PMP Questions
Which statement describes best why you should document assumptions? A) Assumptions might prove to be wrong. Knowing which assumptions were incorrect allows baseline adjustments in case of project crisis. B) Assumptions recorded in the assumptions log may help identify individual project risks during risk identification. C) Assumptions limit the project management team's options for decision making because they can not be controlled by the team. D) In case of schedule or budget overruns, the documentation of assumptions supports a clear assignment of responsibility.
Assumptions recorded in the assumptions log may help identify individual project risks during risk identification.
The project charter defines the high-level scope and objectives of a project. Which of the following is NOT a correct statement about inputs to the Project Charter? A. When projects are executed for external customers, a contract or agreement is used as an input to the charter B. Government or industry standards cannot be used as an input to develop a project charter C. Organizational process assets are input to the Develop Project Charter process D. The project's business case is an input to the Develop Project Charter process
B. Government or industry standards cannot be used as an input to develop a project charter (Integration 1)
Which process improves the efficiency of the risk approach throughout the project lifecycle to continuously optimize risk responses? A. Control Quality B. Implement Risk Responses C. Control Scope D. Perform Integrated Change Control
B. Implement Risk Responses
A prime contractor in a customer project under CPFF contract has run into unexpected technical problems through no fault of their own. Fixing these problems will require a lot of additional work to be done. The company made a decision to book more staff and equipment from their subcontractors in order to increase productivity and adhere to the agreed timeline. The overhead work for the project is reimbursed by the customer with the fixed fee and will remain unchanged. The customer agreed to this decision. What will most likely happen? A) The contractor's indirect costs will increase and the customer's payment for them will increase, too. B) The contractor's indirect costs will increase, but the customer's payment for them will not increase. C) The contractor's indirect costs will not increase, but the customer's payment for them will. D) Both the contractor's indirect costs and the customer's payment for them will not increase.
Both the contractor's indirect costs and the customer's payment for them will not increase.
The project manager is responsible for ensuring that the project effectively and efficiently meets the goals of the organization and the requirements of a broad set of stakeholders, as defined in the: A. Project Charter B. Work breakdown structure C. Business case D. Risk register
C. Business case
What is the process of identifying project stakeholders regularly and analyzing and documenting relevant information regarding their interest, involvement, interdependencies, influence, and potential impact on project success? A. Plan Stakeholder Engagement B. Monitor Stakeholder Engagement C. Identify Stakeholders D. Manage Stakeholder Engagement
C. Identify Stakeholders
In the execution phase of your project, you received many complains from stakeholders. Most of the complaints were regarding quality. So far you have successfully fixed all the reported issues, but you are concerned by this recurrent event. What should you do to avoid similar issues? A. Initiate a change request to update the project quality management plan B. Initiate a defect repair C. Initiate a preventative action to reduce the probability of negative consequences D. Initiate a corrective action to bring future quality in line with the project management plan
C. Initiate a preventative action to reduce the probability of negative consequences (Integration 1)
Identifying key deliverables based on the business requirements in order to manage customer expectations and direct the achievement of project goals is a task completed in what process group? A. Executing B. Planning C. Initiating D. Monitoring & Controlling
C. Initiating
What are the three most frequent sources of conflict on a project? A. Scarce resources, Scheduling priorities, Personality Conflicts B. Scarce resources, Team Member Ambitions, Personal work style C. Scarce resources, Scheduling priorities, Personal work style D. Project priorities, Scheduling priorities, Personal work style
C. Scarce resources, Scheduling priorities, Personal work style
Which of the following is true regarding the code of accounts? A) It allows a project manager to easily identify the breakdown level of the item in the resource structure. B) It describes the coding structure used by the performing organization to report financial information in its general ledger. C) It is the collection of unique identifiers generally assigned to WBS items. D) It defines ethical behavior in the project and the responsibilities to the customer and the profession.
It is the collection of unique identifiers generally assigned to WBS items.
Which is NOT true in regard of RoI (return on investment) calculation for a project? A) It defines the cumulated net income from an investment at a given point in time or during a defined period. B) It includes investment, direct and indirect costs and may include allowances for capital cost, depreciation, risk of loss, and/or inflation. C) It is most commonly stated as a percentage of the investment or as a dimensionless index figure. D) It is the time when cumulated net income is equal to the investment.
It is the time when cumulated net income is equal to the investment.
Which should be included in a requirements management plan? A) The document should trace requirements to project scope / WBS deliverables. B) It should describe how requirements activities will be planned, tracked, and reported. C) It should trace high-level requirements to more detailed requirements. D) It should trace requirements to business needs, opportunities, goals, and objectives.
It should describe how requirements activities will be planned, tracked, and reported.
A project management team intends to develop a lifecycle for its new software development project on a continuum between the extremes of highly agile and highly predictive methods. What is a typical signal that the lifecycle chosen is located between the two extremes? A) Requirements are elaborated repeatedly. B) Requirements are developed upfront and kept static. C) Requirements are developed during the course of the project. D) Change is constrained as much as possible.
Requirements are elaborated repeatedly.
During execution of a project which is performed for a customer on a T&M (time and material) contract base, a new project manager is taking over the assignment. She discovers that two members assigned to the project have charged time without performing any work for the project customer. Upon further investigation, she determines that this occurred because there have been no other project assignments open for these employees and that her company wanted to keep their time billed to a customer. The customer is unaware of these facts. What should the project manager do? A) Try to find some productive work for these staff members in the project and leave them on the team. B) The best thing is to do nothing. The customer will not realize the problem anyway. C) Try to find a responsible person for the over-assignment who can be made accountable. D) Take the two people off the team immediately and arrange for the refund of the excess charges to the customer.
Take the two people off the team immediately and arrange for the refund of the excess charges to the customer.
Total Float
The amount of time an activity can be delayed without delaying the project's end date or an intermediary milestone, while still adhering to any imposed schedule constraints. PRIMARY TYPE OF FLOAT LS-ES or LF-EF
Free Float
The amount of time that a schedule activity can be delayed without delaying the early start date its successor(s) or violating a schedule constraint.
A company has to make a choice between two projects, because the available resources in money and kind are not sufficient to run both at the same time. Each project would take 9 months and would cost $250,000.The first project is a process optimization which would result in a cost reduction of $120,000 per year. This benefit would be achieved immediately after the end of the project. The second project would be the development of a new product which could produce the following net profits after the end of the project: 1. year: $15,000 2. year:$125,000 3. year:$220,000 Assumed is a discount rate of 5% per year. Looking at the present values of the benefits of these projects in the first 3 years, what is true for their monetary attractiveness? A) Both projects are equally attractive. B) One cannot say based on the numbers. C) The second project is more attractive. D) The first project is more attractive.
The first project is more attractive.
During a company event, you had the opportunity to talk to a colleague project manager. He told you that in his current project actual costs are 15% under cumulated costs budgeted for today. What do you think? A) The information given to you by the colleague is not sufficient to assess project performance. B) The project will probably be completed with total costs remaining under budget until the end. C) A significant cost increase during the further course of the project will probably bring the costs back to baseline level. D) Original cost forecasting and budgeting for the project must have been poor to allow this variance.
The information given to you by the colleague is not sufficient to assess project performance.
You have been asked to calculate the internal rate of return (IRR) of a project? What will you assess? A) The time period needed to pay back the investment from a project when future income is discounted. B) The inherent discount rate or investment yield rate produced by the project's deliverables over a pre-defined period of time. C) The rate of negative risk that can be accepted for a project without turning the expected net present value negative. D) The expected benefit from a project's deliverable calculated as a percentage of the original investment over a specified time period.
The inherent discount rate or investment yield rate produced by the project's deliverables over a pre-defined period of time.
A production process has been defined as part of an industrial equipment manufacturing project. The process is intended to produce steel bolts with a length of 20 cm. The control limits are 19.955cm and 20.045cm. The measurements made at the end of the process yielded the following results: 20.033cm, 19.982cm, 19,995cm, 20.056cm, 19.970cm, 19.968cm, 19.963cm, 19.958cm, 19.962cm, 19.979cm, 19.929cm. What should be done? A) The process is under control. It should not be adjusted. B) The process should be improved. C) The control limits should be adjusted. D) The measuring equipment should be recalibrated.
The process should be improved.
You found the following earned value analysis information for a project that was recently closed-out: SPI = 0.7, CPI = 1.0 A) The project has been cancelled while it was executed. At that time the project was behind schedule and on budget. B) The project's deliverables have all been finished. The project came in behind schedule but on budget. C) The project's deliverables have all been finished. The project came in ahead of schedule but on budget. D) The project's deliverables have all been finished. The project came in on schedule but over budget.
The project has been cancelled while it was executed. At that time the project was behind schedule and on budget.
Activity A has a duration of 20 days, activity B of 10 days, activity C of 5 days and activity D of 6 days. [Milestone 1] >FS> [A] >FS> [B] >FF-2d> [C] >FS+3d> [D] >FS> [Milestone 2] What is the minimum total duration between the milestones 1 and 2? 36 days 37 days 39 days 42 days
37 days
Constructive changes are a common source for conflicts between customers and contractors in projects under contract. What is a constructive change? A) A change request that helps improving the project and its product, service, or result and could be generally discussed in a friendly style. B) A direction by the buyer or an action taken by the seller that either party may post hoc consider an undocumented change. C) A field change or ad-hoc change mandated by the project customer in a public construction project. D) A change request which will lead to the re-construction of an older version of the project performance baseline by the contractor.
A direction by the buyer or an action taken by the seller that either party may post hoc consider an undocumented change.
Existing facilities is an example of which internal enterprise environmental factor (EEF)? A. Infrastructure B. Resource Availability C. Geographic distribution of facilities and resources D. Organizational culture, structure, and governance
A. Infrastructure
You have just created the following network logic diagram to describe the planned flow of activities for your project which will start tomorrow: [Start] >FS> [Activity D] >FS+2d> [Activity E] -FS-60%-> [Activity F] >FS> [A-F Finished] Which potential inconsistency in the diagram should you solve right now to ensure that the activities and the milestones "Start" and "A-F finished" are correctly linked? A) Activity E is open ended (a "dangle") in relation to the finish milestone path convergence. B) Activity F is open ended in relation to the path divergence after the start milestone. C) You cannot calculate a critical path when lags and/or leads are calculated in percent. D) Activities E to F need another task drawn as a hammock to calculate level of effort.
Activity E is open ended (a "dangle") in relation to the finish milestone path convergence.
A project management team identified negative risks (threats) that cannot be responded to by avoidance or mitigation. An alternative risk response would be active acceptance. What would the team do to implement that? A) Plan more risk management. B) Monitor risks. C) Allocate contingency reserves. D) Identify further risks.
Allocate contingency reserves.
Control Procurements includes integration of the outputs from other project management processes that apply those processes to the contractual relationship. Which of the following is not a project management process that is applied to the contractual agreements made in Control Procurements? A. Control Resources B. Direct and Manage Project Work C. Control Quality D. Monitor Risks
Correct answer: Control Resources Control Procurements includes the application of the appropriate project management processes to the contractual relationship(s) and integration of the outputs from these processes into the overall management of the project. The project management processes that are applied may include, but are not limited to, the following: Direct and Manage Project Work: To authorize the seller's work at the appropriate time. Control Quality: To inspect and verify the adequacy of the seller's product. Perform Integrated Change Control: To assure that changes are properly approved and that all those with a need to know are aware of such changes. Monitor Risks: To ensure that risks are mitigated.
Which of the following is not an example of an electronic project management tool? A. Collaborative work management tools B. Virtual office support software C. Video and web conferencing D. Project management software
Correct answer: Video and web conferencing Video and web conferencing is not an example of an electronic project management tool. It is an example of electronic communications management. Project management information systems (PMIS) can ensure that stakeholders can quickly and efficiently access the information they need. Project information is managed and distributed using a variety of tools including: - Electronic project management tools: project management software, meeting and virtual office support software, web interfaces, project portals and dashboards, and collaborative work management tools - Electronic communications management: email, fax, voicemail; audio, video, and web conferencing; websites and web publishing - Social media management: websites and web publishing; blogs and applications
Together with your project management team in a project to build a state-of-the-art power station, you want to perform active risk acceptance in your project. What should you do? A) Create contingency reserves in resources, money and time. B) Develop a plan to minimize impact in case that an identified risk occurs. C) Develop a plan to minimize the probability of occurrence for identified risks. D) Make additional resources available to speed up the project.
Create contingency reserves in resources, money and time.
Parametric Estimating
Creates an equation that uses historical information from other estimates, actual results, and variables (e.g. # hours to complete work or # resources with skill level/quality/grade) to create estimates.
Which of the following is neither an input to nor output of the Develop Project Charter process? A. Benefits management plan B. Project Charter C. Business Case D. Expert Judgement
D. Expert Judgement (Integration 1)
The project manager is conducting a team meeting. After discussing an issue found in the quality control plan, she seeks input from the team on the possible effects of her proposed solution before making a decision. Which leadership style does this best represent? A. Laissez-faire B. Servant C. Charismatic D. Transactional
D. Transactional
You are performing earned value technique on your project. After budget approval, an additional and unexpected cost item has been identified, which made the project more expensive some weeks ago. The item has meanwhile been paid by the project, and it is expected that for the remaining duration of the project, costs will be as budgeted. In this case, which is the best formula to calculate EaC (Estimate at Completion)? A) EaC = BaC - CV B) EaC = BaC / CPI C) EaC = AC + BtC / CV D) You can not compute the EaC.
EaC = BaC - CV
What is the meaning of Jerry B. Harvey's concept called the "Journey to Abilene"? A) Project managers should visit their customers far more often than what is usual in order to avoid misunderstandings and bad emotions. B) International projects may have an increased need for traveling which can lead to additional costs and troubles with time zones. C) Group decisions can have the paradox outcome, that a decision is jointly made or approved that is not desired by any of the group members. D) A project is a temporary endeavor undertaken to create a unique product, service or result. Repeating it would be similar to making the same journey twice.
Group decisions can have the paradox outcome, that a decision is jointly made or approved that is not desired by any of the group members.
A project manager travels to a country whose culture is unknown to her. She realizes that her direct way of communicating creates discomfort for some people she interacts with. What could she consider improving? A) The communications management plan B)Her cultural awareness and cultural sensitivity C) Her predisposition to culture shocks D) The stakeholder responsibility matrix
Her cultural awareness and cultural sensitivity
Together with your team, you are writing a risk management plan. In the team, discussions are occurring what should be covered by the plan and what not. Finally, the team found out that _______ should NOT be covered by a risk management plan? A) Roles and responsibilities for managing project risks B) Timing of project risk management processes and activities C) The methodological approach used for risk management D) Individual risks and potential responses to them
Individual risks and potential responses to them
You are the project manager in an engineering project and have recently signed a contract with a software vendor for the development of a complicated control solution as a contractor of your project. The software will be used to control machinery equipment which your project team is currently developing. The contract is a lump-sum contract. The contractor has a cost target based on estimates, which seem rather low to you. Which of the following statements is NOT true for this situation? A) It is the contractor's risk in this type of contract that their profit may vanish if costs have been underestimated. B) This form of contract should only be chosen when all requirements on the contractor's product are well-understood by all parties involved. C) In a fixed-price contract, change requests can require adaptations to price, schedule and other contractual items for the changes to be applied. D) It is likely that your organization may have to assume any unexpected additional costs for the software development that occur.
It is likely that your organization may have to assume any unexpected additional costs for the software development that occur.
Which of the following statements describes best the relationship of quality and grade? A) Low grade is always a problem; low quality may be overcome by a good rework and repair process. B) Grade is a category or rank given to entities having different functional requirements but the same need for quality. C) Both quality and grade can often be improved through intelligent measuring, testing and examining. D) Low quality is always a problem as it bears on the ability of an item to meet requirements; low grade may sometimes be acceptable.
Low quality is always a problem as it bears on the ability of an item to meet requirements; low grade may sometimes be acceptable.
Which is normally not regarded as an element of cost of quality? A) Prevention costs B) Maintenance cost C) Appraisal costs D) Failure costs
Maintenance cost
Which of the following would not be an organizational process asset that would influence the Manage Team process? A. Bonus Structure B. Organizational standard processes, policies, and process definitions C. Corporate apparel D. Certificates of Appreciation
Organizational standard processes, policies, and process definitions Organizational standard processes, policies, and process definitions are organizational process assets, but they are not typically ones that influence the Manage Team process. Organizational process assets that typically influence the Manage Team process include such items as certificates of appreciation, newsletters, websites, bonus structures, and corporate apparel.
An estimation has been made for a construction project that the construction of a residential home will cost a certain amount per square foot of living area. This is an example of what type of estimating? A) Analogous estimating B) Bottom-up estimating C) Top-down estimating D) Parametric estimating
Parametric estimating
Company X has identified a stakeholder for Project B who has very little interest in the project and is hard to work with, but has high influence. Which of the following is the best method for managing this stakeholder? A. The stakeholder should be involved in the team meetings, reported to, and provided with the information he or she requests B. The stakeholder should be given requirements that are clear and reports on the project progress C. The stakeholder should be invited to partake in the project's risk management process D. The stakeholder should be invited to join the project management team
The stakeholder should be given requirements that are clear and reports on the project's progress The best method for managing a stakeholder who shows very little interest in the project, who is hard to work with, but who has high influence is to provide him or her with clear requirements and reports on the project's progress. This stakeholder has the power to make decisions but does not show interest in the project; therefore, he or she should merely be kept up-to-date on the project and provided with clear directions on what his or her responsibilities are.
Company X has identified a stakeholder for Project D who is moderately interested in the project, has high influence, supports the project, and is responsible for completing many of the project's tasks. Which of the following is the best method for managing this stakeholder? A. The stakeholder should be involved in the team meetings, reported to, and provided with the information he or she requests B. The stakeholder should be given requirements that are clear and reports on the project progress C. The stakeholder should be invited to partake in the project's risk management process D. The stakeholder should be invited to join the project management team
The stakeholder should be invited to join the project management team The best method for managing a stakeholder who is moderately interested, has high influence, and supports the project is to invite him or her to be a part of the project management team. This stakeholder is moderately interested, and inviting him or her to join the project management team may encourage him or her to become more interested in the success of the project.
Company X has identified a stakeholder for Project A who is highly interested in the project, is a highly knowledgeable expert on the project's high-risk areas but has low influence. Which of the following is the best method for managing this stakeholder? A. The stakeholder should be involved in the team meetings, reported to, and provided with the information he or she requests B. The stakeholder should be given requirements that are clear and reports on the project progress C. The stakeholder should be invited to partake in the project's risk management process D. The stakeholder should be invited to join the project management team
The stakeholder should be invited to participate in the project's risk management process The best method for managing a stakeholder who is highly interested in the project, is a highly knowledgeable expert on the project's high-risk areas, but has low influence, is to invite him or her to participate in the project's risk management process. This stakeholder does not have influence over the project, but he or she does know the risks involved; therefore, he or she would be a great asset during the risk management process.
Company X has identified a stakeholder for Project C who is highly interested in the project, has high influence, and is a supporter of the project. Which of the following is the best method for managing this stakeholder? A. The stakeholder should be involved in the team meetings, reported to, and provided with the information he or she requests B. The stakeholder should be given requirements that are clear and reports on the project progress C. The stakeholder should be invited to partake in the project's risk management process D. The stakeholder should be invited to join the project management team
The stakeholder should be involved in the team meetings, reported to, and provided with the information he or she requests The best method for managing a stakeholder who is highly interested in the project, has high influence, and is a project supporter is to involve him in the team meetings, report to him, and provide him with the information that he requests. This stakeholder is not only highly motivated and interested in the project but has the influence to make key decisions; therefore, he should have full knowledge of the project and be provided the necessary information to make decisions.
Project float (aka positive total float)
The total time the project can be delayed without delaying the externally imposed project completion date required by the customer or management, or the date previously committed to by the project manager.
During execution of a construction project to build a new bridge, it turns out that severe weather conditions are threatening adherence to the project schedule and overall project success. What kind of risk is this? A) Complexity risk B) Ambiguity risk C) Variability risk D) Event-related risk
Variability risk
What is not the purpose of configuration control when configuration management is applied in a project? A) Verification that the configuration identification for a configuration item is accurate, complete, and will meet specified program needs. B) Ensuring that proposed and approved changes to configuration items are fully analyzed. C) Ensuring that proposed and approved changes to configuration items are fully documented. D) Managing and controlling the frequently requested changes to a project by applying agreed upon rules.
Verification that the configuration identification for a configuration item is accurate, complete, and will meet specified program needs.
In a traditionally drawn decision tree, a circle represents ___________. A) a chance to which no expected monetary value can be assigned so that a likely pay-off of a number of options can not be shown. B) a decision to which no expected monetary value can be assigned so that the pay-off can be shown ignoring uncertainties. C) a chance to which an expected monetary value may be assigned to calculate the average pay-off of two or more options. D) a decision to which an expected monetary value may be assigned to calculate the most likely pay-off of consequential uncertainties.
a chance to which an expected monetary value may be assigned to calculate the average pay-off of two or more options.
