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PMP test #1 Questions and Answers
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Q # Question A 1 Key deliverables 2 3 When is the cost highest in the project life cycle? At the initiating phase 4 5 Balanced Matrix 6 Which of the following activities is part of the initiating phase? 7 Project Management Plan 8 9 Business Need 10 Analogous Estimate 11 -50% to+100% During the initiating stage, which of the following elements will be identified to meet the project goals? A car manufacturing company conceptualized a new car that will be more fuel efficient, ergonomically designed, and that satisfies the latest safety regulations. This car was recently launched and has now moved into full-fledged production. This is an example of: Operation as the company in into car manufacturing, which is an ongoing process As a part of Stakeholder Management, a Project Manager can follow all of these management practices, EXCEPT: Identify all the stakeholders and capture them in the project team directory After a high-level management meeting, the manager chairing the meeting asks the Project Manager to document and communicate the action items to all stakeholders. The Project Manager is a part of a ___ organization structure. Develop stakeholder management plan A Project Manager has just been assigned to a project. He is involved in creating a document that would formally authorize the project and capture initial requirements of the stakeholders. What is the output of this process? Which of the following statements DOES NOT describe the essence of Integration Management in the context of Project Management Balancing of competing objectives and the exploration of alternate actions A Project Manager is going through the Project Statement of Work provided by the project sponsor. Which of the following will NOT be a part of this document? You are the Project Manager of a project for which a prototype was recently delivered. The sponsor of the project calls you and gives you an overall estimate for the project. This form of estimate is known as A Project Manager who has just been assigned a new project has been asked by his sponsor to come up with an initial cost estimate called a Rough Order of Magnitude. This would typically fall in which range?
16 Which of the following is NOT a project? Campaigning for an election 17 18 19 Project Management Plan 20 Project Purpose of justification 21 In a meeting, the Sponsor has discussed three porjects with you: Project A with New Present Value of $55,000 and a payback period of 5 years; Project B with New Presetn Value of $95,000; and Project C with a payback period of 10 years. He provides you with additional information about the projects and intends to assign you as the Project Manager for the selected project. As Project Manager, you are NOT expected to: Conduct project selection methods to select one of the three projects discussed with you by the sponsor to evaluate feasability of new products and services There are three projects A, C, and C. NPV for projects A, B, and C are 50k, 80k, and 40l respectively. In a meeting, the management unanimously has chosen projects A and C. What is the opportunity cost of the project? A project is in the initiating stage, and the Project Manager is identifying project communication constraints. Which of the following could be a valid constraint? The project could face high attrition rate A Project Manager is responding to a business proposal from an overseas company. Which of the following should he refer to as a guide to understand the business practice(s) that are allowed and discouraged? Procurement documents, including contract statement of work You have been assigned to a large construction project, and you are in the "Initiating" process group. You have identified the project stakeholders using a stakeholder analysis tool and defined the high-level scope of the project. During these activites, you have identified a key project limitation regarding the project location. What is the BEST option for you in this situation? Document the project limitation as a project constraint The Project Manager is participating in the development of a project charter by gathering and analysing the stakeholders' requirements and ensuring that the project scope, milestones, and deliverables are documented correctly. Which of the following is NOT achieved by the sponsor's approval of the project charter? Formalizing the authority assigned to the Project Manager Which of the following is NOT an input to the "Plan Stakeholder Management" Process? John has been assigned to a project recently, and he is in the process of documenting the project charter with the project sponsor. Which of the following MUST he include in the Project Charter? As a Project Manager of a large project with hundreds of stakeholders, which of the following is the best course of action? Incorporate needs of only important stakeholders
30 Finish to Start (FS) 31 28. 32 Mandatory Dependencies 33 34 Fast tracking 35 36 Earned Value Technique 37 Cost Benefit Analysis 38 Earned Value You are a Project Manager. In the process of sequencing activities for your project, you create a schedule network diagram that uses boxes called nodes to represent activities and connects them with arrows to represent logical relationships between them. What is this popular scheduling diagram known as? Precedence Digramming Method (PDM) As a Project Manager, you are in the process of identifying and documenting relationships among project activites. You are using the Precedence Diagramming Method (PDM). Which of the following relationships are you UNLIKELY to use for this purpose? As a Project Manager, you are estimating the duration of your project activites using PERT (Program Evaluation and Review Technique). For a particular project activity, your Optimistic estimate is 14 days, Pessimistic estimate is 47 days, and Most Likely estimate is 27 days. What should be the expected duration of this activity? Sub network of fragment network templates are most useful when the project has MANY: As a Project Manager, you have created a Resource Breakdown Structure (RBS) for your project. Which of the following statements is NOT TRUE about Resource Breakdown Structure (RBS)? It is a heirarchical structure of resources A Project Manager is managing a project that has constraints on the availability of required resources throughout the project. He needs to rearrange the schedule in such a way that a constant number of resources are used each month. Which of the following techniques should the Project Manager use to achieve this? A project team is in the process of estimating the types and quantities of resources required to perform each activity. Which of the following activites will NOT be done by the team during this process? Estimate the type and quantity of resource required to perform each activity Which estimate technique does the Program Evaluation and Review Technique (PERT) use to define the approximate range of activity costs? Your project team is involved in estimating the cost of the project as a part of project cost management. Which of the following tools and techniques will NOT be applicable for this purpose? The common term for an authorized time-phased budget, which included the Budget at Completion (BAC), used to measure cost performance, and displayed in the form of an S- curve is:
39 Plan Quality Management 40 Develop the high-level budget 41 Which of the following is an example of external failure cost? Cost of testing 42 43 Project Organization Chart 44 Project Management Plan 45 Staffing Management Plan 46 A project team is in the process of identifying quality requirements and standards for the project. It is documenting how the project will demonstrate compliance. The team has referred to organizational process assets and is using tolls like statistical sampling and control charts. Which process of Quality Management is the project team performing? Which of the following is true with respect to Plan Cost Management? A project team is ahead of schedule, and its SPI and CPI are currently 1.4 and 1.2 respectively. The Project Manager and the team are brainstorming about the scope of the next milestone delivery. They have found that including an additional feature would enhance the usability of the product and can be compressed in the current schedule. What should the project team do next? Add this feature in the next release as long as it doesn't affect the delivery date You are the Project Manager of a large team with people from diversified locations. There are many groups within a project, such as architects, human resources, legal, quality engineers, etc., eith their own hierarchy and reporting structure. In order to ensure that each team member has clarity on their own and other members' reporting structure, you decide to capture all of this information graphically. Which of the following documents will you be using for this purpose? A Project Manager wants to capture information related to staff acquisition and release, training needs, resource calendar, recognition, and rewards. Which of the following documents would be most appropriate? You are a Project Manager in an organization with a funtional structure; hence, it is important that you negotiate suitable resources for your project from the funtional manager. Which of the following tools could be a valuable asset to prove your project resource requirements to the functional manager? In a project kick-off meeting, there is utter chaos, with all the attendees talking simultaneously. The Project Manager is not able to present his report due to the commotion, and the stakeholders feel that their expectations are not being met properly. Also, many of the invited attendees are not present. What much have the Project Manager done to avoid this situation? Communicate the agenda of the meeting clearly to all the Stakeholders
55 Cost Reimbursable 56 Cost Plus Fixed Fee Contract 57 58 59 60 61 You are a Project Manager in a construction company and urgently require some expert welders for a short duration. You checked their availability internally with the funtional manager, but the funtional manager is not able to match the skills required. You decide to acquire these resources on contract. Which of the following is the BEST type of contract for your requirements? A contract type where the seller is reimbursed for all allowable costs for performing the contract work and received a predetermined incentive fee based on achieving certain performance incentives is: A Project Manager is in the process of preparing a plan that documents how the procurement process will be managed: from developing procurement documents to contract closure. She is also going through project requirements and scope documents with the team and discussing different contract types to decide the one most suitable for the project. Acording to you, which process of procurement management is the Project Manager in? Plan Procurement Management A Project Manager has used a popular cost estimating model to come up with cost estimated for his upcoming project. However, the sponsor asks him to add 15% to the total cost estimate as the customer always negotiates and asks the prices to be reduced by 10% to 15%. What is the BEST option for the Project Manager? Do as the sponsor says as she is your senior and project sponsor. A large project with a team of 150 people is in the planning stage. It will span over a duration of 3 years and is under strict budget. A Project Manager is using the project charter to assess the detailed project requirements in consulatation with the stakeholders and to establish the key project deliverables. he sets his project quality objective based on the organization capability baseline set by the quality policy. However, one of the stakeholders refuses to accept this and asks him to reduce the quality objective as it will help cut down cost of quality of the project. He also refuses to approve the project if the Project Manager does not agree to his suggestion. What should the Project Manager do? Explain to the stakeholder that Cost of Quality is less than the cost of the project After a project management plan is prepared and approved, a project stakeholder asks the Project Manager to correct some syntax and grammatical errors in the project document as they could be misleading. What should the Project Manager do? Refuse as these are trivial changes and can be ignored You are a Project Manager, and your project sponsor has asked you to come up with the total funding requirements of the project. What will be the total funding requirements for your project? The total approved budget by time period
63 Invitiation to bid 64 65 66 Functional 67 68 Cost and Schedule 69 Stakeholder risk tolerance 70 A work authorization system is a: 71 A project has a project manager, a sponsor, a human resource specialist, a quality analyst, and seven team members. How many communication channels are possible in the project? A Project Manager has submitted a formal document that describes the procurement item in sufficient detail. This document allows prospective sellers to determine if they are capable of providing the product and details methodology and results that will be provided to the buyer. What is this called? Which of the following is NOT true about the human resource plan created by the Project Manager during the planning process group? Defines the roles and responsibilities of the project team members You are a Project Manager for a big project, and quality is a top priority. You have devoted a lot of the project time to the creation of the quality management plan. What is the advantage of the quality management plan? Prevents defects from reaching the customers A Project Manager is trying to successfully complete a project, but her role in the organization is limited and she has no control over project budget. Although she has some power to authorize decisions, she needs to seek approval on most of the major decisions. Also, her team members work only part- time on the project. The Project Manager is in a ___ organization. How is the role of the project expeditor difference from project coordinator? Project coordinator has some power to make decisions You are working on a ctrical project for a large enterprise. The project has a major milestone delivery next week and is in the final testing phase. The project team is working on two critical showstopper bugs that are affecting the project. One of the senior members of the project has resigned, and the outsourced component that was scheduled for delivery next week may be delayed. Additionally, the current performance indices are 1.09 (CPI) and 1.9 (SPI). What is the MOST critical issue faced by the project? Which of the following is NOT an enterprise or environmental factor that can influence, direct, and manage project work? Part of change control system in a project Which of the following processes does not have defect repair as one of the outputs? Perform Integrated Change Control Process
80 Schedules 81 Budget and schedule 82 Norming 83 Training 84 Formal (Legitimate) 85 86 87 88 Functional Organzation Which of the following is the MOST COMMON reason for conflict? In order to achieve the project deliverables, the project manager has to manage task execution based on project management plan. In doing so, which of the following elements should be considered? You are managing a large diversified project team. In the initial days of the project, the team members behaved like independent individuals and seemed reserved, learning about their roles and responsibilities. Then, as the team began to work on the project and participate in technical decisions, their trust level grew. The team members now support each other's needs and work together. According to you, which stage of team development is the team in? Which of the following is NOT a technique used in "develop project team" process? You have delivered many complex and technically challenging projects in the past and have won respect and appreciation for your work from the customers and senior managers in the organization. Which form of power are you using? A new Project Manager takes over a project during the execution phase. One of the main issues faced by the project is that the customer complains of poor visibility on the project. What should be his first step toward resolving the issue? Have a discussion with the customer to understand why he feels the project lacks visibility You are managing a large project that has many stakeholders across various departments in the organization. During the planning stage, you created a communication management plan based on the project organization structure and external stakeholder requirements in order to manage the flow of project information. During project execution, one of the stakeholders contacts you and informs you that his expectations have not been completely accounted for in the project. What should be your BEST response to the situation? Understand his expectations and update project documents accordingly, starting with stakeholder register A software project run in an IT company has 14 stakeholders and is in the final testing stage. At this point, the technical architect leaves the project and two new test engineers join. What is the change in the potential communication channels of the project? Communication channel would remain unaffected by change in team members. Which of the following types of organizations would have the most complex communication management?
90 Cost Reimbursable 91 18k 92 93 94 95 96 97 You are a Project Manager of a software project that has finished the design stage and is moving to the implementation stage. At the end of the design phase, you got the document reviewed and you tracked and closed the defect logs. Also, as part of the design stage review and kick-off for the implementation phase, you checked current SPI and CPI and revisited the risks. What did you forget to do? Identify new risks for the next stage and update risk register In which of the following types of contracts does the buyer have the MAXIMUM cost risk? A cost reimbursable contract has an estimated cost of $20,000. If the seller beats the cost, 80% of the savings will go to the buyer and 20% will go to the seller. If the actual costs come in at $18,000, what is the final price? A project team is in the process of obtaining seller responses, selecting a seller, and awarding a contract. For this purpose, the team is using some predefined selection criteria to evaluate the bids and select the most appropriate seller. Which process of project management is the project team working on? Plan Procurement Management A Project Manager is involved in a procurement management process in a centralized contracting environment. He is assigned a full-time contract manager who reports to him for the project. In this scenario, which of the following is usually NOT the role of the Project Manager? Provide increased expertise in contracting and also guide the team on standardized company practices A Project Manager is forced to give a contract to a preferred supplier as he has a strict deadline to meet. What could be the BIGGEST risk in this situation for the Project Manager? The seller has not proven that he has required expertise and resources to take this assignment Your company is bidding for a major project from Company X. You have a friend in Company X, and he requests your help in evaluating the proposals. What action should you take? Accept the friend's request and work impartially while helping on the proposal evaluation As a Project Manager of a complex and relatively new technology, you have asked for an expensive training for yourself and the team from the project sponsor. Although the sponsor has agreed to your request, he asks you to start the project in the meantime. Which of the following is NOT an option for you? Since you have already asked your sponsor for training, you can do nothing to enhance your skills in the meantime A Project Manager has worked on many challenging projects and has managed teams across the globe in the last 20 years of his career. Now, he intends to share his best practices and lessons learned throughout his professional career. The Project Manager is: Enhancing his professional skills by evaluating his experience and strengths
108 Work around 109 Deliver incomplete activity 110 111 Bidders Conference 112 Sponsor 113 Problem Solving 114 Performance improvements include all, BUT: 115 Vacation time 116 117 Cohabitation 118 Force Field Theory 119 During the project, you and your team discovered that a key project component was stolen. As this was not planned for, the team decided to launch the product without the stolen component. This is an example of: During the project execution, the status report shows that an activity on the critical path is delayed. As a Project Manager, what should you do? As a Project Manager, you are assigned to a project that will be outsourced. The next step is to organize a formal bidding process and select the vendor for the project. You own stock in one of the vendor companies that participated in the bidding process. What is the BEST course of action for you? Select the vendor company in which you own stock Which of the following is NOT a tool used in the "conduct procurements" process? The Project Manager has discovered that two team members have had a disagreement over the procurement of the project component. The Project Manager suggests that the team members compromise. The team members are also willing to resolve the conflict. Who should decide the best course of action? The primary communication skill the Project Manager will use when working with the functional manager is: Improvements in amount of overtime worked Herzberg divided motivation factors into two classes: satisfiers and dissatisfiers. Examples of satisfiers are: A Project Manager is concerned about team building on her project. One of the mandatory things that the project manager must have for good team building is: Commitment from top-level management A Project Manager is managing a project where there will be a number of persons working together. She wants to enhance the ability of the team to work together and perform as a team. One of the things she can do to enable this is: Tom always delivers his projects on time and within budget. He believes that his success can be explained by the fact that he makes all of the project decisions himself and then enforces those decisions with an iron hand. His management style is best described by: Which of the following is NOT a purpose of the configuration management system? Ensure all the project team members have the latest version of the project document
123 Planning 124 Work Performance Information 125 126 1200 127 128 Milestone Chart 129 Increase in Project Cost A project is in the final stage of testing when it receives a major change request from the customer. This would delay the final delivery of the project by 2 weeks. What should the Project Manager do NEXT? Create a change request and go through the change management process You are a Project Manager, and your team recently encountered a major change in the project. This change was evaluated for its impact on the triple constraints and went for approval to the Change Control Board (CCB). The CCB, which is comprised of important stakeholders of the project, approved the change. The project documents were updated through the configuration management system. What should the project team do NEXT? Explore options to reduce the effect of change A Project Manager working on a critical deliverable encounters a major change that affects the schedule baseline and the next milestone deliverable. This change cannot be accommodated within the current project management plan. What is the BEST option for the Project Manager? Avoid the change as it gravely affects the project deadline Measuring project performance using appropriate tools and techniques in order to identify and quantify variances and corrective actions is part of _______ process group. A Project Manager is in the process of comparing actual performance to the scope statement to determine variances, evaluate possible alternatives, and take the appropriate action. Which of the following will NOT be an output of this process? During the project lifecycle, a Project Manager can change the schedule baseline ONLY through: Customer-defined change in the schedule For a project, Earned value = 600, Actual Cost = 400, and Estimate to Completion= 700. What is the estimate at completion? Your project is expected to be delayed by 6 days from the scheduled final delivery date. Your current CPI is 1.5, and the project risks are low. You also have many discretionary dependencies on the project. You don't have access to any more resources for the project. Which of the following would be the BEST alternative to bring the project back on schedule? Reduce the number of resources from an activity A Project Manager has to discuss project progress and track status with the project team. Which of the following would be the MOST relevant format for this purpose? A project has been severely delayed, and the Project Manager is trying his best to bring it back on schedule. To expedite the work, he has added more resources and has asked them to work overtime. Which of the following could NOT be a possible outcome of crashing a project?
140 Control Chart 141 Histogram 142 143 144 Work Performance Index 145 Budget Forecast 146 147 148 Identify Risks You are heading a software development project team that has many new members working for the first time. You ensure that the team diligently gets its work products reviewed by an external reviewer and closes the defects before moving to the next stage. However, the last few review reports have captured a high numbers of defects, including many careless mistakes. According to you, what is the root cause of the problem? Since most of the team members are new and inexperienced, a high number of defects are expected A popular tool used to monitor project performance, including cost and schedule variances, and ensure that process operates within acceptable limits is called: A project team is analyzing a major, critical defect to determine the root cause. In order to do this, the team considered various factors linked to the defect and grouped them into categories such as Machine, Method, Material, and Manpower. Which of the following tools of quality is the team using? Which of the following CANNOT be considered an indicator of a team's effectiveness? Improvements in skills that allow the team to perform assignments more effectively During the testing phase in the project, a senior manager, who is also an important stakeholder in the project, tells you that he no longer wishes to receive weekly status reports. Instead, he wants periodical project performance reports. What should your response be to his request? Make the manager understand that since he is a major stakeholder and the project is in a critical stage, status reports will be important to know project progress As part of 'Manage Communications' in Communication Management, which of the following analysis or information would be most relevant to a sponsor or senior management of the project? In addition to Work Performance Information, which of the following is an output of the process 'monitor communications' in Communication Management? During an informal gathering with stakeholders of the project, the Project Manager overhears one stakeholder expressing dissatisfaction over the project's progress reporting and communication. How should the Project Manager respond? Ignore the incident as the stakeholder was not directly and formally addressing the Project Manager A senior technology manager in the organization wants to know the project status with respect to major deliverables and key external interfaces. Which format should the project manager use in his performance report to capture this graphically? Project Schedule Network Diagram During the audit, you realize that many of the risks were not identified during the planning stage, so you decide to reassess project risks. Which process are you in?
149 Control Procurements 150 151 152 153 154 155 Conduct a risk benefit analysis 156 Pareto Chart As a Project Manager, you have instructed your project team to update the organizational process assets, including the "lessons learned" database and risk management template of future projects, based on project audit findings. You are in _______ process of project management. A project has been delivered according to the contract by the project team; however, the customer is not happy. The customer feels that the deliverable has some serious defects and is far below expectations in terms of quality and functionality. What should the Project Manager do in this situation? Talk to the project sponsor to discuss the issue A Project Manager notices that the seller has discontinued sending the weekly status report, which is part of their contract. The Project Manager understands that the seller is under tremendous pressure to meet the next milestone deliverables and has been otherwise communicating the project status periodically. What should the Project Manager do in this scenario? Ignore the incident as the seller is updating him about the project status periodically A Project Manager has signed a contract with the buyer and project is moving toward completion. At this stage, the Project Manager realizes that he has missed an important functionality in the product and the contract needs to be changed to accommodate that. How should the Project Manager proceed to resolve this? Since the Project Manager has already signed the contract and the project is nearing completion, this change need not be updated in the project A Project Manager has taken up a project midway and is going through project schedules and status reports. He realizes that the previous Project Manager has inaccurately calculated the project status and that the project would definitely miss the next milestone. What should the Project Manager do in this case? Call the previous Project Manager and ask him for an explanation A Project Manager wants to qualify for the PMP examination. However, while going through the eligibility criteria, he finds that he falls short of the required experience by a small margin. He discusses this with a certified PMP professional and mentions that he is planning to lie about his experience as it is a very small margin. The PMP professional is not convinced and warns him that he should not provide false information at any point during the PMI Certification Program as it can result in: Revocation of your PMI membership You are a Project Manager of a dynamic project team. Recently, there have been some changes in the team structure, and you don't know if they would positively or negatively affect the project. What is the BEST approach to address this? A Project Manager wants to present project performance reports of his project. Which of the following formats should he use?
170 Technical documentation 171 Which of the following statements are true? 172 173 Quality management plan 174 175 176 W Edwards Deming 177 Ongoing project planning is also known as ____. Rolling Wave Planning 178 Work Breakdown Structure 179 The aim of quality is to: 180 181 Projectized 182 183 Procurement documentation is an input to the contract closure procedure. Which of the following is NOT included in this process? Contract closure and administrative closure both involve quality assurance activities Customer satisfaction should be measured at the end of the project to maintain long-term relationships. Which of the following is NOT always an aspect of customer satisfaction? The product meets its stated and unstated requirements At the close of your project, you measure the customer satisfaction and find that some customer needs were not fully met. Your supervisor asks you the steps you will take during your next project to improve customer satisfaction. Which subsidiary plan would you consult to determine this information? Your client has terminated your project before it has been completed. Which of the following is true? You must stop all work and release the team immediately Your project team has completed the project work. Which of the following is NOT done before the project is closed? Ensure that the schedule baseline has been updated Which of the following Quality Theorists advocated the 80/ principle? A step-by-step instruction guide on how to complete work or procedure is called: Ensure fitness to use and conformance to requirements A network diagram drawing method that allows loops between activities is: Precedence Diagramming Method (PDM) An organization has created a special project team to handle a critical project. The team members of this project are dedicated full-time to the project and are pulled from different functional departments. They also have their own set of operating procedures. This organization structure is MOSTLY: What is the 100% rule in the Work Breakdown Structure creation? The total work at lowest level adds up to the higher levels, so no work is left out and no extra work is completed Which of the following is NOT an example of a facilitated workshop? Joint Application Development (JAD)
187 Milestone Activity 188 189 190 A heuristic is a ____. Scheduling method 191 Halo Effect refers to ____. 192 Voice mail and e-mail are examples of: Interactive communication 193 3 sigma is equal to: 99.73% 194 Administrative 195 Customer 196 197 What is the meaning of the term 'management by objective' in project management? A management philosophy that advocates establishing unambiguous and realistic objectives and conducting periodic reviews to ensure they are being met What is the name of PMI's organization maturity model for project management? Which of the following is NOT true about a weak matrix organization? Communication will be more complex An activity that does NOT require work or time and is inserted simply to show dependency between activities is called: Which of the following factors is MOST critical to achieving customer satisfaction? Ensure that the project satisfies all the quality-related metrics Which of the following is NOT an example of contributing to the project management knowledge base? Writing an article of project management best practices The assumption that a person who is good at technology will also be a good Project Manager Skills such as Performance appraisal, recruitment, retention, regulatory issues, and labor relations are considered under _______ area. During the closing, final acceptance of the deliverables is one of the important activities. Who is supposed to give final acceptance? Choose the best answer. Which of the following statements describes the relationship between project phases and the project life cycle? The project lifecycle contains the iterative incremental elements of a project phase Which of the following is NOT true with regard to ROI (Return on Investment)? It defines the cumulated net income from an investment at a given point in time or during a defined period.