Category A
Human Resource and Quality Category
Procurement and Integration Category
Scope and Cost Category
Risk and Stakeholder Category
100
You are managing a project and the customer’s engineer visits your facility on an inspection and general getting acquainted tour. During the tour they make the comment that the parts that are being designed should be in stainless steel instead of plain steel with enamel. What should you do? a. Authorize the change in design to your engineers b. Continue with the present design c. Speak to the visiting engineers and discuss having an informal meeting between your engineers and the visiting engineers d. Ask the visiting engineers to submit a change proposal to the change system
C Speak to the visiting engineers and discuss having an informal meeting between your engineers and the visiting engineers
100
The "rule of seven" as applied to process control charts means that : A. If there are seven points on one side of mean, then an assignable cause must be found. B. Seven consecutive points are ascending, descending, or the same. C. At least seven inspectors should be in place for every thousand employees. D. A process is not out of control even though seven measurements fall outside the lower and upper control limits.
Correct answer: A
100
Which of the following statements is not true regarding a Contract ? A. Legally binding in nature B. Obligates buyer to provide compensation and obligates seller to provide some product or service in return C. By careful administration of terms and conditions the buyer can transfer some of the risks to the seller D. Contracts undergo an approval process as any other plan
D is the correct answer. This question tests your knowledge about contracts and procurement.At the onset all the answers seem to be correct with respect to the contract.A contract is legally binding in nature , its an agreement of seller providing some service or product and buyer compensating the seller.Some of the risks can indeed be transferred to the seller through terms and conditions.Because of the legal nature of a contract - generally contracts are subject to a more intensive approval process - much more intense than our other plans - hence in the context of the question - option D is the right answer
100
In a very large project having a budget of $5 million and a project team of over one hundred persons, the project manager constructs a work breakdown structure. The project manager will do the WBS to the detail level of which of the following? a. Task b. Activity c. WBS element d. Work package
D Work package
100
A contingency plan is: A. A planned response that defines the steps to be taken if an identified risk event should occur. B. A workaround C. A reserve used to allow for future situations which may be planned for only in part. D. a and c
Correct answer A
200
You are managing a project that is in process. A large and unexpected problem occurs that will cause a delay in the schedule in excess of the contingency schedule for the project. What should you do? a. Look at other tasks in the schedule and see which ones should be reduced to allow time for this problem to be worked b. Reduce testing on the completed tasks c. Require mandatory overtime for the project team d. Speak to the stakeholders about getting additional time and budget for the project
A- correct answer Look at other tasks in the schedule and see which ones should be reduced to allow time for this problem to be worked
200
A project manager has discovered a problem and is trying to determine the cause. The process whereby he identifies the variables that have the most influence on the project by holding all the variables constant and changing one at a time is called: a. Product correlation b. Design of an experiment c. System integration d. Output processing
Correct answer B
200
You are in charge of a project for the electrical layout of a 5 star hotel.You see this as a very simple project as you and your team have a lot of experience excuting similar such projects.As a result your organization has a wealth of Organizational Process assets.You have worked out the exact details of the work involved and have a very detailed WBS with granular level activities defined.You decide to employ the services of a contractor for laying out of the cable trays.What kind of a contract would be the best choice ? A. Cost-reimbursable contract B. Fixed-price contract C. T and M contract D. None of the above
B is the correct answer. When as a buyer you are clear of the scope and statement of work - the contract choice should be Fixed-price.This is because in this type of contract if scope is clearly defined - then almost all of the risk lies with the seller.here the buyer is smug with the confidence of having had experience in executing similar projects in the past and has also broken down WBS into detailed activities - so scope is clear - so the correct answer is option B
200
You are the project manager for a high visibility project. The margin on this project is low, and it is extremely important that the cost estimates for the work on the project be accurate. While reviewing the cost estimates for this project you notice that one of the cost estimates for an element in the WBS is 10% higher than two previous projects for very similar work. What should you do? a. Accept the estimate because you trust all of the people on your project team, and they are responsible for estimates b. Reduce the estimate and add the additional budget to the management reserve c. Ask the person responsible for the estimate to explain the difference and bring supporting information to you d. Reduce the estimate and add the additional budget to the contingency reserve
C Ask the person responsible for the estimate to explain the difference and bring supporting information to you
200
The Project Management Institute decided to hold its annual meeting in New Orleans, Louisiana. The conference represents a substantial amount of PMI’s operating budget for the year. PMI identified a risk of hurricanes during the month of September, when the conference was to be held. PMI decided to purchase convention insurance to offset the loss of convention revenue if a hurricane caused cancellation of the conference. This is a risk management strategy called: a. Avoidance b. Transference c. Acceptance d. Mitigation
B- Correct answer Transference
300
A construction company is being measured by the earned value reporting method. During the project one of the tasks, installing ten elm trees, was completed. The planned value for this task was $4,000, and it was completed two weeks ago. Unfortunately forth contractor, maple trees should have been planted. The customer insists that maple trees be planted and that the elm trees be removed. As of this time the elm trees are stillin the ground, but the contractor has agreed to do the work of replacing them. What action should be taken on the earned value report? a. Reduce PV by $4,000 b. Reduce AV by $4,000 c. Reduce EV by $4,000 d. Make no changes since the vendor has agreed to fix the problem
C Reduce EV by $4,000
300
The quality manager of a company wishes to analyze the data that is coming to him in the form of a list of defects that have occurred in the shipping department. The report comes with defects listed chronologically as they occurred, the cost of the repair necessary to correct each defect, the person involved, and a description of the defect. The manager would like to determine which of the defects should be corrected first according to the frequency of the defect occurring. He should use which of the following quality tools? a. Cause and effect diagram b. Sampling inspection c. Pareto diagram d. Quality critical path.
C Pareto diagram
300
You are in charge of a project to build a bridge across a river.You are midway through the project.However due to changes in environmental laws the project can no longer proceed and would need to be terminated.Executive management has asked you to document the level of work completed for the project.This would be done in which of the processes ? A. Project Closure B. Contract closure C. Project charter D. Scope Validation
D is the correct answer. The correct answer is option D.Not only is Scope verification performed while the project is executing - it is also performed when a project is terminated.It is used to determine the level of completion.
300
The following table and description refer to questions 83 through 89. A project manager is using the earned value reporting method to manage his project. The following table shows the data collected to date. The plan is for the project to be complete after eight weeks. The earned value report shows data collected for the first four weeks of the project. The figure shown in the table are cumulative. Week PV AC EV 1 1,000 1,000 1,000 2 3,000 2,000 2,500 3 5,000 5,000 6,000 4 7,000 9,000 7,000 5 13,000 6 17,000 7 19,000 8 20,000 What is the EAC at week 4? a. 20,000 b. 15,555 c. 25,714 d. 17,717
C 25,714
300
As a project manager you understand the importance of identifying all relevant stakeholders , their interest and influence and their needs and expectations.You have been assigned to handle a large construction project.You decide to do a thorough stakeholder analysis and you identify Laura and Sean.Based on your interactions and analysis - you know that both Sean and Laura are low in the pecking order so they do not wield any significant authority or power.However where it differs is in their interest in the project.Laura has a lot of interest while Sean is disinterested . You decide to plot them in a Power / Interest grid to help determine how you would manage these stakeholders. Which of the following is the best approach to handle these two stakeholders ? A. Both Sean and Laura should be Kept Informed. B. Sean should be Monitored and Laura should be Kept informed. C. Both Sean and Laura should be Monitored. D. Sean should be Kept informed and Laura should be Monitored.
B is the correct answer. Both Sean and Laura do not wield a lot of power and authority .However the differentiator seems to be their level of interest.While Sean is disinterested Laura has a high level of interest in the project.Stakeholders who have a high level of interest but who wield insignificant authority or power should be Kept informed - in this case Laura. Stakeholders who have a low level of interest and who wield insignificant authority or power should be Monitored - in this case Kelly.The correct answer being - Option B
400
You are the project manager of a software project. Your team member want to make technical changes to an activity which will add more time to that activity. What should you do ? A. Check if the activity is on critical path B. Allow team members to change the activity C. Report to senior management D. Ignore change in activities.
A is the correct answer. A is the correct answer. Check the activity if it is on critical path is the best option.
400
You have just completed developing the Schedule Network Diagram for a project that deals with building super sonic state of the art Jet planes.You have identified your critical path which includes building a wind tunnel.You see that in addition there is another path which deals with building the tail of the plane - whose duration is close to the critical path.You also notice considerable floats on the other paths.You now need to assign resources to the tasks - you have a few team members who are highly skilled and a team of resources who are relatively inexperienced.What would be the best course of action while assigning resources ? A. It is irrelevant which resources are assigned to tasks - resource skills and critical paths have nothing in common B. Assign all the skilled resources to building the wind tunnel which is the critical path - assign the non skilled task to building the tail. C. Assign the inexperienced staff to the task of building the wind tunnel - and assign the skilled task to all other tasks. D. Assign one half of the skilled resources to the task of building the wind tunnel and the other half to building the tail and assign the less experienced staff to all the other tasks.
D is the correct answer. Option D is the best option.Option A and C are just plain wrong - you should always ensure actvities on the critical path do not get delayed - so having the best equipped staff on critical path activities is important.While Option B is an option - it cannot be the BEST choice since if we assign all the experienced staff on building the wind tunnel - the critical path activities are taken care of - but the question also states of a path which is near Critical - building of the tail.Not paying attention to this path by assignining inexperienced staff is not a good option.Amongst the choices option D is the best fit - where you are paying attention to both the critical path and near critical path by assigning your best and most skilled or experienced resources to the activities on the Critical path and Near Critical Path.
400
Your friend who works as a project manager in a pharmaceutical company meets you over dinner.You see a drastic change in his temperament as compared to when you last met him.He seems dejected and complains that in his present organization - as a project manager - he has almost no authority and hardly any decision making ability.What kind of an organizational structure does your friend work in ? A. A Product organization B. A Functional Organizational Structure C. A Strong Matrix Organizational Structure D. A Projectized Organizational Structure
B is the correct answer. Your friend works in a Functional Organizational Structure.In such an organizational structure all the power and authority resides with the Functional Manager.Such organizations are hierarchial in nature - where each employee has one clear superior.People are grouped by specialities ( Functional ) - Example - Mechanical , Accounts , Marketing etc.These departments work independently of each other.So the correct answer is option B - Functional Organization
400
You are the project manager of a project and one of the functional managers wants to make a major scope change during the execution of the project. What should be your action? A. Prepare an impact detail of the change for the functional manager B. Refuse the change C. Complain to the sponsor D. Ignore the request
A is the correct answer. If there is scope change by a functional manager during the execution of the project, then the project manager sends the impact detail of the changes to functional manager.
400
You are out for lunch with a fellow project manager.She is in charge of a project that deals with laying out electrical cables across two towns.As you understand the plan of the layout - you realize that the cabling would cover a neighborhood with a history of criminal problems.You advise your fellow team manager that it would be prudent to insure the copper cables through a theft insurance.You also advise her regarding which insurance companies would give her the best insurance covers against theft.What risk response strategy did you just adopt? A. Risk mitigation B. Risk avoidance C. Risk transfer D. Risk acceptance
C is the correct answer. This is an example of Risk transfer where you have advised your fellow manager to insure against theft through insurance.Note that this does not eliminate the risk rather the risk is simply to be borne by the insurance company.It is also worthwhile to note that the transfer of negative risks comes with a premium to be paid to the party responsible for handling the risk.In this case the insurance company would need to be paid a premium for bearing this risk
500
You are managing a project responsible for doing plantation on a large reserve land.You have created the schedule network diagram and have identified two paths. Path 1 consists of two activities of a duration of 2 and 5 weeks respectively.Path 2 consists of 3 activities with durations of 1 , 3 and 3 weeks respectively.Which of the two paths is the Critical Path ? A. Path 1 B. Path 2 C. Neither D. Both Paths 1 and 2 are Critical Paths
D is the correct answer. The correct answer is D - since the duration of both the paths is 7 weeks.Remember that the path with the longest duration is the critical path and you can have more than 1 Critical Path!
500
As a project manager of a large product - you and your team have shipped the deliverables to your customer.However the customer has reported a number of serious issues in the quality of deliverables - as a result of which the cost of quality of your project is deemed high. In the above scenario which type of cost would have caused the cost of quality to increase ? A. Less Rework. B. Higher productivity. C. Lower costs. D. Increased stakeholder satisfaction.
D is the correct answer. Options A , B and C are benefits of meeting Quality Requirements.The question states what has contributed to increased cost of Quality.As the stakeholder is not satisfied with the deliverables - there is rework involved , there is an impact on productivity and increases cost.It also decreases stakeholder satisfaction - so amongst the choices option D is the correct option.
500
You are a project manager for a project. While reviewing the cost estimates for the project, you notice that one of the cost estimates for an element in the WBS is 20% higher than the previous project for a very similar work. What should you do next? A. Accept the estimate. B. Ask the person responsible about the difference. C. Ignore it. D. Reduce the estimate.
B is the correct answer. Best option is to ask the person responsible about the difference and create the most accurate estimate that is practical.
500
As a manager on a project your key outlook is to ensure that the project delivers within the scheduled timelines with minimal rework and customer delight.For some time now the project work is proceeding smoothly with a CPI and SPI a perfect 1.One of your team members approaches you and indicates that she might possibly need a long vacation on personal grounds.She indicates this could possibly occur in two months from now.You look up the schedule and as luck would have it - this team member happens to be scheduled to execute activities which are on the critical path - and her absence in two months time would cause a delay in schedule.You decide to take some action and ask the team member to start regular knowledge transfers to a couple of trainees.Your thought is though the trainees would be relatively inexperienced they would more than make up for it with two people rather than one person to perform these tasks should this team member need to go on leave.What did you just do ? A. Mitigate the risk B. Avoid the risk C. Transfer the risk D. Exploit the risk
A is the correct answer. You have mitigated the risk where by asking for the trainees to be trained you have created a Risk response strategy.Should this team member go on leave the trainees would execute the task.So you have not avoided the risk.Again there is no question of exploiting the risk as this is not a positive risk.This is not a case of Risk avoidance either - so the correct answer is Risk Mitigation - option A.
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