by 20 percent per month to achieve its goal of expanding its business in the international market. In the context of the language of the Program Evaluation and Review Technique (PERT) and the Critical Path Method (CPM), the monthly targets achieved by Rico Gen are known as _____. a. milestones; b. paths c. activities; d. activity slacks; e. floats;
milestones
PERT was originally used for what type of project?
military
According to research, the best overall priority rule is: a. as late as possible; b. shortest task duration first; c. as soon as possible; d. most critical successor e. minimum slack first;
minimum slack first
The practice of assigning project team members to multiple projects is called.
multitasking
Paul, the marketing manager of a food company, created a diagram of nodes to represent the marketing process for a new product of the company. Each node represented an activity in the marketing process, and an arc joined each node. He used this diagram to demonstrate the objectives of the marketing process. In the context of the language of the Program Evaluation and Review Technique (PERT) and the Critical Path Method (CPM), the diagram used by Paul is known as a _____.
network
The task duration with standard practice resource usage is referred to as the. a. nominal task duration; b. normal task duration; c. crash duration; d. planned task duration e. expected task duration;
normal task duration
A project that must be completed within the specified performance requirements is considered.
performance constrained
The name given to the budget process that aggregates income and expenditures across projects is: a. activity oriented budget; b. activity based costing c. bottom up budget; d. top down budget; e. program oriented budget;
program oriented budget
Which of the following is not an objective mentioned in the text for data gathered from monitoring? a. learning from mistakes; b. promoting team members; c. auditing; d. keeping management informed; e. control
promoting team members
Allocating specific, limited resources to specific activities is called. a. resource allocation; b. expediting a project; c. resource tracking; d. resource leveling; e. crashing a project
resource allocation
Renuit Mec, a footwear manufacturing company, produces 10,000 shoes per day. In an average, about 200 shoes have more than one defect. However, the company has found that its newly installed machines are producing more defective products than the older machines. In order to prevent the production of more defective products, Renuit Mec releases a report to its employees asking them to stop using the newly installed machines. In this scenario, Renuit Mec most likely released a _____. a. routine report; b. resource report; c. exception report d. periodic report; e. special analysis report;
resource report
The primary cause of concern in resource allocation is. a. equipment downtime b. labor cost, c. parallel activities; d. lack of solution methodologies; e. resource scarcity;
resource scarcity
Which of the following is a measure of the amount by which a project is delayed by application of a leveling rule? a. schedule efficacy; b. schedule efficiency; c. schedule progression; d. schedule slippage e. schedule inflation;
schedule slippage
The most common source of changes to a project based on the natural tendency of the client and project team members to improve the projects output is called.
scope creep
Which of the following rules maximizes the number of tasks that can be completed by a system in a given period of time? a. as soon as possible; b. shortest task duration first; c. as late as possible; d. most critical successor e. minimum slack first;
shortest task duration first
Pogmon Solutions, a computer manufacturer, is introducing a new product—a high end gaming laptop. Its technicians take 21 hours to produce the first unit of the laptop, and the company follows a 78 percent learning curve. Given this information, the eighth unit of the laptop would approximately require _____. a. 5 hours; b. 6 hours; c. 2 hours d. 10 hours; e. 8 hours;
10 hours
Hamid, a project manager, has a workload of 24,000 hours that needs to be completed in 75 workdays. He has a team of 40 people who work for five 8hour days per week. In those 75 days, 20 people have each requested three days off at different times. In this scenario, the workload is _____ of capacity. a. 102 percent; b. 95 percent; c. 80 percent; d. 75 percent; e. 150 percent
102 percent
Consider a project network that begins with activity A and is followed by activity B. Activity A takes 6 days to finish. If the earliest start time for activity B is 6 days and the latest start time for it is 10 days, activity B has a slack of _____. a. 2 days; b. 12 days c. 10 days; d. 16 days; e. 4 days;
4 days
Consider a project network that begins with activity X and is followed by activity Y. The earliest start time for activity X is 5 days and it will take 3 days to be completed. The earliest start time for activity Y is 12 days. Given this information, activity X has _____ of free slack. a. 9 days; b. 12 days; c. 4 days; d. 15 days e. 20 days;
4 days
What is the expected time to complete a task with an optimistic, most likely, and pessimistic times of 3, 4, and 7 days respectively? a. 4.7; b. 7 c. 4; d. 4.3; e. 3;
4.3
William, a project manager, is trying to figure out how many hours his team can work in a period of three months. After accounting for weekends, he notes that each member of the team can work for five 8hour days per week. After consulting his calendar, he realizes that there are three public holidays in the next three months and two employees have each requested two separate weeks off. His team consists of 15 people. Given this information, William can allocate approximately _____ of work to his team. a. 6,120 hours; b. 6,680 hours; c. 7,600 hours; d. 5,500 hours e. 7,200 hours;
6,680 hours
The first unit requires 10 hours to complete. If the industry uses an 80 percent learning rate, how long should the third unit take? a. 8 hours; b. 6.40 hours c. 7.02 hours; d. 10 hours; e. 9 hours;
7.02 hours
Victoria, an artisan who produces handcrafted furniture, has to carve six ornate chairs to go around a table. It takes her 10 hours to complete the first chair. She estimates that her learning rate is 80 percent. Given this information, Victoria should be able to make the second chair in _____. a. 8 hours; b. 6.3 hours; c. 2.12 hours d. 3 hours; e. 5.12 hours;
8 hours
The accountants of Junis Plex, a textile company, used to calculate the companys taxable income manually. However, the management recently adopted a software program that requires only few inputs from the accountants which automatically calculates the taxes owed by the company. The management releases a report for all its operations managers that provides specific instructions on how to use this software. Which of the following types of reports has Junis Plex used to inform its project managers of the new software program? a. An exception report; b. A resource report c. A routine report; d. A semi periodic report; e. A special analysis report;
A special analysis report
To calculate the variable in its economic growth, Nunclemen Inc., a pharmaceutical company, collects data on the sales of its products based on how many doctors prescribe its medicines to their patients. However, a research study conducted by the company shows that pharmacists are a more reliable source than doctors. Nunclemen submits a report of this finding to all its stakeholders to review. Which of the following types of reports has the company used to inform its stakeholders of the results of the research study? a. A resource report; b. A routine report; c. An exception report; d. A special analysis report; e. A semi periodic report
A special analysis report
Nessage Mique, a niche fashion boutique, displays its production process by using a network of nodes and arrows. The nodes are used to depict the state of completion of various activities and the arrows are used to depict their order of precedence. Which of the following project networks is Nessage Mique using in the given scenario? a. An activity on arrow network b. An event on arrow network; c. A time on node network; d. An activity on node network; e. A time on arrow network;
An activity on arrow network
Miros Inc., a recording studio, displays its recording process by using a network of nodes and arrows. The nodes are used to depict the activities involved in recording a song, such as setting up the instruments, and the arrows are used to depict the order of precedence of the activities. Which of the following project networks is Miros using in the given scenario? a. An activity on node network; b. An activity on arrow network; c. An event on node network d. A time on arrow network; e. A time on node network;
An activity on node network
Minkset Blu, a textile company, wants to improve its sales over a span of four years. In the first year, the company installs new looming machines that improve the production cost. However, it takes two years for the company to establish a liaison with online retailers to improve the accessibility of its products. This delays the companys goal of improving sales by a year. In the context of the language of the Program Evaluation and Review Technique (PERT) and the Critical Path Method (CPM), the set of activities that cause the delay are part of _____. a. the Smith chart; b. the Portolan chart; c. the critical path; d. the throughput process ; e. the control chart
the critical path
After major risk are identified which of the following data should NOT be obtained for analysis a. the person responsible for each outcome b. Range or distribution of possible outcomes; c. probability of each outcome; d. probability of each risk occurring; e. the expected time of each outcome;
the person responsible for each outcome
A project that must be completed by a specific time is considered. a. critically constrained b. resource constrained; c. performance constrained; d. schedule constrained; e. time constrained;
time constrained
Sean, a project manager, has to prepare the budget for a new project. He estimates the overall project cost by estimating the costs of the major tasks. He then gives these estimates to Raphael, an engineer who works under Sean, to split up the costs for each of the activities involved in accomplishing the major tasks. In this scenario, Sean is using _____. a. dynamic matrix budgeting; b. lateral budgeting c. agile project budgeting; d. top down budgeting; e. bottom up budgeting;
top down budgeting
The budgeting approach based on the collective judgments of top and middle managers is called: a. bottom up budgeting; b. top down budgeting; c. life cycle budgeting d. program budgeting; e. activity budgeting;
top down budgeting
It is considered good management to crash the least costly activities before the more costly ones.
true
Learning curve theory states that performance of labor per unit will improve by a fixed percentage each time production doubles.
true
Microsoft Project allows the project manager to create an individual availability calendar for each resource on the project.
true
Project review meetings are always important.
true
There is a 30 percent chance that a new product development project will result in sales of $500,000 and a 70 percent chance that the project will result in sales of $100,000. What is the expected value of this project? a. $220,000; b. $340,000 c. $320,000; d. $300,000; e. $240,000;
$220,000
In earned value analysis. a. it is desirable to have negative variances for both schedule and spending; b. the schedule variance should be positive and the spending variance negative; c. it is desirable to have positive variances for both schedule and spending; d. ideally both variances would equal zero. e. the schedule variance should be negative and the spending variance positive;
It is desirable to have positive variances for both schedule and spending
The plan monitor control cycle is best described as. a. an adhoc process; b. an informal process; c. a hierarchical process d. an open loop process; e. a closed loop process;
a closed loop process
a. activity; b. event; c. network; d. path e. milestone;
activity
Everyone associated with the project should receive the same information.
False
Exception reports are prepared to disseminate the results of a special study.
False
Fast tracking a project is used primarily in the pharmaceutical industry.
False
For projects with S shaped life cycles, top down budgeting is most likely unacceptable.
False
For resources that are consumed when used, the problem is which project gets to use the resource first and which must wait.
False
If resources were not scarce, the resource allocation problem would be concerned solely with cost minimization.
False
If task duration estimates are carefully made, the project manager needs to only examine the critical path when conducting a risk analysis.
False
In general, it is preferable to have periodic reports.
False
In order to manage for overall project success, control should be exercised at a very high and aggregated level and not get bogged down with unnecessary details.
False
It is easiest to see lead and lag time in a project task on a PERT/CPM networks.
False
Learning curve theory states that performance of labor per unit will improve by a percentage each time production increases by the same percentage.
False
Lower expenditures than expected at a given point in time is always good.
False
Mechanical tasks typically have higher learning rates than more mental tasks.
False
Mechanisms to gather and store data rarely need to be designed.
False
Milestones are not depended upon the predecessor activities in the project plan.
False
Milestones cannot be identified on a Gantt Chart.
False
Often it is beneficial to crash activities not on the critical path
False
One limitation of Microsoft Project is that all resources must share the same availability calendar.
False
Organizational tradition has little or no impact on the firms project budgeting.
False
Overhead and indirect charges should not be assigned to a project.
False
Pools of like resources from which labor can be added temporarily to projects tend to increase costs for the firm as a whole.
False
Pools of like workers are most useful when labor is subdivided into highly specialized subtasks.
False
Remarks should be directly attributed to individuals in the meeting minutes.
False
Resource loading refers to the amounts of specific resources that are scheduled for use on specific activities or projects at specific times.
False
Technical dependencies are generally easier to see on a Gantt chart than on PERT/CPM networks.
False
The as late as possible priority rule is considered the standard scheduling rule.
False
The best approach to handling change in projects is to accept the negative change and take a loss on the project.
False
The most important use of data gathered from monitoring is learning from mistakes.
False
The movement from left to right through the network beginning with the start node that calculates the LS and LF for each activity is known as FORWARD PASS.
False
The project manager recognizes an expense when an invoice is actually paid.
False
The projects budget is merely the sum of its resource costs.
False
The purpose of control is to ensure that all interested parties have the information they need.
False
The shortest duration task first rule minimizes the number of tasks that can be completed by a system in a given time period.
False
The start to finish linkage is used in situations where is it desirable for two or more activities to finish at the same time.
False
The time to complete a task with normal or standard practice resource usage is referred to as the crash duration.
False
There is no way other than guessing to estimate the impact of learning on a projects task.
False
To manage a project successfully, the project manager need only pay close attention to tasks on the critical path.
False
To maximize efficiency, project team meetings should follow Roberts Rules of Order.
False
Top down budgeting typically results in better acceptance of the budget.
False
Traditional organizational budgets are task oriented, rather than activity oriented.
False
When crashing a task, the usual assumption is that a task is crashed the full amount or none at all.
False
When it was originally developed, PERT used certain (deterministic) methods to estimate activity duration.
False
With top down budgeting, overlooking a small but important task can often cause a serious budgetary problem.
False
A project that must be completed by a fixed time is referred to as resource constrained.
False
A start to finish linkage is the most common way of linking to successive task.
False
Activity budgets show expenses by task and expected time period of the expenditure.
False
All tasks can be crashed to some extent.
False
An event is a series of connected activities.
False
An important use of data analysis is to identify who to properly blame for poor project performance.
False
Applying line balancing techniques to balance the capacity of a project typically yields significant benefits.
False
Lauren, a project manager, has a workload of 24,000 hours that needs to be completed in 30 weeks. She has a team of 20 people who work five 8hour days per week. She notices that in the 30week period, there are five holidays and 5 members have each requested 10 days off. Given this information, Lauren is _____ short of completing her workload. a. 1,500 hours; b. 2,500 hours; c. 3,800 hours d. 2,000 hours; e. 1,200 hours;
$1,200
What is the standard deviation of a task with optimistic, most likely, and pessimistic times of 3, 4, and 7 days respectively assuming the estimates were made at the 99% plus level? a. 1.540 b. .444; c. 1.469; d. .667; e. 1.212;
.667
Paulina, a fashion designer, has a new project that requires her to make five dresses in seven days. A sum of $2,000 is allotted to her to fund the entire project. In three days, she completes one third of the work and spends $1,200. Calculate the cost performance index from the given scenario. a. 0.75; b. 0.55; c. 0.66; d. 0.25 e. 0.33;
0.55
Robert, a baker, receives an order for preparing 10 cakes in one day. He is given a budget of $5,000. In six hours, he bakes two thirds of the order and spends $3,600. Calculate the schedule performance index from the given scenario. a. 0.33; b. 0.75 c. 0.25; d. 0.55; e. 0.66;
0.66
The first unit required 6 hours. If the industry uses a 90 percent learning rate, how long should the fourth unit take? a. 3.34 hours; b. 4.86 hours; c. 2.67 hours d. 6 hours. e. 3.75 hours;
4.86 hours
The cost/spending variance is calculated as.
EV-AC
Because project budgeting is for a special case and the organizations budgeting process is for routine work, the project manager need not be familiar with the organizations accounting system.
False
By very careful planning, a project manager can do away with cost uncertainty. Expected value is a tool for risk analysis. {T}
False
Contingency planning is generally begun at that point in time when an organization finds itself in serious financial trouble.
False
Control is the collection, recording, and reporting of project information.
False
Crashing noncritical activities will influence project duration.
False
A Gantt chart cannot depict a critical path, only a PERT/CPM chart can.
False
A common mistake is to focus too much on results and not enough on the intensity of activity.
False
A disadvantage of Gantt charts is that they are hard to draw.
False
A disadvantage of using beta distribution to approximate activity times is that it is generally less flexible than the normal distribution.
False
