PMP_QA_1000_Questions Part 05

 

 

 

Question 301

You are the project manager for the international contract manufacturing firm with manufacturing the plants and offices in India, China and Thailand. Your company design and manufacture various consumer electronics such as flat screen, television, laptop computers, monitors, e.t.c. 

Your company is in the process of bidding on a project to manufacture the next generation 128-bit video game console for x-cube station. As a potential bidder for this project your company must register so that it is on the qualified seller list. Which of the following statements are true?

A. The qualified seller list is an input to the select sellers and are used to rate and score proposals 

B. The qualified seller list is a tool of the request seller responses process and are used to ensure that all the prospective sellers have a clear understanding of the requirements 

C. The qualified seller is a tool of a request seller response process and provide information about the seller 

D. The request seller list is input to request seller response process and are used to ensure that all the prospective sellers have a clear understanding of the requirements 

E. The qualified seller list is input to the select seller process and provides information about the seller

Answer: E

Question 302

Which of the following statements are true regarding quality planning and perform quality assurance?

A. Quality planning is the totality of characteristic of an entity that bear on its ability to satisfy stated or implied needs. Quality assurance involves evaluating overall project performance to ensure that the project will satisfy quality standards.

B. The quality planning process uses the tool such as benefit costs analysis, benchmarking, flow charting, and design of experiment and cost of quality. 

C. Quality assurance involves evaluating overall project performance to ensure that the project will satisfy quality standards. 

D. Quality planning involves evaluating overall project performance to ensure that the project will satisfy quality standards Answer: C

Question 302

You are in the process of reviewing offers and choosing among potential sellers. All the following are the outputs of process except: A. Selected sellers

B. Contract documentation

C. Resource availability

D. Contracts

E. Contract management plan

Answer: B

Question 303

Which of the following statement are false regarding Delphi’s technique:

A. Delphi technique can be used to elicit feedback without physically assembling the contributors

B. The Delphi technique helps prevent anyone person from unduly influencing the outcome

C. None of the choices are correct

D. Delphi technique provides a way to reach the consensus among experts and allow the experts to participate anonymously Answer: D

Question 304

You are in the process of directing the performance of the planed project activities and managing the various technical and organizational interfaces that exist within your project. All the following are actions that you should perform in this stage except: A. Collect and document lessons learned 

B. Manage sellers

C. Manage risks and implement risk reponse activities D. Establish and manage communication cannel

E. Subdivide the major project deliverable into smaller, more manageable work packages

Answer: E

Question 305

You are a project manager at a biotech company where you are responsible for developing treatment for diabetes. You are in functional organization, where you have little formal authority within the organization. Which of the following describes the type of power you have in organization?

A. Expert power

B. Referent power

C. Punishment power

D. Legitimate power

E. Coercive power

Answer: B

Question 306

Which of the following are least found to as a part of project?

A. Roles and responsibilities, pricing and payments

B. Inflation adjustment, acceptance criteria

C. Evaluation criteria, change request handling

D. Warranty, limitation of liability

E. Statement of work, schedule

Answer: B

Question 307

Which of the following is false regarding recognition and rewards?

A. Recognition and rewards are tools of develop process team project

B. Recognition and reward should consider cultural differences C. None of the choices are correct

D. To be effective, recognition and rewards should be based on activities under a person’s control

E. Zero sum rewards, that only a limited number of project team members can achieve 

Answer: E

Question 308

You are the project manager for the manufacturer of children’s toys. 

Your project team is in the process of designing a new toy for children for next Christmas season. Your 10 members are working together for past six months. All 10 are in constant communication with each other. 

How many lines of communications are their in your project team?

A. 50

B. 45

C. 20

D. 10

E. 90

Answer: B

Question 309

Which of the following is buyer-prepared formal request sent to seller and is basis upon which seller prepares n bid?

A. Contract

B. Procurement request

C. None of the choices are correct

D. Procurement document package

E. Proposals

Answer: D

Question 310

 Which of the following is not one of the five project management process group?

A. Monitoring and controlling he group

B. Initiating process group

C. Fast tracking

D. Executing process group

E. Planning process group

Answer: C

Question 311

Top three cases on conflict on the project and project schedule, project priorities and:

A. Resources 

B. Cost

C. Responsibilities

D. Administrative procedures

Answer: A

Question 312

Which of the following are not situations where pre assignment of project team members are known in advance?

A. Staff assignment are defined in project charter

B. Project is dependent on the expertise of certain people C. Promised as a part of competitive proposal

D. None of the choices are correct

Answer: D

Question 313

Weighting systems, screening systems, and independent estimates are tools of which process?

A. Plan contracting

B. Select sellers

C. Plan purchase and acquisitions

D. Request seller responses

Answer: B

Question 314

Which of the following project communication management process is within the executing process group?

A. Manage stakeholders

B. Performance reporting

C. Information distribution

D. Communication planning

Answer: C

Question 315

Implemented change request, implemented corrective actions and implemented preventive actions are inputs to which process?

A. None of the choices are correct

B. Direct and manage project execution

C. Perform quality control

D. Quality planning

E. Perform quality assurance

Answer: E

Question 316

Which of the following tools can be used to help to analyze how quality problems occur, and depict that how the various components of system interrelate?

A. Design of experiment

B. Benchmarking

C. Benefit/cost analysis

D. Flowcharting

Answer: D

Question 317

During project executing, a previously unidentified risk has just occurred. This risk will negatively effect the outcome of the project. 

Which of the following is best to perform next?

A. Alert the management team

B. Develop the contingency plan

C. Add reserves to the project to adjust for the risk D. Perform the risk audit

E. Create a work around

Answer: E

Question 318

A manager works very closely with his subordinates to create an effective working environment. Once a new person is hired, he works with the employee to set realistic goals for the short term and long 

term. In addition he continuously works with employee to discuss career path and career ambitions. 

He is constantly coaching, counseling and meeting. Once his employees reach the goal, he reward them with merit, 

increases/bonus , offer expanded job responsibilities, with new challenges, which of the following motivational theories is least utilized in his management approach to motivating his employees?

A. B.F skinner’s theory of behavioral reinforcement

B. McGrager’s theory X and theory Y

C. Self efficacy theory

D. Herzberg’s motivation hygiene theory

E. Vroom’s expectancy theory

Answer: C

Question 319

All the following statements are true regarding communication management plan except:

A. The communication management plan is an input to information distribution process

B. The communication management plan provides information on stakeholders communication requirements and glossary of common terminology

C. None of choices are correct

D. Communication management plan is out put of communication planning process

Answer: C

Question 320

You are a project manager for a company that sells online music. The company is going so well that company has outgrown its I.T 

infrastructure. In fact the company’s current infrastructure is unable to handle the terabytes of music downloads each day.

As a result company decided to give music download to 3rd party content. On your qualified seller list you have identified one potential vendor, music CM. your procure department has identified a large difference between the independent estimate and proposed vendor cost. Which of the following statements are true?

A. You are currently in the plan purchases and acquisition process B. The vendor failed to respond to all the requirements specified in the proposal

C. The vendor is incomplete and does not understand the scope of the project

D. The SOW did not contain the enough detail E. If the discrepancy is in the company’s favor your company should take the advantage of cost saving and select the vendor promptly.

Answer: D

Question 321

Which of the following are not the direct results of managing the project team?

A. Submitting change request

B. Negotiating staff assignments

C. Resolving issues

D. Developing input to performance appraisals

E. Recording the lessons learned

Answer: B

Question 322

Which of the following best describes the project human resource management knowledge Area?

A. Initiation, develop project team, acquire project team, develop project team

B. Human resource planning , acquire project team, develop project team, manage project team

C. Human resource planning , activity resource estimating, acquire project team, develop project team, manage project team D. Human resource planning, activity resource estimating , develop project team

Answer: B

Question 323

Which of the following statements are false regarding reward recognition systems?

A. Rewards and recognition system must also consider cultural differences

B. rewards and recognition systems are tools of human resource planning process

C. rewards and recognition systems are tools of develop project team process

D. in order to be effective, reward and recognition system must make the link between project performance and reward clear and achievable

Answer: B

Question 324

Which of the following statements are not true regarding corrective actions?

A. Corrective actions are input to various controlling process B. Corrective action is used to bring expected future project performance in line with the project plan

C. Approved corrective actions are inputs to the direct and manage project execution project

D. Corrective actions are the outputs of processes in the controlling process group

Answer: A

Question 325

You are the project manager for the manufacturer of children’s toys. 

Your project team is in the process of designing a new toy for children for next Christmas season.

Your project team has worked together for the last six months and has become a self-directed team with little, If any management supervision required. Which of the following stages of develop project team best describes your team?

A. Storming

B. Norming

C. None of the choices are correct

D. Performing

E. Forming

Answer: D

Question 326

which of the following best describes the request seller responses process?

A. Request seller response involves identifying whether to procure products from outside vendor

B. Request seller response involves ensuring that the vendor meet the specified contractual requirements

C. Request seller response involves the application of evaluation criteria to select a vendor

D. Request seller response involves obtaining bids and proposals from prospective vendors

Answer: D

Question 327

All of the following statements regarding bidder conferences are true EXCEPT:

A. All potential sellers are given equal standing during this process B. Bidder conferences are tool/technique of request seller response process

C. Bidder conferences are meeting with prospective seller after preparation of bid or a proposal

D. Bidder conferences are also called contractor conferences and vendor conferences

E. Bidder conferences are used to ensure that sellers have a clear understanding of the project requirement

Answer: C

Question 328

You are a project manager at a biotech company, where you are leading a cross functional team to develop a treatment for diabetes. 

The organization has a weak matrix structure, where al of your team members report to different functional managers and none of the team member report to you directly. 

You have just completed the latest round of performance reviews and identified the CPI is 1.15, SPI is1.05, and few minor adjustments are needed. In order to improve the project performance and team motivation you have decided to collaborate them into brand new facility. The facility has the state of art gym and a 24 hour cafeteria.

Team is quite excited about the move.

Which of the following best describes the actions?

A. Project is little behind schedule, and moves may delay project deliverables even more

B. You subscribe to the McGregor’s theory X motivation theory C. The performance reviews were inadequate, as additional adjustment should be identified

D. Hertzberg’s theory was incorrectly applied

E. The move is motivating agent that will help improve the motivation and performance of project team

Answer: D

Question 329

You are in the contract Closure process and are reviewing the contract process to identify the lessons learned. Which of the following best describes the tool/technique you are using?

A. Performance reviews

B. Procurement reviews

C. Performance audits

D. Procurement audits

E. Procurement reports

Answer: D

Question 330

Contract documentation is an input to the Contract Closure process. It includes all of the following EXCEPT:

A. Payment records

B. Supporting schedule

C. Warranties

D. Approved change requests

E. Procurement audit documentation

Answer: E

Question 331

Consider the project Integration Management knowledge area. Which of the process are not included?

A. Performance reporting

B. Develop project charter

C. Integrated change control

D. Direct and manage project execution

E. Develop project management plan

Answer: A

Question 332

During what phase of project lifecycle is the level of risk and uncertainty is the lowest?

A. Closing

B. Executing

C. Initiating

D. Controlling

E. Planning

Answer: A

Question 333

Which of the following best describes the tool/ technique used to identify lessons learned during the procurement process, including the identification and examination of any problems and areas for improvement? 

A. Project archives

B. Procurement reviews

C. Procurement audits

D. Project records

E. Procurement reports

Answer: C

Question 334

Product verification is usually performed in closing process. Which of the following statement are true?

A. Product verification is a method for quantifying qualitative data to minimizes the effect of biases during select sellers B. Product verification is used to verify that work was completed correctly and satisfactorily

C. Product verification is includes samples of the suppliers previous products for the purpose of providing a way to evaluate a supplier’s capabilities

D. Product verification provides management with information how effectively the seller is achieving the contractual objectives E. Contract closure and manage stakeholders processes both perform product verification

Answer: B

Question 335

You are the project manager at a large accounting firm in the United States. Throughout the year your firm provides both consulting services and accounting/ auditing services to XYZ Widgets, Inc, a publicly traded company listed on the New York Stock Exchange. 

Currently, your project involves auditing the financial statements of XYZ Widgets Inc, in preparation for the annual shareholders/ investors meeting.

While your team is in the midst of project execution, you are informed that your project is due to new SEC regulations. Specifically, a new SEC regulation prohibits accounting firms from providing both 

consulting services and auditing services to a client, due to potential conflicts of interest that could arise from such business relationships.

Hence your project is cancelled and your project team consisting of accountants and auditors are taken off your project and reassigned to another project. Which of the following statements are true?

A. Since the project ended due to extinction, you should document the level and degree of completeness during the scope verification process

B. Since the project ended due to integration, you should document the level and degree of completeness during the scope verification process

C. Since the project ended due to starvation, you should document the level and degree of completeness during the scope verification process

D. Since the project ended due to extinction, scope verification process is no longer necessary

E. Since the project ended due to integration, scope verification process is no longer necessary

Answer: B

Question 336

All of the following are outputs the closure project process EXCEPT: A. Historical information

B. Final product, service or result

C. Administrative closure procedure

D. Contract closure procedure

E. Work performance information

Answer: E

Question 337

Which of the following establishes the procedures to transfer the project product or services to production and / or operations?

A. Formal acceptance documentation

B. Administrative closure procedure

C. Contract closure procedure

D. Project files

Answer: B

Question 338

Which of the following statements are true regarding the procurement audit tool/ technique?

A. It is a tool/ technique of contract administration B. It review the procurement process from plan contracting through contract closure

C. It review the procurement process from plan purchases and acquisitions through contract administration

D. It review the procurement process from plan contracting through contract administration

E. It review the procurement process from plan purchases and acquisitions through contract closure

Answer: C

Question 339

Which of the following formulas is used to calculate the CPI (cost performance index)?

A. EV/ AC

B. EV-AC

C. EV-PV

D. EAC-AC

E. EV/PV

Answer: A

Question 340

Historical records from previous project are generally used for all of the following EXCEPT:

A. Risk management

B. Life cycle costing

C. Project planning

D. Estimating

Answer: B

Question 341

Which of the following statements are false regarding the close project process?

A. In multi-phase projects, the close project process closes out the associated activities applicable to a given project phase B. The output of the close project includes two procedures: administrative closure procedure and contract closure procedure C. The close project process is necessary for managing the contract and relationship between the buyer and seller

D. The close project process establishes the procedures to verify and document the project deliverables

E. The close project process documents the reasons for actions taken if a project is terminated early

Answer: C

Question 342

Which process group includes processes used to formally terminate all activities of a project or a project phase?

A. Executing 

B. Closing

C. Planning

D. Initiating

E. Monitoring and controlling

Answer: B

Question 343

Earned value analysis is a performance reporting tool/ technique used in manage stakeholder’s process. Which of the following performance measurements is derived by the following formula: (EAC-AC)?

A. VAC

B. CPI

C. ETC

D. CV

E. SPI

Answer: C

Question 344

You are currently the project manager for a software development project, developing a next generation data-mining tool. Your team is developing a new software product that will help customers better manage large volumes of data, especially for data reporting purposes.

Your team has just completed one of the project phases- developing a simple prototype system. You would like to have prototype reviewed prior to deciding whether to move to the next phase of the project. 

According to the PMI, these types of reviews are NOT called: A. Phase exists

B. Milestones

C. Stage gates

D. Kill points

Answer: B

Question 345

One of your friends is a manager at telecommunications company. She is currently managing a project developing a VoIP (Voice over IP) gateway that addresses the challenges facing service providers deploying packer-based voice networks. The gateway offers a comprehensive approach to implementing high-density carrier-class voice over packet gateway applications. All the technical work has already been completed on the project, and the project is in the closing phase. Which of the following should be performed at this stage?

A. Verify the quality of process

B. Perform scope verification

C. Documents lessons learned

D. Ensure that the project is integrated with other projects Answer: C

Question 346

Which of the following statements are FALSE regarding Project closure documents?

A. Project closure documents establishes the procedures to perform product verification, update contract records to reflect final results, and archive information for future use.

B. Project closure documents and project files are outputs of the Close Project Process

C. The project closure documents provide formal documentation indicating the completion of project and transferring of project deliverables to others

D. Project closure documents includes reasons why the project was terminated and formalizes the procedures for transferring the unfinished deliverables of the canceled project.

Answer: A

Question 347

Which of the following are NOT described in the PMI’s Member Standards of Conduct?

A. Professional behavior

B. None of the choices are correct

C. Relationship with customers, clients and employees D. Relationship with public and global community

E. Responsibilities of PMI membership

Answer: B

Question 348

You work at RFID-PM Inc, a publicly traded company that develops RFID technology. Radio Frequency Identification RFID is a method of remotely storing and retrieving data using devices called RFID tags/ 

transponders. An RFID tag is a small object, such as an adhesive sticker, that can be attached to or incorporated into a product Your friend, Nelson, has asked you for the financial information regarding your company. So you decide to forward him the SEC 

(Securities and Exchange Commission) 10K filing/ financial statements from the SEC web-site. Hove you provided insider information regarding your company?

A. Although you have not provided, insider information you have violated the confidentiality agreement with your company B. Although you have not provided, insider information you have violated the non-disclosure agreement with your company C. You have not provided insider information since you merely forwarded publicly available data

D. You have not provided insider information and violated the professional code of conduct

Answer: C

Question 349

You are a project manager at a construction company who is working in a foreign country to perform reconstruction work for the various infrastructure and utility services, including water, sewage, and electricity. During your initial visit to the country, you were presented a jewelry gift valued over $5,000. you were told that this is local custom to give such gifts to business partners during their visits. What should you do?

A. Accept the gift so as not to offend anyone. However, report the gift to appropriate parties at your company so that you do not give the appearance of impropriety.

B. Since the gift will not influence your future decisions, you can accept the gift as there is no conflict or interest

C. Explain that the gift may be constructed as a conflict of interest and hence you cannot accept the gift

D. Since accepting the gift may give the appearance of impropriety you should decline the gift

Answer: A

Question 350

You are the project manager within and information technology department of a large retailer. You are responsible for updating the network infrastructure of the company. As a project manager, you are in the Select Sellers process, and have four different vendors on your qualified sellers list.

One of the vendors on your list has invited you and your family to Hawaii for a “convention”. The vendor assures that the convention is for legitimate business purposes and will be helpful in letting your company better evaluating their offerings. However, you are hesitant to accept the gift. To appraise your concerns, the vendor tells you that they will be doing a demo of the systems and other members of your project team in the past have attended. What should you do?

A. Since the previous project managers has accepted the gift, the precedent has already been established within the organization. 

Hence, you can freely accept the gift

B. Since you suspect that the meeting does NOT have legitimate business purpose, you should not accept, the gift, as it may give an appearance of impropriety

C. You can freely accept the gift, since the trip has a legitimate business purpose. The vendor will be providing information regarding their systems.

D. Since the convention may be useful, you may accept the invitation. However, you should report the acceptance of the gift to the appropriate people in your organization so that your actions are not questioned later on.

Answer: D

Question 351

Which of the following processes is considered the most effective process to ensure that cultural and ethical differences do not impede success of your multi-national project?

A. Team building activities

B. Collocation

C. Training

D. Norming

E. Delphi technique

Answer: C

Question 352

You are the project manager within an information technology department of a large retailer. In order to allow for better real-time tracking, inventory control, and supply chain management, your 

company is financing a project to install and deploy RFID tags on all items of merchandise. As a project manger, you’ve just completed the Select Sellers process, and selected a vendor to perform the RFID 

installation and deployment.

After the contract is assigned with the vendor, the account manager from the vendor calls for thank you for selecting them. As a thank-you gift, they would like to give you and your project team tickets to a free dinner convention, where the vendor will be providing a demo if their latest RFID systems. How should you respond?

A. You should not accept the gift, unless the vendor is willing to extend this gift to other members of the project team B. You can freely accept the gift, since you were not aware of the gift during the selection process. The gift will not influence your decisions, and hence, there is no impropriety

C. You should not accept the gift, as it may have an appearance of impropriety

D. You should accept the gift, as long as you tell the vendor to give you the gift privately

E. You can accept the gift, as there is no appearance of impropriety with this type of gift.

Answer: C

Question 353

Which of the following statements are true regarding the project charter?

A. The project charter describes the business needs of the project and should be published by a manager external to the project B. The project charter describes the business needs of the project and should be published under the name of the project sponsor C. The project charter does not describe the business needs of the project and should be published under the name of the project manager

D. The project charter describes the business needs of the project and should be published under the name of the project manager E. None of the statements are true

Answer: A

Question 354

Which of the following statements are NOT true?

A. Ambiguous jurisdiction is more common in a weak matrix organization than a projectized organization

B. Ambiguous jurisdiction is more common in a functional organization than a strong matrix organization

C. Ambiguous jurisdiction is more common in a strong matrix organization than a weak matrix organization

D. Ambiguous jurisdiction is more common in a functional organization than a strong projectized organization

Answer: C

Question 355

You are the project manager for an information technology division of a large health care provider in the United States. Due to the new regulatory requirements enacted by HIPAA to ensure the privacy of confidential medical records, you have been assigned to audit all I.T 

systems to ensure compliance. 

You need to ensure that all data stored in the data base is encrypted to ensure confidentiality. You need to ensure that all users are properly authenticated. You also need to verify that authorization to confidential information follows the least privilege principle The deadline to ensure compliance with HIPAA regulations is within 120 days. Failing to complete the project within 120 days will result in significant fines to your organization. You have been given a budget is fixed and cannot be increased.

Which of the following statements are true?

A. This project came about due to legal requirements, and the primary constraint is schedule

B. This project came about due to risk mitigation, and the primary constraint is budget

C. This project came about due to legal requirements, and the primary constraint is the budget

D. This project came about due to risk mitigation, and the primary constraint is schedule

Answer: A

Question 356

You have been recently hired to be a project manager at a software company to develop the next generation anti-virus software program. 

The project requires significant coordination across multiple departments, from engineering to QA to manufacturing. You are concerned whether you’ll have enough influence and authority to manage the project priorities across these various departments. What should you do in this situation?

A. Evaluate the organizational structure to understand your level of authority in managing the project

B. Enhance the project charter to officially grant you the authority you need to manage these separate departments

C. Negotiate with senior executives to obtain necessary levels of authority across the departments

D. Focus on improving your assertiveness in order to influence the other departments

Answer: A

Question 357

Which of the following statements are true regarding the project statement of work?

A. The project statement of work is one of the outputs to the develop Preliminary Project Scope Statement process.

B. The project statement of work describes the factors that influence the project’s success, including company culture, marketplace conditions, stakeholder risk tolerance etc.

C. The project statement of work is one of the outputs to the develop project charter process

D. The project statement of work describes the business needs, product scope description, and strategic plan for the project.

E. The project statement of work describes the processes and procedures for conducting work and knowledge base for storing and retrieving information

Answer: D

Question 358

One of your friends is a project manager at a computer security company. She is currently managing a project for the development of a NAC (network admissions control) appliance that uses the network infrastructure to enforce security policy compliance on all devices seeking to access network computing resources, thereby limiting damage from emerging security threats.

Her project team has just completed the initial project budget and schedule and is ensure what to perform next. Which of following would you recommend as the NEXT BEST action to perform?

A. Identify project risks

B. Develop the WBS

C. Start project iteration

D. Develop the PDM

E. Identify communications requirements

Answer: E

Question 359

You are an information security project manager responsible for securing your corporate network. Due to new regulations mandated by the Sarbanes-Oxley act, your company’s upper management has tasked you with securing the company’s network infrastructure.

You have just completed the develop preliminary project scope statement process. However upon review you’ve determined the resulting  preliminary project scope statement is ambiguous and poorly written. A poorly written Preliminary Project Scope Statement will directly impact all of the following EXCEPT:

A. Ability to define, prepare and integrate all subsidiary plan into the project management plan

B. Ability to create project scope management plan that defines how the project scope will be defined and managed

C. Ability to create the work breakdown structure

D. Ability to develop the detailed project scope statement as the basis for future project decisions

Answer: C

Question 360

You are currently the project manager for a software development project, developing a next generation data-mining tool. Your team is developing a new software product that will help customers better manage large volumes of data, especially for data reporting purposes. 

Midway through the project your customers has asked you to add additional reporting functionality to the software, specifically to correlate sales data across multiple geographic regions based on time. 

The functionality was NOT part of the original project plan. This is an example of which of the following?

A. Crashing the schedule

B. Scope creep

C. Gold plating

D. Fast tracking

E. Inadequate project planning

Answer: B

Question 361

Which of the following describes the following organizational structure?

A. Weak matrix Org

B. Projectized Org

C. Strong matrix Org

D. Balanced matrix Org

E. Functional Org

Answer: C

Question 362

You are the project manger at a utility company. Due to the recent rise in the cost of petroleum, your organization is exploring cheaper, alternatives forms of energy. You are in the process of developing the project charter. All of the following are tools/ techniques that you can use to develop the project charter EXCEPT:

A. Project management methodologies

B. PMIS

C. Alternatives identification

D. Project selection methods

E. Expert judgment

Answer: C

Question 363

You are the project manager for a large children’s toys manufacturer. 

You’ve been asked to manufacture the latest craze in “Dancing Widgets” for the upcoming Christmas season. You’ve been informed that the company needs at least one month lead time to distribute the 

Widgets in order to have the Widgets on retailers shelves for the Christmas season.

Hence, based on the current sales forecast you have been asked to deliver 100,000 units by august 1st at the latest. Which document describes the business needs for this project, identifies key deliverables, and gives you authority to begin the project and start assigning resources?

A. Ishikawa document

B. RFQ

C. WBS

D. RFP

E. None of the choices are correct

Answer: E

Question 364

You are the project manager at Happy Coffee Café, a rapidly growing franchise selling premium blended coffee. Currently, your company is planning on opening additional stores through the United states. Your target markets primarily include densely populated metropolitan areas. 

Your company is evaluating different areas for expansion, including New York, San Francisco, and Seattle. Based on your market analysis you have obtained the following information:

New York-IRR (33%), payback period (1.5 years)

San Francisco-IRR (45%), payback period (1.1 years) Seattle-IRR (36%), payback period (0.75 years)

Based on this data which area is best for Happy Coffee Café?

A. New York since IRR is lowest

B. Seattle since payback period is shortest

C. San Francisco since the IRR is the highest

D. New York since the payback period is the longest

Answer: C

Question 365

Which of the following statements are true regarding straight line depreciation?

A. It is a method that is calculated by subtracting the salvage value of the asset from the purchase prices, and then dividing this number by the estimated useful life of asset.

B. It is determined by subtracting current liabilities from current assets

C. It is the length of time it takes to recoup the initial cost of investing the project. This method compares the initial investment with the cash flows expected during the life of the project.

D. It is the discount rate at which the present value of the future cash flows of an investment equals the cost of initial investment Answer: A

Question 366

Which of the following is NOT a valid reason to authorize a project?

A. Risk mitigation

B. Social needs

C. Customer requests

D. Legal requirements

E. Technological advance

Answer: A

Question 367

Which of the following statements are TRUE regarding the difference between a project expeditor and project coordinator roles?

A. The project expeditor has some authority and power to make decisions

B. The project expeditor reports to a higher level manager C. The project expeditor cannot make or enforce decisions D. The project expeditor is found more often in a strong matrix organization

Answer: C

Question 368

You have been assigned to a project to build the largest U.S. natural gas pipeline project in more than 20 years. The proposed 1,350-mile, 42-inch diameter pipeline will provide valuable infrastructure allowing producers in the Rocky Mountain region to deliver their natural gas to attractive markets in the Midwest and northeastern parts of the U.S.

You are in the project planning process where you are involved in identifying the specific schedule activities that need to be performed to produce the various project deliverables. During this process one of your team members identifying an activity that need to be accomplished. However, another team member, based on this interpretation of the project scope statement, believes that the activity 

is outside the scope of project. Which of the following is the BEST 

action to take?

A. Mediate between the team members until consensus is reached B. Ask clarification from senior management

C. Research the issue personally, and make an informed decision D. Ask clarification from project sponsor

E. Ask clarification from the change control board

Answer: D

Question 369

You are the project manager for an information technology division of a large financial services firm in the United States. Your company offers a web based trading platform that provides options and futures trading for U.S commodities markets. Due to the rise in popularity of futures and options trading, your company has grown rapidly. In fact, due to rapid growth, the company’s I.T. infrastructure is unable to meet the growing demands.

To keep up with the demands you have been assigned the responsibility of upgrading the company’s network and company’s infrastructure. You have been asked to calculate the payback period for the project that is to be completed in the next 24 months.

A. 4.5 years

B. 4 years

C. 5.5 years

D. 3 years

E. 2 years

Answer: B

Question 370

You are the project manger at XYZ Software Corp, a U.S software company developing enterprise Human Resources Applications. You’ve been asked to reduce the company’s engineering costs by developing an off-shore software development centre.

Recently a senior VP of engineering has expressed concerns over the project plan. His concern is that if the project is implemented as planned, he’ll have to layoff a substantial portion number of US based software engineers. The organizational impact of the layoffs is substantial and was not taken into consideration during the project planning?

A. The conflict between the project sponsor and senior VP should be resolved in favor of the project sponsor.

B. Based on the input from the senior VP, you should file a change request item to adjust the project plan accordingly.

C. Since the impact of the layoffs was not taken into account during project planning, the project should be definitely postponed until the impact can be thoroughly examined. The project plan should be revised to accommodate for the organizational impact of the layoffs.

D. The conflict between project stakeholders should be resolved in favor of the customer

E. The conflict between the project sponsor and the Senior VP 

should be resolved in favor of the Senior VP.

Answer: B

Question 371

Which of the following statements about fast-tracking is TRUE?

A. One of the advantages of fast-tracking is that it can often lead to reduced rework and reduces project risks.

B. Fast tracking is the process of increasing the schedule by overlapping various project tasks.

C. None of the statements are true

D. Fast tracking refers to assigning additional resources to a project in an attempt to decrease project schedule/ timeline. 

E. Fast tracking involves performing activities sequentially Answer: C

Question 372

Which of the following best describes cost incurred in the past whose total will not be affected by any decisions made now or in the future?

A. Indirect cost

B. Variable cost

C. Direct cost

D. Sunk cost

E. Fixed cost

Answer: D

Question 373

Which of the following best describes fast-tracking?

A. None of the choices are correct

B. Process of quickly identifying the characteristics of a product C. Process of starting a new task prior to the completion of current project tasks

D. Process of soliciting proposals from prospective vendors and sellers

Answer: C

Question 374

One of your friend is a project manager at a natural gas energy company. He is managing a project for the construction and operation of pipeline facilities at U.S. points of entry for the import or export of natural gas. The company had performed a similar project a couple years ago.

This is the critical project for the company and he is under a tremendous pressure to deliver the project. Unfortunately, he is new to the company and the project is growing in size every day. He is starting to feel overwhelmed by the project. What is his BEST course of action?

A. Ask for additional resource from his supervisor

B. Determine stakeholders expectations and manage their influence C. Ask the previous project manager for assistance

D. Obtain the historical records and guidance from the PMO

Answer: D

Question 375

Which of the following regarding project charter is FALSE?

A. The project charter grants authority to the project manager to initiate the project

B. The project charter should be published by the project manager C. The project charter authorizes the  project

D. The project charter describes the business needs for the project, such as marketing demands, legal requirements, technological advances

Answer: B

Question 376

Which of the following statements are TRUE regarding the scope verification process?

A. None of the statements are true

B. The tool/ technique of scope verification is inspection C. Scope verification is primarily concerned with verifying the correctness of work results

D. Scope verification involves evaluating overall project performance to ensure that the project will satisfy specified project requirements

Answer: B

Question 377

Which of the following are tool/ technique of Perform Quality Control that involves measuring or testing results to determine whether they confirm to the requirements and quality standards?

A. Sampling

B. Pareto diagram

C. Inspection

D. Control charts

E. Monitoring

Answer: C

Question 378

You are the Chief Technology officer of a major Stock Exchange. You are in charge of a project to reengineer the organization’s bank office accounting, billing and administrative systems. Your project team is in the process of implementing the technical work required for the project. However, one of the stakeholders for your project is requesting minor changes to the project deliverables. You call a meeting with your project team to determine how to best proceed with the change. This is an example of which of the following?

A. Management by objectives

B. Lack o change control system

C. Inadequate levels of decomposition of the work packages D. Team consensus building

E. Proper integrate change control

Answer: B

Question 379

You are in the process of controlling changes to a project baseline. 

Which of the following is the LEAST helpful input?

A. Project funding requirements

B. Cost baseline

C. Activity cost estimates

D. Performance reports

E. Work performance information

Answer: C

Question 380

You have been assigned to a project to construct a 18-hole golf course, featuring 7,500 yard, par-72 course that has a magnificent tropical setting. You’ve calculated the estimated project completion date. However the estimated completion date is 5 months after the desired completion date. After analyzing the project network diagram, you’ve determined that many of the activities have discretionary dependencies. To decrease the project duration you’ve requested additional resources, but were told that NO additional resources are available for your project. Assuming that the project has low risks, which of the following is the BEST plan of action?

A. Skip risk management planning

B. Omit a project activity

C. Fast track the activities

D. Crash the schedule

E. Reduce the quality of deliverables

Answer: C

Question 381

You are in the process of monitoring the various project processes and their performance. Which of the following is the LEAST appropriate output of this process?

A. Requested changes

B. Recommended defect repair

C. Recommended preventive actions

D. Recommended corrective actions

E. Project scope statement updates

Answer: E

Question 382

Which of the following best describes secondary risks?

A. Risks that still remain after implementing a risk response B. Risk that arise due to quality issue

C. Risk that come about as a direct result of implementing a risk response

D. None of the choices are correct

Answer: C

Question 383

Which of the following tools/techniques can be used to help ensure that project work tasks will NOT be duplicated by multiple team members?

A. PMIS

B. Change control board

C. Work authorization system

D. Change control system

E. Configuration management

Answer: C

Question 384

You are in the process of monitoring the various project processes and their performance. Which of the following are you LEAST concerned with during this process?

A. Analyzing and tracking project risks

B. Monitoring the implementation of approved changes

C. Comparing actual project performance against project management plan

D. Providing forecast to update current schedule information E. Assessing information to determine whether corrective actions are necessary

F. Reviewing and approving all recommended corrective and preventive actions

Answer: F

Question 385

You are in the process of controlling changes to the project scope. All of the following are outputs of this process EXCEPT:

A. Scope baseline updates

B. Requested changes

C. Recommended corrective actions

D. Activity list updates

E. Project management pan updates

Answer: D

Question 386

Which of the following statements are true regarding bar charts?

A. Bar charts are generally better at illustrating the resource trade-offs compared with network diagrams

B. Bar charts are generally better at illustrating progress or status compared with network diagrams

C. Bar charts are generally better at illustrating critical paths compared with network diagrams

D. Bar charts are generally better at illustrating logical relationship compared with network diagrams

Answer: B

Question 387

Which of the following scheduling techniques focuses on managing buffer activity durations and the resources applied to the planned scheduled activities, instead of managing the total float of network paths?

A. What-if scenario analysis

B. Critical chain method

C. Critical path method

D. Monte Carlo analysis

E. Variance analysis

Answer: B

Question 388

Keeping up with the growth was becoming a problem for a privately owned Chinese financial services company. Although it easily lured business from state-owned competitors, low skill levels and weak accounting systems threaten the company’s cash flow. Moreover, poorly invested assets were delivering inadequate returns.

Hence, you have been assigned over an existing project to upgrade the IT system to allow for an expansion. Specifically, the IT upgrade will enable the company to serve more competitors, expand the product line, gain market share, and win more licenses.

The previous project manager for the project lacked an understanding of project management principles. In fact, upon close investigation, you’ve determined that the project lacks clearly defined project deliverables and lacks management control. Which of the following would be the BEST approach to resolve these short comings?

A. Implement a network authorization system

B. Subdivide the project deliverables into smaller, more manageable components until the work is defined to the work package level

C. Implement a project control system

D. Incorporate a system life cycle approach to the project E. Integrate a lessons learned for each project phase Answer: D