MGT 4460 final exam

which term is used to best describe the documents needed to develop an adequate risk response control plan? a. work breakdown structure b. work breakdown structure dictionary c. risk register d. project scope

c

why is the second step of risk management to assess the risks identified in the first step? a. to determine what's missing b. to avert the risk c. to establish priorities for attention

c

A list of questions that address traditional areas of uncertainty on a project is termed a risk A) Profile B) Questionnaire C) Research D) Query E) Checklist

a

Which of the following is not considered a project indirect cost? A) Supervision B) Consultants C) Equipment D) Interest E) All of these are considered project indirect costs

c

Which of the following is not one of the more commonly used options for cutting project costs? A. Reduce project scope B. Have owner take more responsibility C. Moving the completion date further out D. Brainstorming cost savings options E. Outsourcing project activities

c

Which of the following is unlikely to be a reason for accelerating a project schedule? A. Financial incentive contracts B. Reducing indirect costs C. Reducing direct costs D. Reducing time to market E. Recovering time lost to unforeseen delays

c

Which of the following is used to review activity and project risk? A. NPV B. S-curves C. PERT D. Decision trees E. All of these can be used

c

____ costs are incurred when completing an activity in its realistically shortest time. A) Normal B) Reserve C) Crash D) Accelerated E) Expedited

c

what is required in order for risk response control to succeed? a. work breakdown structure dictionary b. mitigation of risk likelihood c. documentation of responsibility

c

Which of the following is not one of the types of project constraints? A. Physical B. Technical C. Resource D. Time E. All of these are types of project constraints

d

Which of the following is typically included in risk profiles? A. Management aspects B. Market aspects C. Technical aspects D. Both A and C are included E. A, B, and C are all included

d

_______________ focuses on how to respond to events that have a positive impact on a project. a.Risk management b.Value management c.Prospect management d.Opportunity management e.Contingency management

d

in a generic project life cycle, which phase has the highest cost should a negative risk event occur? a. scope development b. defining c. planning d. delivering

d

A tool used to monitor past project schedule performance, current performance, and to estimate future schedule trends is a simple line chart known as a: A. Project schedule control chart B. Gantt chart C. PERT chart D. Network diagram E. Milestone chart

A

If resources are not adequate to meet peak demands, the resulting reschedule is termed A) Resource-constrained scheduling B) Time-constrained scheduling C) Mandatory leveling D) Project resource adjustment E) Allocation

A

In a resource-constrained project the second priority in assigning resources is usually given to activities with the A) Smallest duration B) Least slack C) Most slack D) Lowest identification number E) Highest cost

A

In a resource-constrained project, which of the following is most likely to be changed? A) The completion date B) The budget C) Project quality D) Both A and B are equally likely E) A, B, and C are all equally likely

A

Regina's boss has told her that her project is very important. If the critical path is delayed, she will be given whatever she needs to get it back on schedule. Her project is ________ constrained. A) Time B) Quality C) Cost D) Performance E) Resource

A

Susan is to conduct environmental testing but the chamber cannot hold all the equipment that she wants to test. This is an example of a _________ constraint. A) Physical B) Technical C) Resource D) Scheduling E) Time

A

The cost impact of a risk event occurring as a project proceeds through its life cycle tends to __________. A) Slowly rise B) Drop sharply and then level out C) Rise sharply and then level out D) Remain about the same E) Slowly drop

A

The cost variance for a project is calculated by: A. EV-AC B. AC-SV C. PV-EV D. CU-EV E. EU-PV

A

The first step in the project control process of the measurement and evaluation of project performance is to A. Set a baseline plan B. Determine the project objectives C. Determine the project deliverables D. Analyze the project budget E. Review the project priority matrix

A

The last step in the project control process of the measurement and evaluation of project performance is to: A. Take appropriate action B. Prepare a report to top management C. Follow up on corrective action D. Measure progress and performance E. Review spending with team members

A

The less steep the cost slope of an activity, the A. Less it costs to shorten one time period B. More it costs to shorten one time period C. Smaller the crash time D. Larger the crash time E. Cannot be determined by the information given

A

The percent complete index that looks at percent complete in terms of budgeted amounts is calculated by which of the following? A. EV/BAC B. (EV-PV)/BAC C. AC/EAC D. (EV-AC)/BAC E. (EV-PV)/EAC

A

The relationship between cost and time for various durations is assumed to be: A. Linear B. Curvilinear C. Variable D. Conversely related E. Exponentially related

A

Which of the following is not one of the probability analysis tools? A) Ratio/range analysis B) Decision tree C) PERT simulation D) PERT E) All of these are probability analysis tools

A

Which of the following is not true regarding scope creep? A. It is common late in projects B. It is frequently unnoticed until time delays or cost overruns are observed C. It wears down team motivation and cohesiveness D. Project suppliers resent frequent changes E. All of these are true

A

A typical tool used to communicate project status is a: A. Project network diagram B. Gantt Chart C. A PERT chart D. Both A and B are correct E. A, B, and C are all correct

B

An activity's cost slope represents an activity's A. Total cost per unit of time B. Cost per unit of time C. Indirect cost per unit of time D. Both B and C are correct E. A, B, and C are all correct

B

Baseline project budgets are derived from: A. The organization's overall budget B. Time-phasing the work packages C. Top management directions D. Both A and C are correct E. A, B, and C are all correct

B

Small refinements that eventually build to be major changes are known as: A. Project erosion B. Scope creep C. Specification adjustments D. Specification refinements E. Continuous improvements

B

The easiest and most commonly used technique for analyzing risks is _____ analysis. A) Probability B) Scenario C) Payback D) Risk/reward E) Impact

B

The project direct-cost line near the normal point is usually: A. Sloped steeply B. Relatively flat C. Rising D. Falling E. Gently sloped

B

When developing a new software package, the software must be designed, the code must be written, and the code must be tested. This is an example of a ______ constraint. A) Physical B) Technical C) Resource D) Schedule E) Time

B

Which of the following correctly calculates an activity's cost slope? A. (normal cost-crash cost)/(normal time-crash time) B. (crash cost-normal cost)/(normal time-crash time) C. (normal time-crash time)/(crash cost-normal cost) D. (normal time-crash time)/(normal cost-crash cost) E. (crash cost-normal cost)/(crash time-normal time)

B

Which of the following methods will measure the scheduling efficiency of the work accomplished to date? A. SV/CV B. EV/PV C. EV/AC D. AC/SV E. AC/CV

B

Which of the following will calculate the estimated cost to complete the project? A. (VAC-EV)/(PV/AC) B. (BAC-EV)/(EV/AC) C. (PV/AC)/(VAC-EV) D. (EV/AC)/(BAC-EV) E. (BAC-EV)/(BAC-AC)

B

A project monitoring system involves all of the following except: A. Determining what date to collect B. Determining how, when, and who will collect the data C. Adjusting the data D. Analysis of the data E. Reporting current progress

C

A special truck that George needs on his project has been scheduled on another project. This is a ______ constraint. A) Working capital B) People C) Equipment D) Information E) Materials

C

All of the following are included in the risk identification process except A) Customers B) Subcontractors C) Competitors D) Vendors E) None of these are included

C

In monitoring project time (schedule) performance actual performance should be compared to: A. Budgets for the current year B. Top management's targets C. Project network schedule derived from the WBS/OBS D. Progress on similar past projects E. Previous status reports

C

Sam the project engineer has been scheduled to run the product system test at the same time he is to build a marketing prototype. This is an example of a ______ constraint. A) Physical B) Technical C) Resource D) Scheduling E) Time

C

The percent complete index that looks at percent complete in terms of actual amounts is calculated by which of the following? A. EV/BAC B. (EV-PV)/BAC C. AC/EAC D. (EV-AC)/BAC E. (EV-PV)/EAC

C

The risk assessment form contains all of the following except A) Likelihood of the risk event occurring B) Potential impact of the risk event C) Who will detect the occurrence of the risk event. D) Difficulty of detecting the occurrence of the risk event E) When the risk event may occur

C

The third step in the project control process of the measurement and evaluation of project performance is to: A. Review the baseline plan with top management B. Analyze inputs to the control system C. Compare the plan against actual performance D. Measure both progress and performance E. Review spending with team members

C

Which of the following methods will measure the cost efficiency of the work accomplished to date? A. SV/CV B. EV/PV C. EV/AC D. AC/SV E. AC/CV

C

A risk profile is a list of questions that address traditional areas of uncertainty on a project that answers developed from: A) When the event might occur in the project B) Chances of the event occurring C) Interaction with other parts of the project or with other projects D) From previous, similar projects E) Magnitude or severity of the event's impact

D

All of the following are kinds of resource constraints except A) Materials B) People C) Equipment D) Information E) All of the above are resource constraints

D

All of the following are types of resource constraints EXCEPT A. Materials. B. People. C. Equipment. D. Information. E. Human.

D

An Earned Value System used to monitor project progress includes comparison of A. Actual costs versus budget B. Schedule progress versus plan C. Quality progress versus plan D. Both A and B are correct E. A, B, and C are all correct

D

An index value less than one indicates that the project is A. Under cost or behind schedule B. Over cost or ahead of schedule C. Under cost or ahead of schedule D. Over cost or behind schedule E. On cost or on schedule

D

Delaying noncritical activities to lower peak demand on resources is known as resource A) Shifting B) Effectiveness C) Manipulating D) Smoothing E) Allocation

D

Detailing all identified risks, including descriptions, category, and probability of occurring, impact, responses, contingency plans, owners and current status is called: A) Management reserves B) Change control C) Contingency reserves D) Risk register E) Risk profiles

D

Generally the method for measuring accomplishments centers on comparing A. Earned value with the expected schedule value B. Earned value with the actual costs C. Actual costs with budgeted costs D. Both A and B are correct E. A, B, and C are all correct

D

If a network has several critical or near-critical paths it is deemed to be: A. Well planned B. The lowest cost alternative C. Resource-constrained D. Sensitive E. Insensitive

D

One common mistake made early in the risk identification process is A) Not all possibilities are considered B) Participants are over-optimistic C) Participants are over-pessimistic D) Focus on objectives and not on the events that could produce consequences. E) Too much attention is given to past events

D

Scheduling time-constrained projects focuses on resource A) Demands B) Increases C) Assumptions D) Utilization E) All are correct

D

Splitting an activity creates the following situation: A) More people working on the same activity B) There are possible startup and shutdown costs C) A resource may be moved from one activity to another and then back D) Both B and C are correct E) A, B, and C are all correct

D

Technical risks are: A) Often the kind that can cause the project to be shut down. B) Problematic C) Imposed duration dates D) Both A and B are correct E) A, B, and C are all correct

D

The demolition of the Seattle Kingdome (Snapshot from Practice) is an example of which of the following? A) Mitigating B) Retaining C) Ignoring D) Transferring E) Sharing

D

The earned value of a project is the: A. Project cost to date adjusted for project scope changes B. Total project cost to date C. Cost incurred minus the planned cost D. Percent of the original budget that has been earned by actual work E. None of these are correct

D

The second step in the project control process of the measurement and evaluation of project performance is to: A. Review the baseline plan with top management B. Analyze inputs to control system C. Compare plan against actual D. Measure progress and performance E. Review spending with team members

D

This response allocates some or all of the responsibility of realizing the identified Opportunity for the project. a) Enhance b) Accept c) Exploit d) Share

D

Which of the following are required to assess the current status of a project using the earned-value cost/schedule system? A. BAC, EAC, and ETC B. VAC, EAC, and BAC C. CV, SU, and BAC D. PV, EV, and AC E. TCPI, EV, and PV

D

Which of the following is not one of the steps in the risk management process? A) Risk response development B) Risk assessment C) Risk identification D) Risk tracking E) Risk response control

D

Which of the following methods of variance analysis is the best indicator of how far off the budget a project will be at completion? A. BAC B. EAC C. ETC D. VAC E. TCPI

D

Based on the following, which event should you be most concerned about?

Design Flaw

A common method for shortening the project time is to: A. Adding resources B. Schedule overtime C. Subcontract an activity D. Both A and B are correct E. A, B, and C are all correct

E

A project budget report is showing our project as spending $35,000 against a budgeted amount of $40,000. Which of the following is true? A) We are spending less than we should for the project B) We are doing a good job managing the project C) We should check to see if all the bills have been paid D) Both A and B are correct E) We can't be sure how the project is going

E

A typical project progress report would contain all of the following sections except: A. Progress since last report B. Problems and issues since last report C. Current status of project D. Corrective action planned E. All of these are typical sections

E

Adequate project controls have the advantage(s) of: A. Holding people accountable B. Prevents small problems from getting large C. Keeping focus D. Both A and B are correct E. A, B, and C are all correct

E

Change management systems are designed to accomplish all of the following except: A) Track all changes that are to be implemented B) Review, evaluates, and approve/disapprove proposed changes formally C) Identify expected effects of proposed changes on schedule and budget D) Reflect scope changes in baseline and performance measures E) All of the above are correct

E

Of the following costs, which are not included in baseline? A. Materials B. Equipment C. Labor D. A and C but not B E. All of these are usually included

E

Resource leveling can provide A) Lower peak demand B) Reduced resource need over the life of the project C) Reduced fluctuations in resource demand D) Both A and B are correct E) A, B, and C are all correct

E

Scope creep affects: A. The organization B. The project team C. The project suppliers D. Both A and B are correct E. A, B, and C are all correct

E

The method most frequently used in measuring project progress is the A. 0/100 percent rule B. 75/25 percent rule C. 50/50 percent rule D. 25/75 percent rule E. Percent complete rule

E

The schedule variance for a project is calculated by: A. EV-AC B. AC-SV C. PV-EV D. CU-EV E. EV-PV

E

Which of the following is not one of the more common problems associated with scheduling multiproject resources? A) Overall schedule slippage B) Inefficient resource utilization C) Resource bottlenecks D) Both A and C are correct E) A, B, and C are all correct

E

Which of the following is not one of the techniques for accelerating project completion? A. Assigning additional staff and equipment B. Establish a core team C. Do it twice—fast and correctly D. Reduce project scope E. All of these are acceptable techniques

E

Which of the following will calculate the To Complete Performance Index? A. (VAC-EV)/(PV/AC) B. (BAC-EV)/(EV/AC) C. (PV/AC)/(VAC-EV) D. (EV/AC)/(BAC-EV) E. (BAC-EV)/(BAC-AC)

E

A positive situation where moving toward the optimum time can result in very real, large savings—this occurs when the network is: A.Insensitive B.Sensitive C.Ahead of schedule D.Shifting to the critical chain E.Implementing a fast-tracking system

a

Adopting proven technology instead of experimental technology in order to eliminate technical failure would be an example of which risk response? a.Avoiding b.Transferring c.Mitigating d.Retaining e.Ignoring

a

All resource leveling techniques involve A. Delaying noncritical activities. B. Delaying critical activities. C. Using negative slack. D. Delaying the project. E. Adding resources.

a

In the beginning the focus of risk management should be on risks that A. Impact the whole project B. Impact the critical path C. Are known D. Have the greatest cost impact E. Have the greatest schedule impact

a

Low-cost, realistic, efficient methods for completing an activity under normal conditions are supported by ____ time. A) Normal B) Budget C) Optimized D) Expected E) Target

a

One of the keys to success in risk identification is A. Critical thinking B. Optimism C. Pessimism D. A "can do" attitude E. All of these are correct

a

Splitting an activity can result in all of the following EXCEPT A. More people working on the same activity. B. Possible startup and shutdown costs. C. A resource being moved from one activity to another and then back. D. Activity work being placed on hold for a period until more resources are available. E. A better project schedule

a

The most common response for meeting unattainable deadlines is to A)reduce or scale back the scope of the project B)fire the project manager C)hire more people D)shift to the critical chain E)implement the fast-tracking system

a

The most widely used approach to apply heuristics, which have been found to consistently minimize project delay over a large variety of projects is the A. Parallel method B. Resource method C. Materials D. Both A and C are correct E. A, B, and C are all correct

a

The president of a software company remarks in a speech that new technologically advanced software will be available in one year. This is an example of reducing project duration caused by: A. Imposed project deadlines B. Time to market C. Unforeseen project delays D. High overhead E. Incentive contracts

a

Tools such as a risk assessment form and a risk severity matrix are used to. a.Assess risks. b.Regulate risks. c.Control risks. d.Identify risks. e.Respond to risks.

a

Total project costs include all of the following except: A. All of these are included in total project costs B. Administration C. Supervision D. Project manager's salary E. Interest

a

When a company will reduce the number of projects they have to manage internally to only core projects and send noncritical projects to contractors and consulting firms this is called A. Outsourcing. B. Redistribution of projects. C. Project allocation. D. Task sharing. E. Referring.

a

Which of the following is the most common method for shortening project time? A. Assigning additional staff and equipment B. Subcontract work C. Schedule overtime D. Reduce project scope E. Reduce the quality

a

what is the purpose of a contingency fund in executing a response to an opportunity (positive risk) occurring? a. to take advantage of opportunities b. to eliminate project risks c. none, it is not built into the original plan

a

which statement is correct with respect to transferring risk? a. transfer of risk does not change the likelihood or impact b. transfer of risk increases total cost of the risk occurring c. transferring risk infers postponement or delay of a risk occurrence

a

Which of the following is NOT one of the potential responses to a specific risk event? A) mitigating B) retaining C) ignoring D) transferring E) sharing

c

Cost slope can be determined by dividing the A. Run by the rise B. Rise by the run C. Crash cost by the normal cost D. Normal cost by the crash cost E. Both B and C are correct

b

Funds that are for identified risks that have a low probability of occurring and that decrease as the project progresses are called ______ reserves. A. Management B. Budget C. Contingency D. Padded E. Just in case

b

In a resource-constrained project, the first priority in assigning resources is usually given to activities with the A. Smallest duration. B. Least slack. C. Most slack. D. Lowest identification number. E. Highest cost.

b

In the Botanical Garden example, which of the following was used to solve the resource problem? A. Resource allocation B. Smoothing resource demand C. The parallel method D. Both A and C are correct E. A, B, and C are all correct

b

Including the change control system within the ________ is a key to a successful project. Work Breakdown Structure Work Breakdown Structure and Project Baseline Project Baseline Risk Management Plan

b

Intense global competition and rapid technological advances create pressure on developing projects rapidly. This is an example of reducing project duration caused by: A. Imposed project deadlines B. Time to market C. Unforeseen project delays D. High overhead E. Incentive contracts

b

Project budgets are developed by time-phasing which of the following? A. Resource schedules B. Work packages C. The network diagram D. Critical activities E. None of these are time-phased to develop a project budget

b

Rachel is working on a project that technically allows three activities to be done at the same time. If they were to be implemented at the same time, she would need 5 contractors in order for the activities to be completed on time. There are only 3 available for her to use. This is an example of what type of constraint? A. Technical B. People C. Equipment D. Physical E. Materials

b

Technical constraints have been carefully considered when developing a project network. Which of the following is true at this point? A. Resources have been assigned to each activity so they are adequate to complete the project on time B. Technical dependencies between activities are known C. The project completion date can be established D. The project is ready to be implemented E. All of these are true statements once technical constraints have been established

b

The attempt to recognize and manage potential and unforeseen trouble spots that may occur when a project is implemented is known as a.Contingency planning. b.Risk management. c.Disaster protection. d.Risk forecasting. e.Scenario analysis.

b

The initial step in the risk management process is to a.Set aside budget funds for managing the risks. b.Identify the risks. c.Appoint a risk manager. d.Determine the level of acceptable risk. e.Assess the risk potential.

b

The risk associated with one of the key members being stuck by lightning would most likely be handled by which of the following? A. Mitigating B. Retaining C. Ignoring D. Transferring E. Sharing

b

These are all guidelines a project manager should consider when assigning project work EXCEPT A. Select people with compatible work habits and personalities. B. Always assign the best people to the most difficult tasks. C. When possible, team veterans up with new hires. D. Select individuals with skillsets that complement each other. E. Have people work together early so that they can become familiar with each other.

b

This risk assessment tool is a variation of the risk severity matrix that includes the ease of detection for each of the identified risks. A. PERT simulation B. FMEA analysis C. Ratio/range analysis D. Probability analysis E. Semi-quantitative analysis

b

Tony has realized that two activities in his project cannot be done at the same time because not enough resources are available. Activity 3 is critical and has a duration of 5 days. Activity 4 has 2 days of slack and a duration of 2 days. How will he decide which activity should be scheduled first? A. The activity with the smallest duration B. The activity with the least slack C. The activity with the most slack D. The activity with the lowest identification number E. The activity with the highest cost

b

Which of the following groups should NOT be a part of the risk identification process? Vendors All of these groups can be included in the risk identification process Subcontractors Customers Project team

b

Which of the following is identified to cover major unforeseen risks and, hence, are applied to the total project? A. Budget reserves B. Management reserves C. Time buffers D. Both B and C are correct E. A, B, and C are all correct

b

Which of the following would not be considered a threat ? A. Inflation B. Meeting the project schedule C. International disruptions D. Economic conditions E. Competition

b

Why is it necessary to have a time-phased budget baseline? A. It allows proper resource allocation B. It shows how much work was accomplished for the money spent C. It reduces schedule slippage when scheduling multiproject resources D. It is not necessary to have a time-phased budget baseline E. It reduces fluctuations in cash flow during the project

b

_____________ is a measure of how easy it would be to notice that a risk event was going to occur in time to take mitigating action, that is, how much warning you would have. a) Warning assessment b) Detection difficulty c) Impact scaling d) Awareness level e) Probability analysis

b

what is the benefit of a risk management plan for a project? a. preventing all project risk b. minimizing the impact of risks occurring c. creating multiple work breakdown structures d. providing flexibility for project scope development

b

what type of contingency is typically required to manage a schedule risk , i.e. finishing a project late? a. back up strategies b. budget reserves, i.e. cash c. mitigation of risk likelihood d. inflation factor adjustments

b

which mitigation strategy is normally first pursued to minimize the cost impact of a risk event occurring? a. avoidance b. reduce likelihood c. reduce impact

b

According to Brooks' Law, adding more people to a late project is most likely to have which of the following impact? A. Keep the project from slipping any further B. Get the project back on schedule C. Make the project slips further D. Both A and B are correct E. None of these relate to Brooks' Law

c

Adverse weather, design flaws, and equipment breakdown can create negative slack. This is an example of reducing project duration caused by: A) Imposed project deadlines B) Time to market C) Unforeseen project delays D) High overhead E

c

After your team has successfully identified potential risks that could affect the project, what is the next step? a.Mitigate risks b.Decide how to respond to all risks c.Assess identified risks d.Create a risk breakdown structure e.Create contingency plans

c

An activity's crash costs include ____ costs. A. A, B, and C are correct B. Indirect C. Direct D. Overhead E. Both A and B are correct

c

In selecting the best activity to reduce you would first select the activity with the A. Earliest start time B. Steepest slope C. Least steep slope D. Longest duration E. Largest crash time

c

Jan is trying to reallocate resources in a time-constrained project to create smoother resource utilization. She should first identify activities with the A. Smallest duration. B. Least slack. C. Most slack. D. Lowest identification number. E. Highest cost.

c

One way of reducing project costs is identifying tasks that _________ can do themselves. A.Vendors B.Suppliers C.Customers D.Company employees E.Project teams

c

Risks are evaluated in terms of a.Time and impact. b.Cost and schedule. c.Likelihood and impact. d.Likelihood and cost. e.Impact and cost.

c

The risk associated with the unlikelihood that one of the key members will be struck by lightning would most likely be handled by which of the following? Transferring Mitigating Retaining Ignoring Avoiding

c

The shortest possible time an activity can be completed realistically is called ________ time. A. Expedited B. Accelerated C. Crash D. Optimistic E. Optimal

c

When looking at the critical path for a delayed project and the project manager sees that adding resources will reduce or remove the delay, the project manager knows that the project is a- Ahead of schedule. b- Over Allocated. c- Time-Constrained. d- Institutionally Challenged.

c

When the project team is salaried, which of the following is the preferred choice for accelerating project completion? A. Assigning additional staff and equipment B. Subcontract work C. Schedule overtime D. Work longer hours E. Both C and D are preferred choices

c

Where in the project life cycle should a project manager begin the risk identification process? a. scope development b. defining c. planning d. executing e. delivering

c

A key distinction between a risk response and a contingency plan is A risk response is established only for moderate risks while contingency plans are established for major risks. A risk response is created by the project team and the project manager while the project manager and the customer agree on the contingency plan. A risk response is action that is the response to a risk once it has happened and the contingency plan is created by the customer if the risk response fails. A risk response is part of the actual implementation plan and action is taken before the risk can materialize, while a contingency plan goes into effect only after the risk has transpired. A risk response is only effective when you are able to assess the likelihood of the risk and its impact on the project; all other risks are covered by contingency planning.

d

Change management systems are designed to accomplish all of the following EXCEPT Reflect scope changes in baseline and performance measures. Review, evaluate, and approve/disapprove proposed changes formally. Identify expected effects of proposed changes on schedule and budget. All of these are examples of what change management systems are designed to accomplish. Track all changes that are to be implemented.

d

Creating a Project Cost-Duration graph is useful: A. During the pre-project planning phase B. After the project has begun C. After the completion of the project D. Both A and B are correct E. A, B, and C are all correct

d

In a resource-constrained project the third priority in assigning resources is usually given to activities with the A. Smallest duration. B. Least slack. C. Most slack. D. Lowest identification number. E. Highest cost.

d

Project costs are generally classified as ____ costs. A. Direct B. Indirect C. Overhead D. Both A and B are correct E. A, B, and C are all correct

d

Purchasing an accident insurance policy would be an example of responding to a risk by _____________ it. a.Mitigating b.Ignoring c.Retaining d.Transferring e.Avoiding

d

Resource leveling or smoothing can have all the following results on a project EXCEPT A. Lower peak resource demand. B. Reduced resource need over the life of the project. C. Reduced fluctuations in resource demand. D. A longer project duration. E. A more sensitive network.

d

The 1999 NASA Mars Climate Orbiter is an example of A) Disaster avoidance through proactive risk management B) Murphy's Law C) Proper use of critical thinking D) Mismanaged risk control E) Using historical records to assess risk

d

The U.S. Forest Service "snapshot from practice" illustrated the importance of A. Time constraints B. Resource constraints C. Cost constraints D. Both B and C are correct E. A, B, and C are all correct

d

The optimum duration for a project is at the point where: A. Direct costs are the lowest B. Indirect costs are the lowest C. Direct costs equal indirect costs D. Total project costs are the lowest E. The project changes from time-constrained to resource-constrained

d

When considering the sequence and timing of activities, which of the following is NOT one of the types of project network constraints? A. Physical B. Technical C. Resource D. Time E. All of these are types of constraints that could impact structure of the project network

d

Which of the following is NOT involved in risk control? A) Executing the risk response strategy B) Initiating contingency plans C) Establishing a change control system D) Establishing contingency funds E) Watching for new risks

d

A Risk Response Matrix contains all of the following except A. Contingency plan B. Trigger C. Who is responsible? D. Response E. All of these are included in the matrix

e

A contractor finished a bridge across a lake 18 months early and received more than $6 million for the early completion. This is an example of reducing project duration caused by: A. Imposed project deadlines B. Time to market C. Unforeseen project delays D. High overhead E. Incentive contracts

e

A fixed price contract is an example of Ignoring risk. Avoiding risk. Accepting risk. Mitigating risk. Transferring risk.

e

All of the following are benefits of scheduling resources before project implementation EXCEPT A. It allows time for considering reasonable options if resource constraints do exist. B. The project completion date can be established. C. Work packages can be time-phased. D. It allows managers to share resources with other project managers if it is requested without negatively impacting their project. E. It ensures low network sensitivity.

e

An uncertain event or condition that, if it occurs, has a positive or negative effect on project objectives is termed a a.Bad luck. b.Disaster. c.Random chance. d.Hazard. e.Risk

e

Crashing a project should occur: A. As early as possible B. As late as possible C. Midway through the project D. Both A and C are correct E. Cannot be determined with the information given

e

In reviewing the status of her project with top management, Shirley was told that there are only two programmers that she can use for her project. Her project is classified as __________ constrained. A.Time B. Quality C. Cost D. Performance E. Resource

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Most of the scheduling methods available today require the project manager to classify the project as either _______ constrained or ______ constrained. A. Time, quality B. Quality, resource C. Cost, time D. Quality, cost E. Time, resources

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Organizations use __________ in conjunction with work breakdown structures to help management teams identify and eventually analyze risk. a.Contingency breakdown structures b.Organizational breakdown structure c.Risk assessment d.Scenario analysis e.Risk breakdown structures

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Risks that can result in a system or process that will not work are known as a.Cost risks. b.Funding risks. c.Schedule risks. d.Unnecessary risks. e.Technical risks.

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Sam is trying to order the concrete needed to continue his project. However, the supplier won't be able to deliver it until next week. This is an example of a _______ constraint. A. Working capital B. People C. Equipment D. Information E. Materials

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The chances of a risk event occurring as a project proceeds through its life cycle tends to A. Slowly rise B. Drop sharply and then level out C. Rise sharply and then level out D. Remain about the same E. Slowly drop

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The two scales of a risk severity matrix measure A. Time, cost B. Cost, schedule C. Impact, cost D. Time, impact E. Likelihood, impact

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The word Heuristics means A. Resource constraints B. Flexibility C. The critical path changed D. Parallel activities become sequential E. Rule of thumb

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Which of the following is NOT a potential consequence of failing to identify limited resources before project implementation? A. Activity delays B. Project delays C. Difficulty in taking quick corrective action D. Increase costs E. Scope creep

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Which of the following is not included in a Failure Mode and Effects Analysis? A. Impact B. Probability C. Detection D. Risk value E. All of these are included

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Which of the following is the easiest method for shortening project time? A. Assigning additional staff and equipment B. Subcontract work C. Schedule overtime D. Reduce project scope E. Reduce the quality

e

Which of the following is/are included in a Project Cost-Duration Graph? A. Total indirect cost B. Total direct cost C. Total project cost D. Both A and B are correct E. A, B, and C are all correct

e