System Analysis and Design: Project Management (CH4)

In a weighted scoring model, what percent must the sum of the weights of all the criteria total? Answers: a. 150 b. 100 c. 10 d. 50

100

What process involves identifying and controlling the functional and physical design characteristics of products and their support documentation, and ensures that the descriptions of the project's products are correct and complete? Answers: a. Project management information systems b. Project time management c. NPV analysis d. Configuration management

Configuration management

What actions result in improvements in project performance? Answers: a. Acceptance plan b. Defective c. Corrective d. Preventive

Corrective

Which process involves working with stakeholders to create the document that formally authorizes a project? Answers: a. Developing the project management plan b. Developing the preliminary project scope statement c. Performing integrated change control d. Developing the project charter

Developing the project charter

Which process involves working with stakeholders to create the document that formally authorizes a project? Answers: a. Developing the organizational process assets updates b. Developing the project management plan c. Developing the preliminary project scope statement d. Developing the project charter

Developing the project management plan

A Gantt chart is the same as a project management plan. Answers: True False

False

A SWOT analysis, being a linear process, cannot be performed using the nonlinear mind mapping technique. Answers: True False

False

A project charter typically does not authorize the project manager to use organizational resources to complete the project. Answers: True False

False

An organization should consider only projects with a negative NPV if financial value is a key criterion for project selection. Answers: True False

False

An organization's information technology project selection process should guide the strategic plan. Answers: True False

False

Corrective actions reduce the probability of negative consequences associated with project risks, while preventive actions should result in improvements in project performance. Answers: True False

False

Opportunities and directives are essentially the same thing. Answers: True False

False

Project integration management must occur just within the context of a particular project. Answers: True False

False

Projects that address broad organizational needs are likely to fail. Answers: True False

False

The ROI is always positive. Answers: True False

False

The number of interfaces in a single project is limited, and does not depend on the number of people involved in the project. Answers: True False

False

The organization should complete low-priority projects before high-priority ones, if the low-priority ones take less time. Answers: True False

False

What statement is true regarding a return on investment or ROI? Answers: a. It is the result of adding the project costs to the profits. b. It is always a percentage. c. It is always a positive number. d. The lower it is, the better.

It is always a percentage.

Which is an example of an organizational process asset? Answers: a. The organization's infrastructure b. Management systems c. Government standards d. Marketplace condition

Management systems

Which process is undertaken to reduce the probability of negative consequences associated with project risks? Answers: a. Corrective actions b. Preventive actions c. Defect repairs d. Performance reports

Preventive actions

Change requests are always made in writing. Answers: True False

True

When does payback occur? Answers: a. When the net costs are lower than the cumulative benefits b. When the cumulative benefits are double the cumulative costs c. When the net cumulative benefits minus costs equal one d. When the net cumulative benefits equal the net cumulative costs

When the net cumulative benefits equal the net cumulative costs

An IT company revises its process parameters in response to complaints from vendors that products were not ready on time. Which is this an example of? Answers: a. cost forecasting b. a corrective action c. defect repairs d. a preventive action

a corrective action

It is necessary that IT project managers have prior technical experience in creating and managing IT products. Answers: True False

False

Many projects fail because of unclear requirements and expectations, so starting with a payback analysis makes a lot of sense. Answers: True False

False

A summary of the planned approach for managing the project should describe stakeholder needs and expectations, important assumptions, and constraints. Answers: True False

True

An annual discount factor is a multiplier for each year based on the discount rate and year. Answers: True False

True

Payback period is the amount of time it will take to recoup, in the form of net cash inflows, the total dollars invested in a project. Answers: True False

True

Some organizations initiate projects using a contract in place of a project charter. Answers: True False

True

As projects progress, the organization must reevaluate the need, funding, and will for each project to determine if the project should be continued, redefined, or terminated. Answers: True False

True

NPV analysis is a method for making equal comparisons between cash flows for multi-year projects. Answers: True False

True

Projects that arise as a result of problems and directives must be resolved quickly to avoid hurting an organization's business. Answers: True False

True

What is the majority of time on a project is usually spent on? Answers: a. closing b. planning c. monitoring and controlling d. execution

execution

Which document recognizes the existence of a project and provides direction on the project's objectives and management? Answers: a. project charter b. directive c. risk register d. stakeholder register

project charter

Information systems can help an organization support a strategy of being a low-cost producer. Answers: True False

True

Organizational process asset updates are an important output of the closing process of a project. Answers: True False

True

What is the first step in the planning process? Answers: a. choose which projects to do and assigning resources to work on them b. start defining potential IT projects in terms of their scope, benefits, and constraints c. tie the information technology strategic plan to the organization's overall strategic plan d. perform a business area analysis

tie the information technology strategic plan to the organization's overall strategic plan

The outputs of which process include change request status updates, project management plan updates, and project document updates? Answers: a. planning b. monitoring and controlling c. initiating d. executing

monitoring and controlling

What document used to coordinate all project planning documents and help guide a project's execution and control? Answers: a. scope statement b. project management plan c. business case d. statement of work

project management plan

Which process involves selecting information technology projects and assigning resources? Answers: a. resource allocation b. information technology strategy planning c. project planning d. business area analysis

resource allocation

What type of analysis involves calculating the expected net monetary gain or loss from a project by discounting all expected future cash inflows and outflows to the present point in time? Answers: a. Payback b. Cost of capital c. Net present value d. Cash flow

Net present value

Which section of the project management plan provides the planned cost of deliverables? Answers: a. budget b. technical c. risk d. objectives

budget

Which stage of information technology planning outlines business processes that are central to achieving strategic goals and helps determine which ones could most benefit from information technology? Answers: a. resource allocation b. information technology strategy planning c. project planning d. business area analysis

business area analysis

Which term is used for a formal, documented process that describes when and how official project documents may be modified, the people authorized to make modifications, and the paperwork required for these changes? Answers: a. change control system b. WBS c. project charter d. performance report

change control system

What is the first step in determining the NPV? Answers: a. determine the estimated costs and benefits for the life of the project and the products it produces b. determine the discount rate c. determine the cash flow d. calculate the net present value

determine the estimated costs and benefits for the life of the project and the products it produces

Which information is included in a business case? Answers: a. policies, procedures, guidelines, and systems that influence a project's success b. project objective, high-level requirements, and time and cost goals c. relevant government or industry standards d. business need for the project

project objective, high-level requirements, and time and cost goals

Which section of the project management plan includes external interfaces, internal structure, as well as roles and responsibilities? Answers: a. project organization b. overview c. supporting processes d. technical processes

project organization

What are new requirements imposed by management, government, or some external influence referred to as? Answers: a. Problems b. Directives c. Opportunities d. Charters

Directives

Interface management involves identifying and managing the points of interaction between various elements of a project. Answers: True False

False

In project integration management, directing and managing project execution involves carrying out the project management plan by performing the activities included in it. Answers: True False

True

Which section of the project management plan describes specific methodologies a project might use and explains how to document information? Answers: a. risk management b. technical processes c. project controls d. management objectives

technical processes

A project's internal rate of return can be determined by finding what discount rate results in an NPV of what value for the project? Answers: a. fifty percent b. zero c. one d. a hundred percent

zero

What term is used for benefits minus costs? Answers: a. discount factor b. cash flow c. opportunity cost of capital d. cost of capital

cash flow

Which process includes defining project scope, benefits, and constraints? Answers: a. information technology strategy planning b. project planning c. business area analysis d. resource allocation

project planning

Which section of the project plan lists the planned dates for completing key deliverables? Answers: a. schedule b. closing c. budget d. objectives

schedule

What term is used for the minimum acceptable rate of return on an investment? Answers: a. required rate of return b. discount rate c. internal rate of return d. capitalization rate

required rate of return