The following is only to be used by students that

have a taken Project Management Mentors exam prep training.

1. Which of the following is NOT a characteristic of a project?

A. Constrained by limited resources

B. Planned, executed, monitored, and controlled
C. Creates a unique product or service
D. Ongoing and repetitive

Answer: D Explanation: A project is a temporary endeavor undertaken to

create a unique product, service, or result. The temporary nature of projects
indicates a definite beginning and ending.

1
2. In which document would you find the code of account identifier,
description of work, responsible organization:

A. Scope Statement
B. WBS Dictionary
C. PERT/Charts
D. Responsibility Assignment Matrix

Answer: B Explanation: Information in the WBS dictionary includes, but is

not limited to, code of account identifier, description of work, responsible
organization, list of schedule milestones, etc.

2
3. All the following statements relating to Project Management Staff and the
project team are accurate EXCEPT:

A. The Project Management Staff helps develop the Project Management

Plan.
B. The Project Team is responsible for activities like planning, controlling, and
closing.
C. The Project Management Staff is a subset of the project team.
D. For very small projects, the project management responsibilities might be
shared by the entire project team or administered solely by the project
manager.

Answer: B Explanation: The Project Management Staff is a subset of the

project team and is responsible for the project management and leadership
activities such as initiating, planning, executing, monitoring, controlling, and
closing the various project phases. This group can also be referred to as the
core, executive, or leadership team. For smaller projects, the project
management responsibilities can be shared by the entire team or
administered solely by the project manager. 3
4. You are considering whether to buy or make a software product. If you
want to buy, the cost is $ 80,000, and the cost of procuring and integrating
the product in your company is $ 1,000. If you want to build it yourself, the
product will require seven engineers working for three months. The salary
of each software engineer is $ 4,000 per month. The other related
miscellaneous costs budget allocated to the project is $2,000.
Which option will you choose?

A. Buy
B. Build
C. Neither build, nor buy
D. Need more information on suppliers to make a decision

Answer: A Explanation: If you buy, the cost is: $ 80,000 + $ 1,000 = $ 81,000,
If you build, the cost is: $ 4,000 x 7 x 3 + $ 2,000 = $ 86,000. So, in this
situation, it is preferable to buy.

4
5. Which of the following would not be helpful in performing the Develop
Schedule Process?

A. Schedule network analysis, critical path method, critical chain

method
B. Project calendars and schedule data
C. Scheduling tool, schedule compression, leads and lags
D. Modeling techniques, resource optimization techniques

Answer: B Explanation: Know your Tools/Techniques. Project calendars

and schedule data are outputs of the Develop Schedule Process.

5
6. In the context of the communication model, all the following statements
are correct EXCEPT:

A. Noise (communication blockers) should be minimized.

B. Receiver should decode and reply to the message.
C. Decoder (receiver) should acknowledge and agree with the message
sent by the encoder (sender).
D. Decoder should send a feedback message to the encoder.

Answer: C Explanation: Inherent in the communication model is an action

to acknowledge a message. Acknowledgment signals only receipt of the
message, not agreement or understanding

6
7. The government has mandated that you ensure the neighborhood is not
adversely impacted by your project. For your project, this directive is
regarded as a/an:

A. Assumption
B. Ethical practice
C. Constraint
D. LEAN

Answer: C Explanation: From a project management point of view,

constraints are factors that will limit the Project Management Staff`s options.
Since this is a government mandate, it becomes a constraint for your project.
LEAN is a quality technique focused on reducing/eliminating waste.

7
 8. You are estimating schedule activity costs by determining the unit cost
rates, e.g., staff costs per hour. All the following could be used to determine
resource cost rates EXCEPT:

A. Statistical relationship (parametric estimating) between historical data

and other variables.
B. Interviewing those doing the work.
C. Reviewing standard rates with escalation factors (for contracts).
D. Reviewing a seller’s published price list.

Answer: A Explanation: Parametric estimating uses a statistical

relationship between historical data and other variables. All the other
options are valid ways to determine unit cost rates.

8
9. You are performing the Control Risks process, and are on the lookout for
indications that a risk has occurred or is about to occur. These indications
can also be referred to as:

A. Triggers
B. Workarounds
C. Risk averse
D. Triggers, early warning signs, and risk symptoms

Answer: D Explanation: Best answer is Triggers. Indications that a risk has

occurred or is about to occur. Triggers may be discovered in the risk
identification process and watched in the risk monitoring and control process.
Triggers are sometimes called risk symptoms or warning signs.

9
10. Stakeholders, including consultants, customers, sponsors, and
professional and technical associations, that gather and analyze information
with people and/or computers, are some of the sources of:

A. Enterprise environmental factors

B. Organizational process assets
C. Expert judgment
D. Stakeholder monitoring and control

Answer: C Explanation: Expert judgment: Additional expertise is available

from many sources, including... other units within the organization;
stakeholders, including consultants, customers, and sponsors; and
professional and technical associations.

10
11. You decide to use statistical sampling for your project, because
surveying the entire population involves all the following issues, except:

A. Inaccurate data
B. More money
C. More time
D. More resources

Answer: A Explanation: Survey of the entire population would yield the

most accurate data.

11
12. Your organization requires that all technical projects go through Initiate,
Analyze, Design, Implement, Test, and Closeout project life cycle which is:

A. Defined as the product life cycle.

B. Defined by having applicable project phases.
C. Contains several product life cycles.
D. Has deliverables that must be completed before work starts during the
next phase.

Answer: B Explanation: A project life cycle is a collection of generally

sequential and sometimes overlapping project phases whose name and
number are determined by the management and control needs of the
organization or organizations involved in the project, the nature of the
project itself, and its area of application. Option A and Option C are wrong
because project life cycle does not include the product life cycle. Option D
is not accurate because work in the next phase may, at times, start before
the deliverables of the previous phase are completed. 12
13. Your team started creating a work breakdown structure for your project,
but soon realized the project was too complex to be depicted completely in
graphic format. You began using a work breakdown structure code of
accounts to:

A. Determine the complexity of the project

B. Identify the level at which individual WBS elements are found
C. Help in automating the WBS using appropriate software
D. Present justification for completing the project

Answer: B Explanation: The WBS is finalized by establishing control

accounts for the work packages and a unique identifier from a code of
accounts. These identifiers provide a structure for hierarchical summation of
costs, schedule, and resource information.

13
14. You advocate active participation of your team members; this is
because you believe in:

A. Theory Y (McGregor Model)

B. Theory X (McGregor Model)
C. Maslow`s hierarchy of needs
D. Referent Power

Answer: A Explanation: Douglas McGregor advocates that most workers

can be categorized according to two theories: Theory X: This assumes that
the workers are inherently lazy and require supervision Theory Y: The
average worker finds physical and mental effort on the job satisfying and
likes his work.

14
15. Which of the following is the most widely used contract type?

A. Cost plus incentive fee contracts

B. Fixed price incentive fee contracts
C. Cost plus award fee contracts
D. Firm Fixed Price Contract

Answer: D Explanation: Firm fixed price contracts (FFP) is the most

commonly used contract type. (And the type that is easier to budget for,
typically provides the lowest risk, and requires no day-to-day
administration.)

15
16. Please refer to the diagram given
(all units are in days). What is the project
float if management wants to complete this project within 13 days?
A. 0 days
B. - 3 days
C. 2 days
D. Cannot be determined, because information given in the question is incomplete

Answer: B Explanation: The possible paths are as follows:

Start -> Task1 -> Task2 -> Task4-> End: 10
Start -> Task3 -> Task5 -> Task7-> End: 15
Start -> Task6 -> Task7 -> End: 15
Start -> Task1 -> Task2 -> Task3 -> Task5 -> Task7 -> End: 16
The critical path is 16. If the project has to be completed within 13 days, the project
float is - 3 days (i.e., 13 - 16) A project may have a negative project float. To deal
with such conditions, if the project has to be completed on time, the project manager
will have to either fast-track or crash the project schedule.
16
17. You use issue logs or action item logs to document and monitor the
resolution of issues. You focus on documentation and timely resolution of
issues, because unresolved issues can:

A. Be escalated to the project sponsor.

B. Become a major source of conflict if ignored.
C. Become undetermined risks in the project.
D. Have adverse effect on all project parameters.

Answer: B Explanation: Issues are clearly stated and categorized based on

urgency and their potential to impact the project. An owner is assigned an
action for resolution, and target date is usually established for closure.
Unresolved issues can be a major source of conflict and project delays.

17
18. Your project is almost complete, when the customer requests an additional
feature in the project`s final product. The BEST course of action is to:

A. Include the feature, as it will improve customer satisfaction.

B. Include the feature -- otherwise the product will not be accepted by the
customer.
C. Talk with the customer and explain that the new feature does not make
business sense.
D. Follow your change control process.

Answer: D Explanation: Option D is the best available choice. Option A

and Option B are not recommended, because this requirement was not in
the initial scope of work. Agreeing to include this requirement now will
impact your project deliverables. Option C assumes that you know more
about the business needs than the customer, which may not be true.

18
19. You and the other Project Management Staff are using cost
aggregation, reserve analysis, expert judgment, and funding limit
reconciliation to establish a cost performance baseline. This is performed
during which process?

A. Control Costs
B. Determine Budget
C. Estimate Costs
D. Create WBS

Answer: B Explanation: Knowing your tools & techniques is how you get
this one right. Aggregate means “add” it all up. Determine Budget is the
process of aggregating the estimated costs of individual activities or work
packages to establish an authorized cost baseline. Cost aggregation,
reserve analysis, expert judgment, historical relationships, and funding limit
reconciliation are all the tools/techniques used in this process.
19
20. Graphical representations of situations showing cause-and-effect, time
ordering of events, and other relationships among variables and outcomes
are also referred to as:

A. S-curve charts
B. Graphical evaluation and review technique (GERT)
C. Causal influence diagrams
D. Run charts or scatter diagrams

Answer: C Explanation: These are graphical representations showing

causal influences, time ordering of events, and other relationships among
variables and outcomes.

20
21. During executing, all the following statements are apply, except:

A. Most of the project budget will be expended during the Executing

Process Group.
B. The project manager and the team implement the planned methods
and standards.
C. The project manager will review/verify all information from the
current phase-end closures.
D. The project manager and the team manage risks and implement risk
contingency plans.

Answer: C Explanation: When closing the project, the project manager

will review all prior information from the previous phase closures to ensure
that all project work is complete and that the project has met its objectives.

21
22. Determining the required levels of quality for the project is the
responsibility of:

A. Project Sponsor
B. Project Manager/Project Management Staff
C. Project Team
D. All stakeholders in the project

Answer: B Explanation: The Project Manager and the Project Management

Staff are responsible for managing the tradeoffs involved to deliver the
required levels of both quality and grade.

22
23. You understand that managing stakeholder engagement is an important
priority. Which statement on project stakeholders is NOT correct?

A. Negative stakeholders should be ignored if the project has to be

successfully completed.
B. Stakeholders have varying levels of responsibility and authority when
participating on a project and these can change over the course of the
project life cycle.
C. Emotional Intelligence (EI) is the ability to recognize our own as well as
other people’s emotions, to discriminate between different feelings, and to
use this information to guide thinking/behavior.
D. Stakeholder expectations may be difficult to manage, because
stakeholders often have very different or conflicting objectives.

Answer: A Explanation: In the case of stakeholders with positive

expectations from the project, their interests are best served by helping the
project succeed. The interests of negative stakeholders are served by
impeding the project`s progress. Overlooking negative stakeholders can
result in an increased likelihood of failure.
23
24. You need to verify whether deliverables meet requirements and product
acceptance criteria. For this purpose, which of the following tools/techniques
would you rely on?

A. Inspection
B. Expert judgment
C. Observations
D. Focus groups

Answer: A Explanation: Inspection includes activities such as measuring,

examining, and verifying to determine whether work and deliverables meet
requirements and product acceptance criteria.
24
25. Two project team members disagree often on the best way to handle
an issue. You ask them to look at the positives and negatives of their
approaches and submit their recommendations, which could be a "middle
path.” Which of the following conflict resolution techniques have you used?

A. Smoothing
B. Compromising
C. Confrontation
D. Withdrawal

Answer: B Explanation: Both sides give a little.

25
 26. You had conducted an independent estimate to find out the cost of sub-
contracting the manufacturing of 1,000,000 ball-bearings for your automobile
company. You estimated the cost to be $500 per bearing. However, when
you asked for bids and proposals from prospective sellers, the minimum
price quoted was $750 per bearing. The reasons for the variance in the
estimate could be all the following, EXCEPT:

A. The procurement statement of work was not clear.

B. The prospective sellers misunderstood the procurement statement of
work.
C. The procurement statement of work was not sufficient.
D. There have been no major changes in the cost of material and labor
since last year.

Answer: D Explanation: Significant differences in cost estimates can be an

indication that the procurement statement of work was deficient, ambiguous,
and/or that the prospective sellers either misunderstood or failed to respond
fully to the procurement statement of work.
26
27. You are responsible for meeting the project schedule deadlines. If there
is some delay in the project schedule, you should:

A. Increase the timeline for the project.

B. Determine what would happen if you fast tracked or crashed the project,
and let the Change Control Board know the impact.
C. Ask the resources to work overtime to meet the project deadlines.
D. Change the project scope.

Answer: B Explanation: Schedule compression shortens the project

schedule without changing the project scope to meet schedule constraints,
imposed dates, or other schedule objectives. Schedule compression
techniques, include crashing, fast tracking, re-estimating, and/or cut
scope/quality.

27
28. You are performing the Manage Communications Process. Which of
the following is NOT an Tool/Technique:

A. Work performance information

B. Communications technology
C. Communications methods
D. Information management systems

Answer: A Explanation: Performance reports are the output from the

Control Communications Process; not from Manage Communications
Process.

28
29. One of your team members filed a critical report ten minutes before a
bidder conference. You notice some serious errors have crept into the
report. You should:

A. Reschedule the meeting for a later date.

B. Go ahead with the meeting and tell the participants what is wrong with
the report.
C. Go ahead with the meeting, but ask your team member to make the
presentation.
D. Refer the team member`s report to management and ask them to cancel
the meeting.

Answer: A Explanation: Option A is the best choice. It’s always best to

understand things before you try to discuss them . Option B and C can
adversely impact the team morale and undermine your position in the
bidder conference. Option D is not recommended, as you should take
ownership to solve the problem.
29
30. You are creating a cost performance baseline for your project. All of the
following statements related to cost performance baseline are correct
EXCEPT:

A. It is a time - phased budget.

B. To measure disbursements, a spending plan can be used as a cost-
baseline.
C. It is used to measure, monitor, and control overall cost performance.
D. In the earned value management technique, it is also known as cost
measurement baseline.

Answer: D Explanation: In the earned value management technique, the cost

performance baseline is referred to as the performance measurement
baseline (PMB).

30
31. You are the project manager in an automobile manufacturing company.
Machine parts required in your manufacturing process supplied by a vendor
did not reach in time because of heavy rains. You had anticipated this risk
and planned for it in your risk register. You started using unutilized machine
parts supplied one year ago. However, this has subjected your project to a
new risk - the machine parts which were not used for one year suffer from
higher level of defects. This new risk can also be called:

A. Contingency risk
B. Pure risk
C. Secondary risk
D. Residual risk

Answer: C Explanation: Components of risk register…Secondary risks that

arise as a direct outcome of implementing a risk response.

31
32. You are in the process of performing the work as defined in the project
management plan to achieve the project`s objectives. This is done during:

A. Direct and Manage Project Work

B. Develop Project Management Plan
C. Validate Scope
D. Create Deliverables

Answer: A Explanation: Performing the work is done during Executing.

Direct and Manage Project Work is the process of performing the work
defined in the project management plan to achieve the project`s objectives.

32
33. You are managing the tools/spare parts section for an aircraft
manufacturing company. Your team members have discovered some
defective tools/spare parts. The probable cause for these could be materials
used, defective measurement systems, inaccurate tolerances in the
machines, or other factors. To determine what caused the defect, you use:

A. Use a quality control chart

B. Draw an Ishikawa diagram
C. Create a flowchart
D. Draw a Pareto chart

Answer: B Explanation: Cause and effect diagrams (also called Ishikawa or

fishbone diagrams), illustrate how various factors might be linked to potential
problems or effects.

33
34. You have been managing a project to construct a bridge on an
Interstate highway. You have divided the project into phases to provide
better management control. Which of the following is a characteristic of a
project phase?

A. Formal phase completion necessarily includes authorization for the

subsequent phase.
B. A project phase can be closed with a decision not to begin the
subsequent phase.
C. Project phases shouldn’t be divided into sub-phases even in complex
projects, as it becomes too difficult to manage.
D. All deliverables in the project phase should correspond to the project
management process.

Answer: B Explanation: Formal phase completion does not necessarily

include authorization for the subsequent phase. For instance, if the risk is
deemed to be too great for the project to continue or if the objectives are no
longer required, a phase can be closed with the decision not to initiate any
other phase. 34
35. An environmental remediation project has succeeded in reducing
costs. This is achieved by implementing a change request for new
technology not available when the scope was originally defined. An
approach used to optimize project life cycle costs, save time, increase
profits, improve quality, expand market share, solve problems, and/or use
resources more effectively is called:

A. Value engineering
B. Unanimity
C. Voice of customer
D. Kanban

Answer: A Explanation: This is the definition for Value Engineering.

Kanban is a method for managing knowledge work with an emphasis (JIT),
and LEAN. Work is pulled from a que. May also relate to visual process
management.
35
36. According to Herzberg`s theory, all of the following are motivating
factors, except:

A. Recognition
B. Increased responsibility
C. Career advancement possibilities
D. Salary

Answer: D (Although an increase in salary for additional performance can

be a motivator, salary by itself is not.)

36
37. You have to provide a critical deliverable within five months and do not
have time to go through the Conduct Procurements process. You decide to
sign a contract with a supplier with whom your company has done some
work in the past. The risk you are accepting in this situation is:

A. The ability/skills of the supplier to deliver the goods.

B. Collusion between the supplier and your team.
C. Lack of proper scope definition.
D. Lack of a legally binding agreement.

Answer: A Explanation: The risk here is that even though the supplier has
worked with the company in the past, they may not have the required skills
for the current project.

37
38. You are in the process of performing the Develop Schedule process to
determine planned start and finish dates for project activities. Which of the
following inputs will be helpful for beginning this process?

A. Activity attributes, project scope statement, and activity list

B. Activity list, activity attributes, and schedule data
C. Project calendar, requested changes, and schedule data
D. Work performance information, schedule baseline, and performance
reports

Answer: A Explanation: In the Develop Schedule Process, planned start

and finish dates for project activities are determined by using activity
attributes, project scope statement, and activity list as inputs. The other
options contain outputs.

38
39. You are performing the Control Communications Process to organize
and summarize the information gathered. Later, you present the results of
the analysis as a comparison to the performance measurement baseline.
Some common formats for performance reports that you could use are:

A. S-curves, histograms, Pareto diagrams, GERT Charts

B. S-curves, responsibility assignment matrices, histograms
C. Bar charts, S-curves, histograms
D. Bar charts, control charts, project network diagrams

Answer: C Explanation: Common formats for performance reports include

bar charts, S-curves, histograms, and tables.

39
40. You are managing a project in a foreign country, and now you realize
you will have to pay a fee to some government agencies to get your work
done. You should:

A. Pay the fee to the government agencies.

B. Refuse to pay the fee, because they are bribes and hence unethical.
C. Make a case why fees should be paid to government agencies, and
present it to your management.
D. Offer gifts to the government officials instead of fee to get their support.

Answer: A Explanation: A project manager has the responsibility to refrain

from offering or accepting inappropriate payments, gifts, or other forms of
compensation for personal gain, unless it is in conformity with applicable
laws or customs of the country where the project management services are
provided. In this scenario, however, since the law of the country requires
payment of fee to the government agencies, you will not be committing any
breach of the Code if you pay the same. It is a constraint.
40
41. There have been several changes in the cost and schedule estimates
on your project, and the original estimating assumptions are no longer
valid. Calculate the estimate at completion (EAC) for your project based on
the following data?

BAC = $ 300,000
AC = $ 100,000
EV = $ 150,000
CPI = 1.2
ETC = $ 120,000

A. $ 250,000
B. $ 220,000
C. $ 280,000
D. $ 300,000

Answer: B Explanation: Since original estimating assumptions are no

longer valid, EAC = AC + ETC = $ 100,000 + $ 120,000 = $ 220,000
41
42. You have been sub-contracting your IT development work to four
consulting firms. In this context, all the following statements relating to
transferring of risk to a contractor are true, except:

A. Risk transference nearly always involves payment of a risk premium.

B. Fixed price contract always transfers the risk to the seller.
C. Cost-plus contracts may transfer the cost risks to the buyer.
D. Contracts may be used for the transference of liability for specified risks
to another party.

Answer: B Explanation: A fixed-price contract may transfer risk to the

seller.

42
43. Project integration management includes the processes and activities
needed to identify, define, combine, unify, and coordinate the various
processes and project management activities. For successful project
integration management, it would likely be best to have:

A. A strong matrix organizational structure in your company

B. A good communication management plan
C. Good project selection techniques
D. Positive stakeholders who support the project
Answer: B Explanation: Option B is the best choice. Integration and Communication
go hand-in-hand. A good communication management plan ensures good
communication between the different project interfaces and team members. This is
essential for project integration management. Option A: Strong matrix organizational
structure is not essential for good project integration management. Other organization
structures, including projectized, balanced matrix, etc, can also provide successful
project integration management. Option C: Project selection techniques are used for
project selection in initial stages of the project. However, they are not essential for
project integration management. Option D: Projects may have positive and negative
stakeholders, but the type of stakeholders will not affect successful project integration
management. 43
 44. The customer was not satisfied with the finished product`s quality.
The cost of poor quality can also be referred to as:

A. Cost of conformance
B. Failure costs
C. Sunk costs
D. Opportunity costs

Answer: B Explanation: Failure costs are often categorized into internal

(found by the project) and external (found by the customer). Failure costs
are also called cost of poor quality.

44
45. As a portfolio manager, you would be responsible for managing which
of the following?

A. Project interdependencies
B. Projects and programs
C. Programs and operations
D. Functional work and operations

Answer: C Explanation: Best answer. Portfolio refers to a collection of

projects or programs and other work that are grouped together to facilitate
effective management of that work to meet strategic business objectives.)

45
46. The sponsor wants to make a change to the project. You should:

A. Ask the sponsor to determine the impact of the schedule first.

B. Ask the sponsor how much it will cost to make the change.
C. Perform a funding limit reconciliation immediately, and let the sponsor
know what the additional costs will be.
D. Work with the sponsor throughout the change control process.

Answer: D Explanation: If there is a major change to the project, the project

manager should try to influence the change to minimize the impact on the
project. Usually the project manager s advised to do the following: 1) Evaluate
the impact of the change within the team. 2) Help the customer (or person
requesting the change) understand the impact of the change. 3) If changes
are in fact required, then open a change control and get the request approved.
Obviously, you will have to inform the management and the change control
board about the impact of the changes. 4) If the change control board
approves changes, then make appropriate changes in the project plan.
46
47. Your Project Management Staff is in the process of developing the
Human Resource Plan. The enterprise environmental factor that cannot
influence this process is:

A. Lessons learned documentation

B. Existing human resources
C. Personnel administration policies
D. Marketplace conditions

Answer: A Explanation: The enterprise environmental factors that can

influence the Develop Human Resource Plan process include, but are not
limited to: organizational culture and structure, existing human resources,
personnel administration policies, and marketplace conditions. Lessons
learned documentation become organizational process assets.
47
48. Your company has entered into a joint venture with another company,
and you are in the process of finalizing a teaming agreement. In the
teaming agreement, both the buyer and the seller collectively prepare:

A. Source selection criteria

B. Contract
C. Procurement statement of work
D. The contract & procurement statement of work

Answer: D Explanation: Best answer. Teaming agreement: The effort of

the buyer and the seller in this process is to collectively prepare a
procurement statement of work that will satisfy the requirements of the
project. The parties will then negotiate a final contract for award.

48
49. The process of identifying the specific actions to be performed to
produce project deliverables refers to:

A. Define Activities
B. Collect Requirements
C. Create WBS
D. Create Stakeholder Management Plan

Answer: A Explanation: Define Activities is the process of identifying the

specific actions to be performed to produce the project deliverables.

49
50. All of the following are inputs to the Define Scope Process, except:

A. Requirements documentation
B. Project Charter
C. Project Scope Statement
D. Organizational Process Assets

Answer: C Explanation: The Project Scope Statement is the key output

of the Define Scope Process.

50
51. You have conducted a communication requirements analysis to
determine the total number of possible communication channels in the
project. While conducting the analysis, you learn that the number of
communication channels:

A. Increases in reverse proportion to the number of people.

B. Decreases in inverse proportion to the number of people.
C. Increases in exponential proportion when the number of people
increases.
D. Depends on the type of project.

Answer: C Explanation: Option C is the best answer. Formula is n (n-A) / 2

51
52. You have been asked to help management select two of three
potential projects. Which of the following would not apply?

A. Configuration management
B. Constrained optimization method
C. Benefit measurement methods
D. Analogous estimating

Answer: A Explanation: Configuration management is used for

changes/version control.

52
53. You are in the Identify Risks Process and are determining which risks
may affect the project and document their characteristics. Whom would you
want to be a part of the Identify Risks process?

A. The project manager, project team members, subject matter experts, and
customers.
B. The risk management team, end users, and risk management experts.
C. All relevant stakeholders.
D. Positively impacted stakeholders.

Answer: C Explanation: Don’t expect, but don’t exclude. Participants in risk

identification activities can include the following: project manager, project
team members, risk management team (if assigned), customers, subject
matter experts from outside the project team, end users, other project
managers, stakeholders, and risk management experts. While these
personnel are often key participants for risk identification, all project
personnel should be encouraged to identify risks. 53
54. A change in your project schedule has resulted in increased cost and
risk. It has also impacted your resource plan. To coordinate changes
across the entire project, you will need to rely on which process:

A. Configuration Management Plan

B. Perform Integrated Change Control
C. Change Request Plans
D. Changes to project plan baselines

Answer: B Explanation: Perform Integrated Change Control process

includes... coordinating changes across the entire project.

54
 55. In a normal distribution, standard deviation refers to:

A. Distance of measurement from the mean (i.e. how far from the mean)
B. Distance of measurement from the most likely value
C. Distance of measurement from the middle most value
D. A tool that is used in qualitative risk analysis

Answer: A Explanation: Standard

deviation is a distance of measurement
from the mean or, the square root of the
average of the squares of deviations
(about) the mean of a set of data.
Standard deviation is a statistical
measure of spread or variability. A
standard normal distribution, which
shows standard deviation (sigma) as
distance of the measurement from the
mean value. 55
56. You and your Project Management Staff are developing the Project
Management Plan. Which of the following is not in the correct sequence?

A. Plan risk management, identify risks, qualitative risk analysis,

quantitative risk analysis, plan risk responses, plan procurements
B. Scope management plan, stakeholder management plan, requirements
documentation, project scope statement, WBS
C. Activity lists, estimate resources, estimate durations, schedule, project
schedule network diagram
D. Quality management plan, staffing management plan, communications
management plan

Answer: C Explanation: Schedule comes after the Project Schedule

Network Diagram.

56
57. You are the project manager at a software development company, and
need ideas for project and product requirements. Which of the following
techniques would you most likely use to gather creative ideas at your
meeting?

A. Focus groups
B. Idea/mind mapping
C. Nominal group technique
D. Brainstorming

Answer: D Explanation: Brainstorming (best answer): A technique used

to generate and collect multiple ideas related to project and product
requirements. The other options actually utilize brainstorming.

57
58. You invest a lot of time in team development to increase the team`s
performance, which in turn increases the likelihood of meeting project
objectives. Which of the following indicators would you most likely NOT use
to evaluate your team`s effectiveness?

A. Improvement in skills of team members.

B. Improvement in competencies and morale that help the team to perform
better as a group.
C. Decrease in staff-attrition (i.e, fewer people leaving the project team).
D. Delivery of project deliverables ahead of schedule.

Answer: D Explanation: To evaluate the team`s effectiveness, we may

include indicators such as: Improvements in skills that allow individuals to
perform assignments more effectively; Improvements in competencies that
help the team to perform better as a team; Reduced staff turnover rate;
Increased team cohesiveness whereby team members share information
and experiences and help each other to improve the overall project
performance 58
 59. Which of the following statements on time and material contracts is true?

A. These types of contracts resemble cost-reimbursable type

arrangements, because they are close ended.
B. T&M contracts cannot grow in value like a cost-reimbursable contract.
C. The full value of the agreement is defined at the time of contract
award.
D. Unit rates can be fixed by the buyer and seller when both parties agree
on the values for specific resource categories.
Answer: D Explanation: Time and material (T&M) contracts are the types of
contracts that resemble cost-reimbursable contracts in that they can be left
open ended and may be subject to a cost increase for the buyer. The full
value of the agreement and the exact quantity of items to be delivered may
not be defined by the buyer at the time of the contract award. Thus, T&M
contracts can increase in contract value as if they are cost-reimbursable
contracts. Unit labor or material rates can be preset by the buyer and seller,
including seller profit, when both parties agree on the values for specific
resource categories, such as senior engineers at specified rates per hour, or
categories of materials at specified rates per unit. 59
60. While creating a project schedule, what duration should a milestone
have?

A. Zero
B. Duration equal to the phase duration
C. Duration estimates plus cost of conformance and contingency reserves
D. Early start plus duration

Answer: A Explanation: Milestone is a significant point or event in the project

with no duration associated with it.

60
 61. You would like to conduct a lessons learned session to identify project
successes and failures, as well as make recommendations to improve
future project performance. This is usually done:

A. During project closure

B. After scope validation
C. Throughout the project life cycle at phase exits
D. During project execution and project closure

Answer: C Explanation: During the project life cycle, the project team and key
stakeholders identify lessons learned concerning all aspects of the project. The
lessons learned are compiled, documented, and distributed so that they
become part of the historical database. However, most of the organizations
prefer post-implementation meetings and case studies to document lessons
learned.
61
62. You recently went on an official trip to another country to discuss a
business proposition with a potential vendor. The vendor took you out for
lunch and offered you gifts, as it is customary in that country. You must:

A. Tell the vendor that you cannot accept the gifts as per company policy
B. Accept the gifts as it is a local custom, but promptly inform your
manager
C. Return the gifts, because accepting them could be interpreted as a
personal gain
D. Accept the gifts, as they are not very expensive

Answer: B Explanation: A project manager has the responsibility to

refrain from offering or accepting inappropriate payments, gifts, or other
forms of compensation for personal gain, unless it is in agreement with
applicable laws or customs of the country where the project management
services are being provided.
62
 63. All of the following relate to the Closing Process Group, except:

A. Managing procurement relationships, monitoring contract

performance, and making changes/corrections to contracts as
appropriate.
B. Procurements should be finalized prior to closing the project
C. Procurement information should be stored in a records management
system
D. The project sponsor signs off on the project after the final lessons
learned is complete

Answer: A Explanation: This is the definition for the Control Procurements

Process, which is performed during monitoring and controlling.

63
64. You have identified important risks and planned the appropriate
responses. Some risks (e.g. possibility of natural disasters impacting the
project) have been documented and accepted in your risk management
plan. What are the remaining risks called?

A. Unidentifiable Risks
B. Residual Risks
C. Secondary Risks
D. Inherent Risks

Answer: B Explanation: Components of the risk register...include:

Residual risks that are expected to remain after planned responses have
been taken, as well as those that have been deliberately accepted.

64
65. In a recent job interview, you are asked to define the most important
characteristic of a project manager. Which of the following will be the best
answer?

A. Subject matter expert

B. Integrator
C. Encoder
D. Risk manager

Answer: B Explanation: In the project management context, integration

includes characteristics of unification, consolidation, articulation, and
integrative actions that are crucial to project completion, successfully
managing stakeholder expectations, and meeting requirements.

65
 66. You have been asked to prepare a process improvement plan.
You should consider all the following, except:

A. Costs of non conformance

B. Targets for improved performance
C. Process boundaries and process metrics
D. Continual process improvement analysis meetings during
Executing

Answer: A Explanation: Costs of non conformance are rework, etc. The

areas to be considered in the process improvement plan include process
boundaries, process configuration, process metrics, and targets for improved
performance.

66
 67. You are responsible for managing a project in your company but
you have little authority and have to constantly report to a functional
manager. To which organizational structure does your company best
relate to?

A. Matrix
B. Functional
C. Projectized
D. Balanced

Answer: B Explanation: A classic functional organization... is a hierarchy

where each employee has one clear superior. Staff members are grouped
by specialty, such as production, marketing, engineering, and accounting at
the top level.

67
68. You are a project manager in a manufacturing company, and are
developing a new product. In this context, you are conducting
requirements workshop for the stakeholders to determine the product`s
critical characteristics. Which technique would best be used for this
purpose?

A. Quality Function Deployment (QFD)

B. Joint Application Development (JAD)
C. Voice Of Customer (VOC)
D. Key Performance Indicators (KPI)

Answer: A Explanation: Quality Function Deployment (QFD) is an

example of a facilitated workshop technique that helps determine critical
characteristics for new product development. KPI is a type of
performance measurement used to evaluate the success of the project.
(E.g. zero defects, meets business requirements, customer satisfaction.) 68
69. You establish clear expectations regarding acceptable behavior by
project team members. You believe that early commitment to clear
guidelines will decrease misunderstanding and increase productivity. These
expectations and guidelines are also known as:

A. Team-building activities
B. Ground rules
C. Interpersonal skills
D. Core team rules of conduct

Answer: B Explanation: Ground rules establish clear expectations on

acceptable behavior by project team members. Early commitment to clear
guidelines decreases misunderstandings and increases productivity.
Discussing ground rules allows team members to discover values that are
important to one another.
69
70. You are in the process of determining the types of contracts to be used,
need for standardized procurement documents, and ways of managing
multiple providers. You can get the guidance for doing these activities
through:

A. Project Management Plan

B. Contract Change Control Plan
C. Procurement Management Plan
D. Cost Management Plan

Answer: C Explanation: The procurement management plan describes how

the procurement processes will be managed from developing procurement
documents through contract closure. The procurement management plan
can include guidance for:
- Types of contracts to be used
- Whether independent estimates will be used and if they are needed as
evaluation criteria
- Managing multiple suppliers
70
71. You are beginning the Estimate Activity Durations Process. Which of
the following would be helpful?

A. Source selection criteria, P-I matrix

B. Staffing management plan, Communications management plan
C. Quality metrics, Quality checklists
D. Activity list, Resource Calendars, Resource Breakdown Structure,
Risk Register

Answer: D Explanation: Helpful inputs. Note that risk register is included

as part of the contingency reserves needed for “reserve analysis.”

71
72. You are the project manager with seven team members. One more
member will be joining the team after a week. What will be the number of
communication channels once the new member joins your team?

A. 28
B. 21
C. 18
D. 36

Answer: D Explanation: There will be 9 people in your team (this

includes 8 team members and you, the project manager). So, the number
of communication channels = 9 * (9 - A) / 2 = 9 * 8 / 2 = 36.

72
73. All of the following are inputs for the Monitor and Control Project Work
Process, except:

A. Project management plan, enterprise environmental factors,

organizational process assets
B. Validated changes, work performance information
C. Change requests & work performance reports
D. Schedule & cost forecasts

Answer: C Explanation: These are actually outputs for this process.

73
74. Half way through your construction project, the CPI is 0.85 and SPI is
1.25. What could be the possible reason?

A. A critical resource went on sick leave for a long period of time, which
had not been anticipated earlier.
B. The cost of raw materials required for construction increased by 10%.
(You had anticipated a cost increase of 12% in your project plans.)
C. In anticipation of delays, the project was crashed to decrease the
duration.
D. There was four days waiting time in the curing of concrete, and work
could not be done during that time.

Answer: C Explanation: Option C: This is the correct answer, because

crashing of a project results in decreased duration and increased costs.
This verifies the given data on CPI and SPI. Options 1 and 4: They are
ruled out, because they do not verify the given data that SPI>1. Option B:
This is also ruled out, because it does not verify the given data that CPI<1.
74
75. Even after carefully performing risk management for the project, you
realize that possibility of new risks occurring in the future still exists. You
will be able to handle such risks if you perform:

A. P-I Matrix Assessments

B. Continuous Process Improvement
C. Control Risks
D. Risk Response Analysis

Answer: C Explanation: The Control Risks is the process of

implementing risk response plans, tracking identified risks, monitoring
residual risks, identifying new risks, and evaluating risk process
effectiveness throughout the project.

75
 76. Which of the following are not inputs to the Direct and Manage
Project Work Process:

A. Organizational process assets

B. Approved change requests
C. Project management plan
D. Change control tools

Answer: D Explanation: Change control tools are a technique used in

Perform Integrated Change Control process. The activities performed
during the Direct and Manage Project Work process include but are not
limited to manage sellers and suppliers, create project deliverables,
implement the planned methods and standards, etc.

76
77. You have completed a NASA project for the launch of a weather
forecasting satellite. The satellite is being tested for a specific quality
metric. For which processes are quality metrics used?

A. Perform Quality Assurance and Plan Quality Management

B. Plan Quality Management and Perform Quality Control
C. Perform Quality Control, Plan Quality Management, and Perform
Quality Assurance
D. Perform Quality Assurance and Perform Quality Control

Answer: D Explanation: Quality metrics are used in the Perform Quality

Assurance and Perform Quality Control processes—Not in Planning.

77
78. You are a project manager in XYZ Company, which has a projectized
organizational structure. In this environment, all of the following are true,
except:

A. Team members are often collocated.

B. There is a "home" for project team members after a project is
completed.
C. You have a great deal of authority and independence.
D. Organizational units (or departments) either report directly to you or
provide support services to the various projects.

Answer: B Explanation: One disadvantage of a projectized organization is

that there is "no home" for the project team members once the project is
completed. All the remaining features mentioned above are features of a
projectized organization.
78
79. In projects, expert judgment will often be used throughout all the
project integration processes as a common tool/technique. This can be
provided by all of the following, except:

A. Professional and technical associations

B. Competitors
C. Consultants
D. Other units within the organization

Answer: B Explanation: Expert judgment is available from:

- Other units within the organization
- Consultants
- Stakeholders, including customers or sponsors
- Professional and technical associations
- Industry groups
- Subject matter experts
79
80. In a previous project, the project manager told the team members
what to do. The type of authority they likely had was:

A. Legitimate (formal, based on position)

B. Laissez faire
C. Expert
D. Penalty

Answer: A

80
81. Which of the following would not be used during the Control
Procurements Process?

A. Contract change control, procurement performance reviews, payment

systems
B. Performance reporting, inspections, audits
C. Claims administration, records management system
D. Procurement audits, closed procurements

Answer: D Explanation: Closed procurements is performed during the

Close Procurements process.

81
 82. All the following statements regarding the creation of duration estimates
are correct, EXCEPT:

A. Mathematical analyses like CPM, GERT, and PERT indicate the dates
on which the activity can be scheduled, given resource limits and other
constraints.
B. Duration compression techniques, including fast tracking and crashing,
can help in decreasing the project schedule.
C. WBS classification allows for useful activity ordering and sorting.
D. The duration of the project is the sum of the duration of all the activities
in the project.

Answer: D Explanation: The duration of the project should be calculated

after drawing a network diagram and determining the critical path. The
duration of the project is the length of the critical path and not the sum of the
duration of all the tasks in the project.
82
83. Which of the following motivation theories is attributed to Victor Vroom?

A. Three Needs Theory

B. Expectancy Theory
C. Theory Y
D. Situational Leadership II Theory

Answer: B Explanation: Victor Vroom is attributed with the Expectancy

Theory. People “expect” to be recognized/rewarded, so plan on how to link
their performance with their desired reward. (Three Needs: David MCleland.
Theory Y: Ouichi. Situational Leadership II: Hersey & Blanchard)

83
84. The seller`s project is undertaken on contract and you are an employee
of the seller. Since you earlier worked with ABC Bank, the buyer, you are
aware of the evaluation criteria used in ABC Bank to select sellers. You
understand this could be a potential conflict of interest situation. How do
you propose to act?

A. Do nothing and continue to work as before.

B. Take the appropriate person in ABC Bank into confidence and discuss
this issue with her to determine what to do.
C. Disclose the evaluation criteria to your (seller) organization and help
their business grow.
D. Remove yourself from the project—this is a conflict of interest.
Answer: B Explanation: Option B (best answer): This is the correct answer.
Since the evaluation criteria are proprietary information of ABC Bank, it is
important for you to discuss the matter directly with the appropriate person in the
ABC Bank. Option A: This introduces conflict of interest as to whether to act or
not in favor of your current employer. Option C: This is unethical, because
proprietary information of the buyer should not be disclosed. Option D: This is an
extreme step that could be taken only if required after talking to the buyer. 84
85. Calculate the to-complete-performance index (TCPI) of your project,
given that the actual cost of your project is $125,000, cost variance is
$65,000, and the budget at completion is $250,000.

A. .9
B. 0.48
C. 1.7
D. .3

Answer: B Explanation: CV = EV - AC
So, EV = CV + AC = 65,000 + 125,000 = 190,000.
TCPI = (BAC-EV) / (BAC-AC)
= (250000-190000) / (250000-125000)
= 60000/125000
= 0.48

85
86. In your project, you have just conducted a risk data quality assessment to
evaluate the degree to which the data about risks is useful for risk management.
What is your next step?

A. Perform a structured review of project plans and assumptions, both at the total
project and detailed scope levels.
B. Develop checklists to identify risks based on historical information and
knowledge that has been accumulated from previous similar projects.
C. Conduct planning meetings to develop the risk management plan.
D. Conduct interviews to quantify the probability and impact of risks on project
activities.
Answer: D Explanation: Justification: Risk data quality assessment is a tool for Perform
Qualitative Risk Analysis process. It refers to "Interviewing" which is a tool and technique for
Perform Quantitative Risk Analysis. Perform Quantitative Risk Analysis is conducted after
Perform Qualitative Risk Analysis. Option A: This refers to "Documentation Reviews" which is
a tool and technique for Identify Risks process. Identify Risks process is conducted before
Perform Qualitative Risk Analysis process. Option B: This refers to "Checklist Analysis" which
is a tool and technique for Identify Risks process. Identify Risks process is conducted before
Perform Qualitative Risk Analysis process. Option C: This refers to "Planning Meetings and
Analysis" which is a tool and technique for Plan Risk Management process. Plan Risk
Management process is conducted before Perform Qualitative Risk Analysis process. 86
87. You are the project manager for a project managed under contract. You
receive a change request from the buyer involving a new government
regulation. What should you do FIRST?

A. Talk with the project team members to understand implications of the

change.
B. Adopt an Agile project lifecycle.
C. Begin the change control process.
D. Implement the change and communicate to the customer.
Answer: C Explanation: Since the change request pertains to a
government regulation and the project is being managed as part of a
contract, it is mandatory to implement the change. The first step towards
that is to activate the change control procedure. Agile (iterative type of
lifecycle) relates to determining scope early, and modifying schedule and
cost routinely over the course of the project. The product is developed
through a series of iterations (repeated cycles, i.e. Agile).
87
88. In your project, you would like to identify logical groupings based on
natural relationships. Which one of the following techniques would you
use?

A. Force field analysis

B. Affinity diagrams
C. Voice of Customer
D. SWOT analysis

Answer: B Explanation: Affinity diagrams are used to visually identify

logical groupings based on natural relationships.

88
89. Your project sponsor has specified that you have to complete your
project within 3 months with a funding limit of $ 250,000. This is an
example of:

A. Authoritative management
B. A constraint
C. An assumption
D. High-level risk

Answer: B Explanation: Project constraints are those constraints

associated with the project scope that limit the team`s options. For example,
a predefined budget or any imposed dates or schedule milestones that are
issued by the customer or performing organization constitute constraints.
89
90. Your company exhibited a car model in two international auto expos and
obtained feedback from the global automobile industry, auto magazines, and
others. The company decided to go ahead with the designing and
manufacturing of the car, taking into consideration the feedback received.
Which of the following methods did your company use?

A. Observation technique
B. Prototype
C. Requirements analysis
D. Quality sample

Answer: B Explanation: Since prototypes are tangible, prototyping allows

stakeholders to experiment with a model of their final product rather than only
discussing abstract representation of their requirements. Prototype is a method of
obtaining feedback on a requirement by providing a model to work on. Option A:
Observation technique provides a direct way of viewing Individual in their
environment and how they perform their jobs and tasks to carry out the processes
Option C: Requirement documentation describes how individual requirements
meet the business needs for the project. Option D: Requirement traceability
matrix gives high level requirement to more detailed requirement. 90
91. You are determining project roles, responsibilities, and reporting
relationships. All of the following will be useful inputs to you, except:

A. Enterprise environmental factors

B. Organizational process assets
C. Activity resource requirements
D. Project organization charts

Answer: D Explanation: Develop Human Resource Plan is the process of

identifying and documenting project roles, responsibilities, required skills,
reporting relationships, and creating a staffing management plan. Inputs to
this process are activity resource requirements, enterprise environmental
factors, and organizational process assets. However, project organization
charts are an output.

91
92. The subcontracting requirements for machining high-value equipment are
very demanding. Hence, you have determined the technical criteria to
evaluate the sellers. This is an example of:

A. Objective evaluation criteria

B. Source selection criteria
C. Statement of work
D. Work breakdown structure

Answer: B Explanation: Selection criteria are developed and used to

rate or score seller proposals, and can be objective or subjective.

92
What is the float of activity 5?

A. 0
B. 1
C. 2
D. -1

Answer: A Explanation:

The lengths of different paths are:

Start -> 1 -> 2 -> End: 10
Start -> 3 -> 5 -> End: 11
Start -> 4 -> 5 -> End: 12
Since the longest path is Start -> 4 -> 5 -> End; this is the critical path.
Activity 5 lies on the critical path; hence the slack for task 5 is "0".
93
94. You have been assigned seven project team members, and one more
person will be joining next week. Once the new person joins, the number of
communication channels will increase by:

A. 0
B. 8
C. 12
D. 20

Answer: B Explanation: For calculating the number of communication

channels, the formula used is: N = n (n-1) / 2. So, in this instance, number of
communication channels with 8 people = 8*(8 -1) / 2 = (8*7) / 2= 28. Number
of communication channels with 9 people = 9* (9 - 1) / 2 = (9*8) / 2= 36
So, the communication channels will increase by: 36 - 28 = 8. (Did you forget
to include yourself?)

94
95. Your company has recently been awarded a contract by the government
to reconstruct houses devastated by an earthquake. In this context, the
government’s role will most likely provide the:

A. Project scope baseline

B. Business case / Business need
C. Project charter
D. Project management plan

Answer: C Explanation: Option C: Since the government is an external

agency, and this is a "recently awarded" project as mentioned in the question,
hence inputs (e.g. contract) from the government will help the project manager
in creation of the project charter for the performing organization. Option A:
Scope Baseline includes the Scope Statement, WBS and WBS Dictionary. So,
this will be created later on after the project charter is finalized. Option B:
Business Need/Business case for the project should be already established
because the government has contracted out the work to your company. Option
D: The project management plan is a planning document created after the
project charter is approved. 95
96. Which of the following processes has the Stakeholder Register as the
output?

A. Plan Stakeholder Management

B. Identify Stakeholders
C. Plan Human Resources
D. Develop Business Requirements

Answer: B Explanation: The key output for the Identify Stakeholders

Process is the Stakeholder Register. Business Requirements are
requirements that are analyzed, prioritized, and documented as they
96
relate to the needs for the preforming organization.
97. Your risk calculations show there is a risk of overrunning the project
scope and schedule targets to levels that are beyond the threshold limits
determined in the project. To bring the level of risk to a level acceptable to
your organization, you should:

A. Consider using contingency reserves

B. Decrease the project scope and increase the project schedule
C. Talk with your sponsor about canceling the project
D. Add in training costs

Answer: A Explanation: Contingency reserves are needed to bring the risk of

overrunning stated project objectives to a level acceptable to the organization.

97
98. You are managing a small project with five team members working part-
time. At the beginning of every week, you allocate work to all the team
members. This is an example of:

A. Work Authorization System

B. Improper planning because team members do not know in advance
what needs to be done at what time
C. Responsibility Assignment Matrix (e.g. RACI)
D. Project schedule management

Answer: A Explanation: A work authorization system is a collection of

formal documented procedures that specifies how project work is
authorized to ensure that work is done by the identified organization at the
right time and in the proper sequence.

98
99. After joining as a stand-in project manager for an ongoing project, you
are informed by the team that certain features are added to the deliverable
that were not requested by the customer, to earn the customer’s
appreciation. In this situation:

A. You are concerned, because the project team is gold-plating

B. You are happy, because the project will “exceed customer
expectations”
C. You are concerned that this is going to increase the project size
D. You are undecided about the increase in the quality metrics of the
project

Answer: A Explanation: You should be concerned because the project team is

gold-plating, which is not a recommended project management practice. Please
note that “adding extra functionality beyond project scope” is not recommended
by PMI, since a project is supposed to deliver what is defined in its scope.
Similarly, one cannot request for additional sizing for the project because the
customer had never asked for the additional requirements. 99
100. Project performance must be monitored and measured regularly to
identify variances from the plan. All the following processes are performed
during monitoring and controlling, except:

A. Validate Scope
B. Control Risks
C. Control Stakeholder Management
D. Perform Quality Assurance

Answer: D Explanation: Perform Quality Assurance is a process in the

Executing Process group.

100
101. Some of the benefits of a well-constructed project scope statement
include all, except:

A. Provides a documented basis for making future project decisions

B. Develops common understanding of project scope among
stakeholders
C. Provides knowledge of project justification, deliverables, and
objectives
D. Provides a basis for time and cost estimates

Answer: D Explanation: Work breakdown structure (which is an output from

Create WBS process) helps in providing a basis for time and cost estimates.
All the remaining are benefits of a well-constructed project scope statement.

101
102. You are managing a high priority project, requiring more than 1,000
team members. During human resource planning, you would like to apply
proven principles to shorten the time needed to create a human resource
plan to ensure you are when and how human resource requirements will
be met. Which of the following “subsidiary plan” does this describe?

A. Stakeholder register
B. Linear Resource Chart
C. Staffing management plan
D. Stakeholder allocation plan

Answer: C Explanation: The staffing management plan describes when

and how the human resource requirements will be met.

102
 103. The following is the data for a CPIF project you are managing:
Target cost is $ 100,000; Actual cost is $ 80,000;
Target fee is $ 20,000; Maximum fee is $ 25,000;
Sharing ratio is 60:40.

What should be the final price of the contract?

A. $ 100,000
B. $ 108,000
C. $ 105,000
D. $ 92,000

Answer: C Explanation:
Target cost (TC) = $ 100,000
Target fee (TF) = $ 20,000
Maximum fee = $ 25,000
Sharing ratio=60:40
Actual fee (AF) = {(TC - AC) * SSR} + TF = {($ 100,000 - $ 80,000) * 40%} + $
20,000 = $ 20,000 * 40% + $ 20,000 = $ 28,000,
Although the actual fee is more than the maximum fee, the maximum fee ($ 25,000)
only is payable. So, final price = AC + AF = $ 80,000 + $ 25,000 = $ 105,000 103
104. Of the following documents, all of which are updated during the Control
Schedule process, which is NOT a part of the project management plan?

A. Schedule baseline
B. Cost baseline
C. Schedule management plan
D. Schedule data

Answer: D Explanation: Elements of the project management plan that

may be updated include, but are not limited to, schedule baseline, schedule
management plan, and cost baseline. Schedule data is the project
document that gets updated as an output to the Control Schedule process.

104
105. What are the outputs for the Plan Scope Management Plan?

A. WBS, WBS Dictionary, Project Documents updates

B. Scope Management Plan, WBS
C. Requirements Traceability Matrix, Project Scope Statement
D. Scope Management Plan, Requirements Management Plan

Answer: D Explanation: Remember, all the scope baseline information is

incorporated into the Scope Management Plan. Understanding the
sequence of the performing the processes is key to these types of questions.

105
106. As part of your duties as a project manager, you provide confidential
company data to a vendor. In this context, which of the following precautions
should you take?

A. Insist that the vendor signs a non-disclosure agreement after you release
the sensitive information.
B. Make sure that the vendor receives all the sensitive information in time.
C. Ensure that the vendor signs non-disclosure agreement before you
release the sensitive information.
D. Monitor the vendor in order to prevent her from sharing the information
with her competitors

Answer: C Explanation: PMI Code of Ethics and Professional Conduct

requires a project manager not to disclose sensitive or confidential
information. But, at times, an organization has a legitimate need to disclose
confidential information to vendors, governmental agencies, or others. When
disclosing confidential or sensitive information, it is the responsibility of the
project manager to ensure that proper nondisclosure agreements are signed
prior to the disclosure of the sensitive information. 106
 107. As the project manager at a small software development company, you
are determining the possible costs to complete project activities. This is
done as part of which process?

A. Variance Analysis
B. Estimate Costs
C. Determine Budget
D. Estimate Procurement Costs

Answer: B Explanation: Estimate Costs is the process of developing an

approximation of the monetary resources needed to complete project
activities. Cost trade-offs and risks must be considered, such as make
versus buy, buy versus lease, and the sharing of resources in order to
achieve optimal costs for the project.
107
108. You have created a spreadsheet that shows cumulative cost at any
particular point of time in the project duration. Your director wants to review
the project costs and you decide to make a presentation. Cumulative costs
plotted against time may be shown in which report?

A. S-curve
B. Histogram
C. Just in Time, LEAN, Kanban Charts
D. Pareto diagram

Answer: A Explanation: S-curve is a graphic display of cumulative costs,

labor hours, percentage of work, or other quantities, plotted against time.
The name derives from the S-like shape of the curve.

108
109. Ideally, when should a project manager begin working on a project?

A. As soon as a possible
B. After the Project Charter has been approved
C. When the WBS is completed
D. At any time during the project life cycle, depending on requirements

Answer: A Explanation: A project manager is identified and assigned as

early in the project as is feasible. NOTE: THE PROJECT MANAGER IF
FORMALLY ASSIGNED WHEN THE PROJECT CHARTER HAS BEEN
APPROVED!

109
110. All the following statements about "Quality" and "Grade" are true,
except:

A. Grade is a rank given to entities having the same functional use but
different technical characteristics.
B. Low quality product may be of high grade.
C. Low grade products may have high quality levels.
D. It is a problem if the product is of high quality and low grade.

Answer: D Explanation: Grade is a category assigned to products or

services having the same functional use but different technical
characteristics. While a quality level that fails to meet quality requirements
is always a problem, low grade may not be. For example, a software
product can be of high quality (no obvious defects, readable manual) and
low grade (a limited number of features), or of low quality (many defects,
poorly organized user documentation) and high grade (numerous features).
110
111. ABC company has recently launched a new model of their car in the
market and the market response has been overwhelming. Sales have gone
up to a level much higher than what the company anticipated. To cater to the
increased market demand, the company plans to start a project to create a
new assembly line for the cars. Who is the end user?

A. Project Manager and Project Management Staff

B. People who may buy the cars in the future
C. Project Sponsor who provides funding
D. The assembly line worker who is going to work on the new assembly
line being created

Answer: D Explanation: Customers refer to the entity acquiring the

project`s product, and users refer to those who will directly utilize the
project`s product.
111
112. Your project is very critical for the company and must be completed
within six months. The project charter has been signed, but the project scope
statement is not yet prepared. Management asks you to go ahead without a
scope statement. What should you do?
A. Refuse to work on the project, because the management is not following
standard project management practices.
B. To save time, you should start the project with inputs from the project
charter.
C. Try to meet with management to discuss problems you may face if you
start the project without a scope statement.
D. Escalate the issue to the project sponsor and issue a risk memo.
Answer: C Explanation: Option C: This is the best available alternative. Without the
scope statement, you do not have a good understanding of the project justification,
product, or project deliverables and project objectives. Also, you do not have all the
inputs for the scope definition and for the creation of work breakdown structure
(WBS). The best option is to talk to the management about the problems likely to be
faced if you start a project without a scope statement. Option A: This is an extreme
step and is not recommended. Option B: This will pose problems. For example, you
will not be able to create a WBS without the help of a scope statement. Option D:
112
This is an extreme measure and is not recommended.
113. Ten team members were assigned in advance to your project. This
pre-assignment could be because of all the following reasons, except:

A. Specific people were promised as part of a competitive proposal.

B. Suitable people volunteered to work on the project.
C. Staff assignments were defined in the project charter.
D. The project was dependent on the expertise of the pre-assigned
persons

Answer: B Explanation: When project team members were selected

in advance, they would be considered pre-assigned. This situation
could occur if the project was the result of specific people being
promised as part of a competitive proposal, if the project was
dependent upon the expertise of particular persons, or if some staff
assignments were defined within the project charter.

113
114. A contract which includes features of cost reimbursable and fixed price
types of contract is a:

A. Fixed price plus incentive fee contract

B. Cost plus award fee contract
C. Time and material contract
D. Cost plus fixed fee contract
Answer: C Explanation: Time and material contracts are a hybrid type of
contractual arrangements that contain aspects of both cost-reimbursable
and fixed-price contracts. Option A: This type of contracts involves fixed-
price arrangement that allows for deviation from performance, with financial
incentives tied to achieving agreed metrics. Option B: In this type of
contracts, the seller is reimbursed for all legitimate costs, but the majority of
the fee is only earned based on the satisfaction of certain broad subjective
performance criteria defined and incorporated into the contract. Option D: In
this type of contracts, the seller is reimbursed for all allowable costs for
performing the contract work, and receives a fixed fee payment calculated
as a percentage of the initial estimated project costs. 114
115. Activity attributes extend the description of the activities in the activity
list. These activity attributes are inputs to all the following processes,
except:

A. Sequence Activities
B. Define Activities
C. Estimate Activity Resources
D. Estimate Activity Durations

Answer: B Explanation: Activity attributes are outputs from the Define

Activities process and inputs for Sequence Activities, Estimate Activity
Resources, Estimate Activity Durations, and Develop Schedule processes,
Again, knowing the sequence of the Planning Processes is key to answering
these questions on the exam.
115
116. Identify Stakeholders is the process to identify all people or
organizations impacted by the project and to document:

A. Stakeholder influence, interest, involvement, interdependency, and

impact on project success
B. Their needs and address issues as they occur
C. Project status reports, progress measurements and forecasts
D. Stakeholder needs and define a communication approach

Answer: A Explanation: Option A: (This is the correct answer). Project

stakeholders are persons or organizations such as customers, sponsors, the
performing organization, and the public that are actively involved in the
project. Option B: Manage Stakeholder Engagement is the process to
communicate and work with stakeholders to meet their needs and address
issues as they occur. Option C: Report Performance is the process to collect
and distribute performance information, including status reports, progress
measurements and forecasts. Option D: Plan Communications is the
process to determine the project stakeholder information needs and define a
communication approach. 116
117. You are a member of the selection committee, which is appointed to
oversee the awarding of an important contract. In this context, all of the
following can be treated as conflict of interest situations, except:

A. Your friend bids for the contract and you inform the committee and the
project sponsor about it.
B. Your relative bids for the contract and you do not inform the project
sponsor about it.
C. Your close friend bids for the contract and you refrain from participating
in the contract awarding decision process without informing your
sponsor.
D. Your friend bids for the contract and you make sure the contract is
awarded to him.

Answer: A Explanation: Conflict of interest arises when personal interests

outweigh professional considerations. A person`s associations and
affiliations with others can also lead to conflict of interest. Please note that if
there is a conflict of interest situation, please inform the appropriate
stakeholders and distance yourself from the conflict situation, if possible. 117
118. You have just completed drafting your Project Scope Statement with
your Project Management Staff, what is the next step?

A. Collect Requirements
B. Plan Stakeholder Management
C. Create WBS
D. Define Scope

Answer: C Explanation: Create WBS is the next process—with the other

Scope outputs, they all make up the Scope Baseline.

118
 119. Your company is a pioneer in the construction industry. The
government recently floated a tender for setting up a new airport. Since
you do not have all the requisite skills within the company, you enter into
a joint venture with a leading airport construction company to bid jointly
for the government contract. This is an example of:

A. Risk exploitation
B. Risk sharing
C. Risk enhancing
D. Risk mitigating

Answer: B Explanation: Opportunities: E.S.E.A. Strategies for positive

risks or opportunities (share): Sharing a positive risk involves allocating some
or all of the ownership to a third party who is best able to capture the
opportunity for the benefit of the project. Examples of sharing actions include
forming risk-sharing partnerships, teams, special-purpose companies, or joint
ventures, which can be established with the express purpose of taking
advantage of the opportunity so that all parties gain from their actions. 119
120. Which of the following relates to Physiological, Safety, Social Esteem,
Self-Actualization?

A. Maslow’s Hierarchy of Needs

B. Herzberg’s Hygiene Theory
C. MacGregor’s Theory Y
D. Hersey/Blanchard Situational Leadership II

Answer: A Explanation: It’s important to know all motivation theorist, and

understand their theories for the exam. Maslow, McClelland, Herzberg,
Vroom, Hersey/Blanchard, MacGregor, Ouichi.

120
121. Your company has implemented ISO standards for quality. In this
context, which of the following statements regarding quality is NOT
accurate?

A. Quality audits compare project deliverables against the product

requirements as defined in the WBS.
B. Process analysis identifies the needed improvements from
organizational and technical standpoint.
C. Perform Quality Control is the process of monitoring and recording
results of executing the quality activities to assess performance and
recommend necessary changes.
D. The Quality Management Plan describes how the Project Management
Staff will implement the performing organization`s quality policy.

Answer: A Explanation: A quality audit is a structured, independent review

to determine whether project activities comply with organizational and project
policies, processes, and procedures. 121
122. You have reached the end of the design phase of your project. You
decide to call a "phase end review" for obtaining authorization to close the
design phase and initiate the next phase (i.e. execution phase) of your project.
Your manager disagrees with your suggestion. He wants a "kill point" to
formally end the design phase of the project. In this context, you should:

A. Disagree with your manager because you know that phase end reviews
should be used at the end of each phase of the project
B. Agree with your manager
C. Escalate this issue to the project sponsor
D. Take advice from a senior project manager about what should actually be
done at the end of each phase of the project

Answer: B Explanation: A phase-end represents a natural point to

reassess the effort underway and to change or terminate the project if
necessary. These points are referred to as phase exits, milestones, phase
gates, decision gates, stage gates, decision gates, stage gates or kill points.
122
123. During the Validate Scope Process, you formalize acceptance of the
project deliverables and keep the project focused on the business need for
which it was undertaken. This should be done:

A. After the Final Kickoff Meeting

B. At the end of the project
C. Immediately after the Change Control Board approves changes
D. After getting validated deliverables from the quality control process

Answer: D Explanation: Validated deliverables are the deliverables that

have been completed and checked for correctness by the Perform Quality
Control process (as per predefined acceptance criteria). They are an input to
Validate Scope process.
123
124. You are in the process of determining the project roles, responsibilities,
and reporting relationships for your team members. At the end of this
process, you will define/create all of the following, except:

A. Project staff assignments

B. Roles and responsibilities (i.e. RACI RAM)
C. Project organization charts
D. Staffing management plan

Answer: A Explanation: Project staff assignments are an output from the

"Acquire Project Team" process and not the Develop Human Resource Plan
process. Note: RACI relates to Responsible, Accountable, Consult, Inform.
124
125. How do sole source contracts differ from single source contracts?

A. Single source contracts are forms of non-competitive procurements,

where as sole source contracts are forms of competitive procurements.
B. Single source contracts are forms of competitive procurements, where as
sole source contracts are forms of non-competitive procurements
C. In single source contracts, you (buyer) contract a seller because he is
your preferred seller, where as in sole source contracts, you (buyer)
contract a seller because there are no other sellers for your required
procurement item.
D. Unlike sole source contracts, single source contracts help an organization
to save time because they do not involve procurement process before
bids or proposals are received.
Answer: C Explanation: The major difference between single source contracts and
sole source contracts--though both are non-competitive forms of procurements-is that in
single source contracts, contract is awarded to a seller because he is the organization’s
preferred seller, where as in sole source contracts, contract is awarded to a seller
because there are no other sellers for the organization’s required procurement item.
Options A and B: Both types are forms of non-competitive procurements. Option D:
Sole source contracts help organizations save time. 125
126. Identifying and documenting interdependencies between the various
project activities is done as part of which process?

A. Define Activities
B. Estimate Activity Durations
C. Sequence Activities
D. Develop Schedule

Answer: C Explanation: Sequence Activities is the process of identifying

and documenting relationships among the project activities. The key
process output is the Project Schedule Network Diagram.

126
 127. While identifying stakeholders, you plan to group the stakeholders
based on their level of authority and their active involvement in the project.
You can do this by using a:

A. Power/interest grid
B. Power/influence grid
C. Influence/impact grid
D. Salience model
Answer: B Explanation: There are multiple classification models (for
stakeholders) available including, but not limited to: Power/interest grid, grouping
the stakeholders based on their level of authority (power) and their level or concern
(interest) regarding the project outcomes; Power/influence grid, grouping the
stakeholders based on their level of authority (power) and their active involvement
(influence) in the project; Influence/impact grid, grouping the stakeholders based
on their active involvement (influence) in the project and their ability to effect
changes to the project`s planning or execution (impact); and Salience model,
describing classes of stakeholders based on their power (ability to impose their
will), urgency (need for immediate attention), and legitimacy (their involvement is
127
appropriate).
128. Your company asks you to manage a project of its subsidiary unit in
another country. You quickly realize that workers in the subsidiary unit have
poor work ethics as compared with that of your parent company. In this
context, which of the following will be the most appropriate course of action?

A. Ask your new team to emulate the work ethics of the teams of your
parent concern.
B. Take steps to change the work culture of your new team.
C. Regard your new team as lazy and impose sanctions.
D. Treat it as cultural differences, and try to determine ways to improve
productivity.

Answer: D Explanation: The PMI Code of Ethics and Professional Conduct

requires a project manager to address things with an open mind and accept
the cultural and ethical diversity that exists between different countries. So,
it is not the responsibility of the project manager to enforce the work-ethics
of one`s own country on the people of another country. 128
129. What is the status of the project?

A. Behind schedule, but under budget

B. Ahead of schedule, and under budget
C. Ahead of schedule, but over budget
D. Behind schedule, and over budget

Answer: C Explanation: Earned value (EV) = The sum of the approved cost estimates for activities
completed during a given period = Estimated cost of work that is completed after day 11
= $ 5,000 + $ 5,000 + $5,000*.50 = $ 12,500 (because Activity A, Activity B are complete, Activity
C is 50% complete)
Present value (PV) = Present work to be completed after day 11 = $ 5,000 + $ 5,000 + $ 5,000 *
(1/5) (because at end of day 11, according to our plan, Activity A, Activity B should be complete;
Activity C only one day out of 5 days should be complete, i.e. 20% complete ($ 1,000 of work
should be done) = $ 11,000.
Actual cost (AC) = Actual Cost of work completed = $ 13,000.
Schedule variance (SV) = EV - PV = $ 12,500 - $ 11,000 = $ 1,500
Since SV is positive, we are ahead of schedule.
Cost variance (CV) = EV - AC = $ 12,500 - $ 13,000 = - $ 500
Since CV is negative, we are over budget.
129
130. You have identified disaster situations (e.g. floods, earthquakes, etc.)
as potential risks. The project sponsor suggested that, at the project level,
no steps could be taken to deal with such risks and recommended creation
of a contingency reserve (with 5% of the project budget) which could be used
in case of disaster situations. This is an example of:

A. Risk mitigation
B. Risk acceptance
C. Risk avoidance
D. Risk transfer

Answer: B Explanation: THREATS: A.T.M.A. Accept: This strategy is

adopted because it is often not possible to eliminate all threats from a
project. This strategy indicates that the project team has decided not to
change the project management plan to deal with a risk, or is unable to
identify any other suitable response strategy. The most common active
acceptance strategy is to establish a contingency reserve, including amounts
of time, money, or resources to handle the risks when they turn into issues.
130
131. Your project involves creating a launch vehicle for NASA satellites. For
successful project implementation, it is important to coordinate activities with
other NASA operational groups to decrease uncertainty/confusion, and also
divide your project into several phases to provide better project management
control. To facilitate this, you should:

A. Break the project into several sub-projects.

B. Adopt a life cycle approach to manage the project.
C. Develop specific deliverables, which are approved by the sponsor.
D. Create a very comprehensive project charter.

Answer: B Explanation: A project life cycle is a collection of generally

sequential and sometimes overlapping project phases whose name and
number are determined by the management and control needs of the
organization or organizations involved in the project, the nature of the project
itself, and its area of application.
131
132. In your pharmaceutical company, quality is an important criterion to
determine project success. In this context, all the following are examples of
cost of non-conformance, except:

A. Training
B. Rework
C. Loss of reputation
D. Warranty

Answer: A Explanation: Training is a cost of conformance. Cost of Quality: A

method of determining the costs incurred to ensure quality. Prevention and
appraisal costs (cost of conformance) include costs for quality planning, quality
control (QC), and quality assurance to ensure compliance to requirements (i.e.,
training, QC systems, etc.). Failure costs (cost of non-conformance) include
costs to rework products, components, or processes that are non-compliant,
costs of warranty work and waste, and loss of reputation.
132
133. As a project manager, you understand the importance of identifying and
documenting project risks. Which of the following statements is true:

A. Risk identification occurs exclusively during Planning.

B. Risk identification occurs during Monitoring and Controlling of the
project.
C. Risk identification occurs during Execution of the project.
D. Risk identification can occur throughout the project, but comprehensive
risk identification is performed during the Planning Process Group.

Answer: D Explanation: Best answer. Comprehensive risk identification is

done as part of the Planning Process Group.

133
134. The process of monitoring the status of the project and product scope
and managing changes to the scope baseline is referred to as:

A. Validate Scope
B. Control Scope
C. Monitoring and Controlling Project Work
D. Scope Verifications

Answer: B Explanation: Control Scope is the process of monitoring the

status of the project and product scope and managing changes to the scope
baseline.

134
 135. Motivating your team members is important for the success of the
project. You understand from the HR manager that employees are
motivated by self-esteem, recognition, and self-actualization. To which
theory is the HR manager referring?

A. Theory Y
B. Learning curve theory
C. Herzberg`s theory
D. Maslow`s Hierarchy
of Needs

Answer: D Explanation: Abraham Maslow`s hierarchy of needs states that

different people are at different levels in the need hierarchy. Usually people
start out looking for physiological needs and then progressively move up the
needs hierarchy.
135
136. During the Close Procurements process, you should attend to all the
following, except:

A. Perform a structured review of processes from plan purchases and

acquisitions through contract closure.
B. Perform procurement performance reviews to determine seller`s
progress to deliver project scope and quality, within cost and on
schedule, as compared to the contract.
C. Identify successes and failures that warrant recognition to prepare or
administer procurement contracts in the future.
D. Use procurement audits as a technique.

Answer: B Explanation: Option B is ideally performed in Control

Procurements Process. Options A, C, and D: These are performed as part
of Close Procurements process.

136
137. During the Control Schedule Process, changes to project schedule
can result in change requests to:

A. Schedule baseline
B. Components of project plan
C. Activity attributes
D. Schedule baseline and/or components of Project Management Plan

Answer: D Explanation: Best answer. Schedule variance analysis along

with review of progress reports, results of performance measures and
modifications to the project schedule can result in change requests to the
schedule baseline and/or to other components of project management plan.

137
138. You are the project manager of a $ 20 million project, and you are
struggling to manage the needs of all the stakeholders. So, you decide to
classify the stakeholders, which will enable you to focus on the relationships
necessary to ensure the success of the project. All the following are valid
ways to classify stakeholders EXCEPT:

A. According to Interest
B. According to Organization hierarchy
C. According to Involvement
D. According to Influence

Answer: B Explanation: (“I” words . Most projects will have a large

number of stakeholders. As the project manager`s time is limited and must
be used as efficiently as possible, these stakeholders should be classified
according to their interest, influence, and involvement in the project. This
enables the project manager to focus on the relationships necessary to
ensure the success of the project. 138
139. Your company has awarded a contract to a vendor. After some time,
you realize that the vendor representative is your old buddy from school.
You inform this to your senior management, but they insist that you continue
to administer the contra ct. So, to avoid any accusations of bias in this
conflict of interest situation, you should:
A. Document all the decisions taken by you on the activities performed by
the vendor.
B. Refrain from administering the contract.
C. Resign from the project.
D. Remind your senior management of conflict of interest.
Answer: A Explanation: In case of conflict of interest situations, the project
manager should inform senior management, and distance oneself from the
conflict of interest situation, if possible. However, in this context, as the senior
management insists and the project manager has to continue in the current
position, appropriate documentation can help in preventing any accusation of
bias in conflict of interest situations. Option B and Option D are not relevant -
you had already mentioned about the conflict of interest situation to the senior
management and got approval to continue with the project. Option C is an
139
extreme step which need not be taken at this time.
140. You use a hierarchical structure of resources by resource category
and resource type to develop resource-limited schedules. This hierarchical
structure is also called a:

A. Business Requirements/Business Needs

B. Work Breakdown Structure
C. Resource Breakdown Structure
D. Graphical Statement of Work (SOW)

Answer: C Explanation: Resource breakdown structure (RBS) is a

hierarchical structure of resources by resource category and resource type
used in resource leveling schedules and to develop resource-limited
schedules, and which may be used to identify and analyze project human
resource assignments.
140
141. The Initiating Process Group consists of processes that facilitate the
formal authorization to start a new project or a project phase. All the
following should be performed during Initiating, except:

A. Develop the Project Charter

B. Adopt a Project Life Cycle
C. Stakeholder Analysis
D. Create the Project Scope Statement

Answer: D Explanation: Project Scope Statement is created during the

Planning Process Group.

141
142. The Project Management Staff are unable to determine the monetary
value for risk impacts on your construction project. One of the team
members suggests that you just develop a list of risks to watch out for.
However, you tell that you still can prioritize the risks by:

A. Performing a Monte Carlo simulation

B. Performing Qualitative Risk Analysis
C. Performing Quantitative Risk Analysis
D. Listing them as Residual Risks

Answer: B Explanation: Qualitative Risk Analysis ranks risks subjectively

(e.g. on a scale from 1-10).

142
143. To resolve conflicts in your project, you can use all the following
conflict resolution methods, except:

A. Collaborating
B. Smoothing
C. Avoiding
D. Directing

Answer: D Explanation: Directing is not a method for conflict resolution.

“Forcing” would be the closest to directing but is not listed as an option.

143
144. You have recently taken over a project from another project manager,
who left the company. The project has a CPI of .9 and an SPI of .6, but
senior management was not informed. What should you do FIRST?

A. Do not continue to manage the project.

B. Update the management with the status of the project.
C. Bring the project on schedule and then inform the management about
the status of the project.
D. Do crashing and fast-tracking of the project.

Answer: B Explanation: As per the PMI Code of Ethics and Professional

Conduct, a project manager should always provide true account of
information in an appropriate manner at appropriate times. Option A: This is
an extreme step and should not be taken now. Option B: This is the correct
answer; the management should be informed about the project status.
Option C: This is unethical - you should not withhold information from
appropriate stakeholders. Option D: Crashing would further increase costs
and fast-tracking may increase risks: this may adversely impact the project
status, and should be done only after informing the management. 144
145. You note that the ability to impact/influence the cost of a project
effectively is typically:

A. Greatest at the early stages of the project.

B. Greatest at the middle of the project.
C. Greatest at the project closure stage.
D. Constant throughout forming, storming, norming, and performing

Answer: A Explanation: The ability to influence cost is greatest at the early

stages of the project, making early scope definition critical.

145
146. A project team member informs you that a particular task is taking
much more time than estimated. You are surprised because you, had not
anticipated this delay, and you ask for status reports and forecasts from all
project team members. Which Process Group are you in?

A. Initiating
B. Executing
C. Monitoring and Controlling
D. Planning

Answer: C Explanation: Control Communications is the process of

collecting and distributing performance information, including status
reports, progress measurements, and forecasts, etc.
146
147. Which of the following relates to type of power the Project Manager
might have:

A. Autocratic, democratic, Laissez Fair

B. Formal, Reward, Penalty, Expert, Referent
C. Forming, Storming, Norming, Performing, Adjourning
D. Planning

Answer: B Explanation: Formal, Reward, & Penalty (Formal/legitimate:

based on position in organization). Expert, Referent (based on
reputation/credibility).
147
148. Frequent heated discussions with your colleague over an issue are
creating a hostile environment. Eventually he doesn’t even answer your
emails or voice mails. He is exhibiting:

A. Problem solving
B. Avoiding (Withdrawing)
C. Forcing
D. Confronting

Answer: B Explanation: Avoid the person; avoid the problem…

148
149. Six months into your project, your management lets you know you will
receive an incentive of $ 5,000, if you complete the project one month
ahead of schedule. When closing the project ahead of schedule, your team
informs you the product contains a minor flaw and may not fully satisfy the
customer`s needs. However, rectification of the minor flaw will require lot of
changes and take 2 more months. In this context, you will:

A. Close out the project.

B. Review the situation with your customer and sponsor.
C. Rectify the flaw and then close out the project.
D. Close the project and then inform the sponsor about the flaw.

Answer: B Explanation: Option B: Since this is a "minor flaw," but rectification

of that flaw would take a long time, it is better to discuss with the sponsor and
customer and get their inputs. Option A and Option D: This is unethical - the
project manager should definitely complete the project as per the specifications
before closing the project. Option C: Rectification of a minor flaw can lead to
delay of 2 months in the project: so, the project manager should first inform the
sponsor and customer before rectification of the flaw. 149
 150. Which of the following is not in the correct sequence?

A. Validate Scope, Close Procurements, Close Project or Phase

B. Kickoff Meeting, Acquire Project Team, Conduct Procurements
C. Quantitative Risk Analysis, Risk Response Planning, Procurement
Management Plan, Project Management Plan finalization for
approval, Project Management Plan sign off, Kickoff Meeting
D. Cost Estimates, Budget, Cost Management Plan, Quality
Management Plan

Answer: D Explanation: Cost Management Plan should be first in option D.

150
151. You are working in the Project Management Office (PMO) of your
organization. Your job responsibility is to:

A. Manage the operational activities in the company .

B. Manage human resource and risk management issues for individual
projects .
C. Provide support functions to project managers in the form of training,
providing software, standardizing policies, etc.
D. Provide subject matter expertise in the functional areas of the project.

Answer: C Explanation: A Project Management Office (PMO) is an

organizational body or entity tasked with various responsibilities related to
the centralized and coordinated management of those projects under its
domain. The responsibilities of a PMO can range from providing project
management support functions to actually being responsible for the direct
management of a project. 151
152. As a project manager, you are aware that changes are bound to
occur during project execution. While you are monitoring and controlling
changes, you use the term “project scope creep.” What does the term
refer to?

A. Uncontrolled changes
B. Controlled changes
C. Manageable changes
D. Unmanageable changes

Answer: A Explanation: Uncontrolled changes are often referred to as

project scope creep.

152
153. All of the following relate to negotiating skills you should have,
except:

A. Deadline, missing man, good guy/bad guy, & fait accompli

B. Negotiate on the merits
C. Joint Problem Solving
D. Don’t dig into your position, improve (or at least not damage) the
relationship

Answer: A Explanation: These are actually negotiating tactics that

may be used against you!

153
154. You are documenting project purchasing decisions, specifying the
approach and identifying potential sellers. Some tools you can use include
all the following, except:

A. Make or buy analysis

B. Bidder conferences
C. Expert judgment
D. Contract types

Answer: B Explanation: Option B: This is the correct answer.

Documenting project purchasing decisions, specifying the approach and
identifying potential sellers are performed as part of the Plan Procurements
process. “Bidder conferences” are a technique used in Conduct
Procurements process. Make- or buy- analysis, expert judgment, and
contract types specified in the options A, C, and D respectively are some of
the tools and techniques used in Plan Procurements process.
154
155. The following provides information on a particular task in your project:
Early Start (ES): 25 days
Late Start (LS): 30 days
Early Finish (EF): 50 days
Late Finish (LF): 55 days

Based on this information, you can deduce that:

A. The activity is on the critical path.
B. The project may get delayed.
C. The project float is 5 days.
D. The activity is not on the critical path.

Answer: D Explanation: Option D: This is the correct option, as the task is not on
the critical path. Option A: Since LS - ES = LF - EF = 5 days, the task has a slack
of 5 days; hence this task cannot be on the critical path. Option B: There is no
information in the question that suggests that the project may get delayed.
Option C: The project float is the amount of time a project can be delayed
without delaying the externally imposed date. Since the externally imposed date
is not mentioned, we cannot determine the project float. 155
156. You have just discovered a risk during your project that requires an
immediate corrective action. During which Project Risk Management
Process is this action performed?

A. Plan Risk Management

B. Risk Reassessment
C. Perform Qualitative Risk Analysis
D. Control Risks

Answer: D Explanation: Control Risks is the process of implementing risk

response plans, tracking identified risks, monitoring residual risks,
identifying new risks, and evaluating risk process effectiveness throughout
the project.
156
157. As a project manager, you use work authorization system to assign
and allocate work to your team members in the proper sequence. In this
context, the primary purpose of the work authorization system is to:

A. Prevent team members from starting the work without your permission.
B. Prevent scope creep.
C. Prevent unnecessary changes to project scope.
D. Clarify and initiate the work for each work package.

Answer: D Explanation: Work authorization system: A subsystem of the

overall project management system. It is a collection of formal documented
procedures that defines how project work will be authorized (committed) to
ensure that the work is done by the identified organization, at the right time,
and in the proper sequence. It includes the steps, documents, tracking
system, and defined approval levels needed to issue work authorizations.
157
158. Your project is facing attrition of project resources, and you would like
to document processes carefully to ensure business continuity in the future.
Certain costs will have to be incurred for this purpose. What type of costs
are they?

A. Costs of nonconformance
B. Emotional Intelligence-related costs
C. Failure costs
D. Prevention costs

Answer: D Explanation: Proactive is necessary.

158
159. You are in the process of obtaining seller responses to select a seller.
You conduct a bidder conference, where your primary objective is to:

A. Ensure that sellers have a clear understanding of the proposal.

B. Determine who would be qualified sellers for bidding.
C. Evaluate the interest level of sellers.
D. Use evaluation criteria to select sellers.

Answer: A Explanation: Bidder conferences are meetings with all

prospective sellers and buyers prior to submittal of a bid or proposal. They
are used to ensure that all prospective sellers have a clear and common
understanding of the procurement (both technical and contractual
requirements), and that no bidders receive preferential treatment.

159
 160. You would like to use project management best practices to
sequence the activities for your road construction project. Which of the
following are based on preferred dependencies and/or best practices?

A. Mandatory dependencies
B. Discretionary dependencies
C. Industry norms
D. Best Practice standards for ISO 9001 certification

Answer: B Explanation: Discretionary dependencies are established based

on the knowledge of best practices within a particular application area or
some unusual aspect of the project where a specific sequence is desired,
even though there may be other acceptable sequences. Discretionary
dependencies should be fully documented, since they can create arbitrary
total float values and can limit later scheduling options.
160
161. During the Plan Risk Management process, you define how to conduct
risk management activities for a project because careful and explicit planning
enhances the probability of success for the subsequent risk management
processes. Which of the following is NOT done during Plan Risk
Management?

A. Identify Risks
B. Establish an agreed-upon basis for evaluating risk
C. Ensure that the degree, type, and visibility of risk management are
commensurate with both the risks and the importance of the project
D. Provide sufficient resources and time for risk management activities

Answer: A Explanation: Planning risk management processes is important

to ensure that the degree, type, and visibility of risk management are
commensurate with both the risks and the importance of the project to the
organization. Planning is also important to provide sufficient resources and
time for risk management activities, and to establish an agreed-upon basis
for evaluating risks. 161
162. The Project Management Plan is the most important planning
document produced with inputs from several subsidiary processes. In which
of the following Processes is the project management plan NOT used as an
Input?

A. Monitor and Control Project Work

B. Develop Project Charter
C. Perform Integrated Change Control
D. Direct and Manage Project Work

Answer: B Explanation: Develop Project Management Plan is the

process of documenting the actions necessary to define, prepare,
integrate, and coordinate all subsidiary plans. The Project Charter is an
Input to the Project Management Plan, but not vice versa…..
162
163. You are doing a structured review to determine whether product
activities comply with organizational and project policies. This is conducted
as part of (a) ________________, and is performed during (b)
_____________ process.

A. (a) Quality audit (b) Quality Assurance

B. (a) Quality audit (b) Quality Control
C. (a) Process analysis (b) Quality Assurance
D. (a) Process analysis (b) Quality Control

Answer: A Explanation: Quality audit is a structured, independent review

performed to determine whether product activities comply with
organizational and project policies, processes, and procedures. “Quality
audits” is a technique used during the Perform Quality Assurance process.

163
164. When you (the buyer) control a contract, you should pay attention to
all the following, except:

A. Ensure that contractual obligations are met.

B. Apply appropriate project management processes to the contractual
relationship and integrate the outputs from these processes to the
overall management of the project.
C. Monitor payments to the seller, as per the contract.
D. Perform regular procurement audits.

Answer: D Explanation: A procurement audit is a structured review of the

procurement process originating from Plan Procurements process through
Control Procurements Process. This is one of the tools and techniques
used in Close Procurements process.

164
165. You are working on a 12 month assignment to build a website with
4000 pages for $ 1,000,000. You are supposed to spend $ 250,000 every 3
months. After 6 months, you determine that only $ 400,000 of work is
completed and cost incurred is $ 800,000. What is the ETC?

A. $ 2,000,000
B. $ 1,500,000
C. $ 1,000,000
D. $ 1,200,000

Answer: D Explanation: The default value of EAC (assuming current

variances are typical) is calculated as below: EAC = AC + (BAC-EV) / CPI
= $800,000 + ($ 1,000,000 - $ 400,000)/($ 400,000 / $ 800,000)
= $ 800,000 + ($ 600,000/0.5) = $ 2,000,000.
So, ETC = EAC – AC = $ 2,000,000 - $ 800,000 = $ 1,200,000
165
166. Your project is complete and you are performing project closure
activities. In this context, what should you do LAST?

A. Creating final product, service, or result transition

B. Releasing project resources working on the project
C. Updating organizational process assets
D. Accepting deliverables

Answer: B Explanation: Final product, service, or result transition,

organizational process assets updates are outputs of the Close Project or
Phase and accepted deliverables are its inputs. However, even Close Project
will need resources (e.g. people, equipment, etc). Hence, releasing of project
resources should happen at the very end of the Close Project or Phase.

166
167. While preparing the schedule for the project activities, you find there
is very limited information on activity durations, but you may be able to
obtain some information from others within you company. Which estimating
tool do you use?

A. Three-point estimates
B. Parametric estimating
C. Quantitative estimating
D. Analogous estimating

Answer: D Explanation: Analogous estimating may use parameters such

as duration, budget, size, weight, and complexity, from a previous, similar
project, as the basis for estimating the same parameter or measure for a
future project. Analogous duration estimating is frequently used to estimate
project duration when there is a limited amount of detailed information about
the project, for example, in the early phases of a project. Analogous
estimating uses historical information and expert judgment.
167
168. You are a retail company which routinely buys goods from foreign
countries. Since currency fluctuation is an important risk, you keep all other
factors constant and try to find out how much your project will be impacted if
the currency rate fluctuates by 5%, 10%, 20% or 25%. This helps you
determine appropriate risk response. This can also be effectively shown
using:

A. Beta probability distributions

B. Expected monetary value analysis
C. Tornado diagram
D. Simulation

Answer: C Explanation: Sensitivity analysis helps to determine which risks

have the most potential impact on the project. It examines the extent to
which the uncertainty of each project element affects the objective being
examined when all other uncertain elements are held at their baseline
values. One typical display of sensitivity analysis is the tornado diagram,
which is useful for comparing relative importance and impact of variables
that have a high degree of uncertainty to those that are more stable. 168
169. In your project, you are defining and documenting stakeholders` needs
to meet the project objectives. You know this is very important as the
project`s success is directly influenced by the care taken during this process.
You should be very diligent when you:

A. Identify Stakeholders
B. Collect Requirements
C. Create Project Charter
D. Create Project Management Plan

Answer: B Explanation: Collect Requirements is the process of defining

and documenting stakeholders` needs to meet the project objectives. The
stakeholders have already been identified. The project`s success is directly
influenced by the care taken in capturing and managing project and product
requirements. Requirements include the quantified and documented needs
and expectations of the sponsor, customer, and other stakeholders. 169
170. You need to gather information, but certain people have expressed
their opinions in a way that seems to bias objectivity. You might try:

A. Narrowing the number of sponsors

B. The Delphi technique
C. Applying Parkinson’s Law
D. Compromising

Answer: B Explanation: Anonymous method for gathering information

170
171. A documented direction to perform an activity that can reduce the
probability of negative consequences associated with project risks is
called:

A. Corrective action
B. Preventive action
C. Defect repair
D. Risk transference

Answer: B Explanation: Preventive action: A documented direction to

perform an activity that can reduce the probability of negative
consequences associated with project risks.
171
172. You are monitoring the technical performance of your website. Past
data on the number of users and their experience helps you forecast how
your website would perform if the number of users increases in the future.
This is an example of:

A. Design of experiments
B. Control chart
C. Organizational process assets
D. Trend analysis

Answer: D Explanation: Trend analysis is performed using run charts and

involves mathematical techniques to forecast future outcomes based on
historical results. Trend analysis is often used to monitor technical
performance, i.e, how many errors or defects have been identified, and how
many remain uncorrected and cost and schedule performance, i.e., how
many activities per period were completed with significant variances.
172
173. When conducting procurement negotiations, all the following steps
should be followed, except

A. Project manager leads negotiating process

B. Subjects covered may include responsibilities, authority to make
changes, applicable terms, and governing law.
C. For complex items, contract negotiation may be an independent process
with inputs & outputs of their own.
D. Negotiations should clarify the structure, requirements, and other terms
of the purchases.

Answer: A Explanation: The project manager may not be the lead

negotiator on procurements. The project manager and other members of the
Project Management Staff may be present during negotiations to provide
assistance, and if needed to add clarification on the project’s technical,
quality, and management requirements.
173
174. As a project manager, you are required to produce project
performance reports on a regular basis, your project`s Budget at
Completion is $750,000, planned value is $100,000, schedule variance is
$30,000, and cost variance is $50,000. What is the percentage complete
and estimate at completion in your project?

A. 18%, $ 500,000
Answer: B Explanation:
B. 17.33%, $ 461,538 SV = EV – PV EV = SV + PV
C. 17.8%, $ 437,500 = 30,000 + 100,000 = 130,000
D. 18%, $ 437,500 CV= EV – AC AC = EV- CV
=130,000 – 50,000 = 80,000
Percentage Complete = EV/BAC x 100
= 130,000/750,000x100 = 17.33%
CPI=EV/AC
= 130,000 / 80,000 =1.625
EAC = AC + (BAC-EV) / CPI
= 80,000 + (750,000 – 130,000) / 1.625
= 80,000 + (620,000) / 1.625
= 461,538
174
175. Which of the following processes occur in the Planning Process
Group?

A. Identify Risks
B. Manage Stakeholders Engagement
C. Acquire Project Team
D. Identify Stakeholders

Answer: A Explanation: Only Identify Risks occurs during Planning

Process Group.

175
176. You have discovered that a deviation from the schedule baseline has
occurred. You want to determine the reason and level of variance relative to
the schedule baseline so that corrective action can be taken. Which of the
following tools would you use for this purpose?

A. Scheduling tool
B. Performance reviews
C. What-If Scenario analysis
D. Variance analysis

Answer: D Explanation:
Variance analysis is used to determine the cause and degree of variance
relative to the schedule baseline and decide whether corrective or preventive
action is required.
176
177. When your company buys computers from Dell, you also pay extra for
a three-year warranty which ensures that any manufacturing defects will be
covered. The risk response strategy used is:

A. Exploit
B. Avoid
C. Mitigate
D. Transfer

Answer: D Explanation: Transfer. Risk transfer requires shifting some or all

of the negative impact of a threat, along with ownership of the response, to a
third party… Transference tools can be quite diverse and include, but are not
limited to, the use of insurance, performance bonds, warranties, guarantees,
etc.
177
178. You are performing several actions to execute the project
management plan and to complete the work defined in the Project Scope
Statement. You are:

A. Taking corrective or preventive action to control the project

performance
B. Settling or closing any contract agreement established for the project
C. Creating a document that will formally authorize the project
D. Collecting work performance information about the completion status of
the deliverables and what has been accomplished

Answer: D Explanation: Option D: You are in Executing. Work

performance information, about the completion status of the deliverables
and what has been accomplished, is collected as part of project execution
and is fed into the performance reporting process. Option A: This is done as
part of the Monitor and Control Project Work—not during the project
execution phase. Option B: This is done as part of the Close Procurements,
which is part of the project closure activities. 178
179. Your quality process did not meet the four sigma requirements desired
by your customer. So, some of your products were rejected and there is a
possibility that you would not receive repeat business from the customer.
From a quality perspective, the costs associated with the rejected products
can also be categorized as:

A. Cost of conformance
B. Customer retention costs
C. Failure costs
D. Performance costs

Answer: C Explanation: Failure costs (cost of non-conformance) include

costs to rework products, components, or processes that are non-compliant;
costs of warranty work and waste; and costs due to loss of reputation.

179
 180. In which Process Group will approved changes be implemented?

A. Planning Process Group

B. Executing Process Group
C. Monitoring and Controlling Process Group
D. Closing Process Group

Answer: B Explanation: The Executing Process Group consists of those

processes performed to complete the work defined in the project
management plan to satisfy the project specifications, and includes
implementing changes approved by the Change Control Board.
180
181. What is the to-complete performance index (TCPI) based on the given
data:

Budget at completion of the project = 700,000

Cost variance of the project = 25,000
Earned value of the project = 200,000
Estimate to Complete has now been revised to 425,000

A. 0.9
B. 1.176 Answer: B Explanation: CV = EV - AC, AC = EV - CV
C. 1.5 200,000 - 25,000 =175,000
D. -1.5 EAC = AC + ETC
EAC = 175000 + 425000
EAC = 600,000

TCP I = BAC – EV / EAC - AC

= (700,000 - 200,000) / (600,000 - 175,000)
= 500,000 / 425000 = 1.176
181
182. You have just completed the project. While reviewing the costs, you
observed that most of the project`s budget was utilized for activities
performed in processes relating to one particular process group. The
Process Group where most project expenditures are typically made is:

A. Planning Process Group

B. Executing Process Group
C. Monitoring and Controlling Process Group
D. Closing Process Group

Answer: B Explanation: A large portion of the project`s budget will be

expended in performing the Executing Process Group processes.

182
183. The concepts of "Zero Defects" and "Do It Right First Time" were
formulated by:

A. Ouichi
B. Deming
C. Crosby
D. Juran

Answer: C Explanation: Philip Crosby defined quality as "Zero Defects"

and "Right First Time".

183
184. A new project manager in your organization, is ready to enter into a
contract, but is unsure of the type of contract she should select. Which type
of contract represents the highest risk to the seller?

A. Cost reimbursable plus incentive

B. Fixed price
C. Fixed price plus incentive
D. Cost- reimbursable

Answer: B Explanation: Notice it says “Seller.” Be careful! .

Fixed price contracts involve setting a fixed total price for a defined product
or service to be provided. Sellers are under highest risk as fixed-price
contracts are legally obligated to complete such contracts, with possible
financial damages, if they do not.

184
 185. A red, yellow, green graph, that can be used to graphically
illustrate the risks 9threats and opportunities) on the project,
qualitatively is called the:

A. Risk Contingency Plan

B. Risk Breakdown Structure
C. Risk Register
D. P – I Matrix

Answer: D Explanation: P-I Matrix (Probability – Impact Matrix.

185
186. You are involved in manufacturing ball bearings using lathe machines.
The ball bearings should have a diameter of 5.0 cms - allowable control
limits are 4.95 cms to 5.05 cms. Measurements made after the end of the
process for the bearings produced are: 4.96, 4.98, 5.01, 5.03, 5.02, 5.01,
5.03, 5.04, 5.02, 4.96, 4.98, and 5.00. What is your conclusion about the
process?

A. Process is out of control and needs to be investigated

B. Process is in control and adjustments are not required
C. The tool needs to be changed or re-calibrated
D. Process should be further measured using a run chart

Answer: A Explanation: A process is considered out of control when a data

point exceeds a control limit or if seven consecutive points (i.e. 5.01 or
higher) are above or below the mean.

186
187. Your customer has decided to terminate your software project as the
need for the product does not exist anymore. As a project manager, what
step would you take first?

A. Call a meeting with the customer to see if they will reconsider

B. Verify the request against the procurement documents
C. Enter Close Procurements process
D. Seek project sponsors advice

Answer: C Explanation: Close Procurements is the process of completing

each project procurement. Early termination of a contract is a special case
of procurement closure that can result from a mutual agreement of both
parties, from the default of one party, or for convenience of the buyer, if
provided for in the contract. As per the termination clause, the buyer may
have to compensate the seller for seller’s preparations and for any
completed and accepted work related to the terminated part of the contract. 187
 188. You are working in the "vendor management" group in your company.
During Plan Procurements, you are involved with documenting the products,
services, and results requirements and identifying potential sellers. You will
be requiring all the following inputs during Plan Procurements, except:

A. Procurement statements of work

B. Requirements documentation
C. Organizational process assets
D. Project schedule

Answer: A Explanation: Procurement statements of work is the output of Plan

Procurements process. All the remaining are inputs required for Plan
Procurements.
188
189. You have created a WBS and are ready to move on to the next process
which is:

A. Develop Project Scope Statement

B. Create WBS Dictionary
C. Plan Schedule Management
D. Project Network Diagram

Answer: C Explanation: Sequence matters on the exam. Know it well!

189
190. Which of the following will you undertake in the Monitoring and
Controlling process of your project?

A. Confirming human resource availability and obtaining the team

necessary to complete project assignments .
B. Influencing the factors that could circumvent integrated change control
so that only approved changes are implemented .
C. Making relevant information available to project stakeholders as
planned.
D. Auditing the quality requirements and the results from quality control
measurements to ensure that appropriate quality standards and
operational definitions are used .

Answer: B Explanation: Monitoring and Controlling process group

includes... influencing the factors that could circumvent integrated change
control so only approved changes are implemented.
190
191. In PDM, which precedence relationship type is most commonly used?

A. FS (Finish to Start)
B. FF (Finish to Finish)
C. SS (Start to Start)
D. SF (Start to Finish)

Answer: A Explanation: In PDM, finish-to-start (FS) is the most commonly

used type of precedence relationship.

191
 192. If there is a fire, the risk response plan developed is to use a fire
extinguisher. If the fire extinguisher cannot take care of the fire, you call the
fire department. Calling the fire department is an example of:

A. Secondary risk
B. Residual risk
C. Fallback Plan
D. Work around

Answer: C Explanation: Several risk response strategies are available…

A fallback plan can be developed for implementation if the selected strategy
turns out not to be fully effective, or if an accepted risk occurs.
192
193. A project manager wants to update a project management plan. For
performance measurement purposes, you suggest the updated project
management plan include:

A. Performance reports and enterprise environmental factors.

B. Expert judgment and change control meetings.
C. Final product, service, or result transition and organizational process
assets updates.
D. Scope, quality management plan, cost, and schedule baselines.

Answer: D Explanation: Option D: Best answer. Project management plan

elements that may be updated include, but are not limited to, schedule
management plan, cost management plan, quality management plan, scope
baseline, schedule baseline, and cost performance baseline.
193
194. According to the 80/20 rule, 80 percent of the problems are because of
20 percent of the causes. To identify the most probable defects and to
evaluate nonconformities, you do a rank ordering of the defects using:

A. Statistical sampling
B. Control chart
C. Pareto diagrams
D. Inspection

Answer: C Explanation: A Pareto chart (also referred to as a Pareto

diagram) is a specific type of histogram, ordered by frequency of occurrence.
It shows how many defects are generated by type or category of identified
cause. Rank ordering is used to focus on corrective action.

194
195. You create several project documents which will help your team
manage the project. Which of the following is NOT an example of a project
document?

A. Schedule baseline
B. Assumption log
C. Roles and responsibilities matrix (RACI RAM)
D. Risk register

Answer: A Explanation: Schedule Baseline is part of project management

plan (and not included as part of project documents). All the others are
included as part of project documents.

195
196. You have asked your programmer to give you an estimate of how long
she will take to complete a software program. She mentions that she would
most probably get the job finished in 2 hours. But if she runs into some
issues doing unit-testing for the program, it could take her as long as 7
hours. On the other hand, she may be able use with to pick up a similar
program from the organization process assets, in which case it will take her
only 1 hour. What is the standard deviation?

A. 2 hours
B. 1 hour
C. 3 hours
D. Cannot be determined from the provided information

Answer: B Explanation:
Standard Deviation = (Pessimistic – Optimistic )/ 6 = (7 - A) / 6 = 1
196
 Activity Xy (7 days)y Activity Z

197. Refer to the diagram above. Which of the following situations could this
diagram most likely represent?

A. Activity X (gathering requirements), and Activity Z (writing code) should

be done in parallel.
B. Activity Z (unit testing the code) should begin 7 days after finishing
Activity X (writing the code).
C. Activity X and Activity Z together have 7 days of slack.
D. Activity Z (plastering the floor) should begin 7 days after beginning
Activity X (pouring concrete).

Answer: B Explanation: This is used to depict a finish-to-start relationship

where 7 days represents lag or, “waiting time.” Only Option B talks about a
lag where, after completing Activity X, we must wait for 7 days before starting
work on Activity Z. Note: Option A shows parallel relationship between the
activities and not a lag. Option C shows slack and does not describe lag.
Option D shows start-to-start relationship with a lag. 197
 198. Matrix organizations exhibit features of both projectized and
functional organizations. In a weak matrix organization, the role of a
project manager may be that of a:

A. Project coordinator
B. Manager with considerable authority
C. Support person
D. Functional manager

Answer: A Explanation: Weak matrices maintain many of the

characteristics of a functional organization, and the role of a project
manager is more of a coordinator or expediter than that of a true project
manager.

198
199. A team member suggested the addition of a functionality, which he
thinks, will improve customer satisfaction. This feature was listed as out of
scope in the Project Charter. Your approach should be to:

A. Allow for the functionality, because satisfying the customer is your

objective.
B. Disallow the new requirement, because it changes the project scope,
and the Project Charter explicitly states this requirement is not to be
included in the project.
C. Make changes to the project plan to accommodate the new
requirement.
D. Ask the customer for additional funding to implement the requirement .

Answer: B Explanation: This is a team member—not a customer or sponsor.

Project Scope Management includes the processes required to ensure that
the project includes all the work required, and only the work required, to
complete the project successfully. Managing the project scope is primarily
concerned with defining and controlling what is and what is not included in the
project. 199
200. To get the work done, a supervisor threatens punishment and strictly
supervises the work themselves. The supervisor is advocating:

A. Theory Y (McGregor)
B. Theory X (McGregor)
C. Maslow`s hierarchy of needs
D. Theory Y (Ouichi)

Answer: B Explanation: Douglas McGregor advocates that most workers

can be categorized according to two theories:
Theory X: This assumes that the workers are inherently lazy and require
supervision. Theory Y: The average worker finds physical and mental effort
on the job satisfying.

200
201. Your Project Sponsor wants to know what measures you have taken to
ensure quality on your project. You tell her you will use most of the
“Seven Basic Quality Tools,” which include all of the following, except:

A. Pareto charts and histograms

B. Requirements traceability matrix (RTM) and project management
software
C. Checksheets, flowcharts, and scatter diagrams
D. Fishbone (Ishikawa) diagrams, and quality control charts

Answer: B. Although helpful for tracking requirements over the course of the
project, RTM is not one of the 7 basic quality tools. Likewise, project
management software is helpful mostly for scope, schedule, and budget—not
quality.

201
202. A Business Analyst is assisting you in developing a business case with
senior management. This relates best to:

A. Product requirements
B. Product specifications
C. Business requirements
D. Collaboration with the customer

Answer: C. Business requirements are determined as part of the business

need, and documented as the business case. The customer may not care
much if their desires match the company’s needs/requirements (i.e. Customer
requirements).

202
203. Your company is constantly looking for ways to reduce/eliminate waste
on all projects. This relates best to:

A. 80/20 rule
B. Halo effect
C. Parkinson’s law
D. LEAN

Answer: D. LEAN relates to best to Just in Time (JIT) and possibly Kanban
visual charts. 80/20 often relates to Pareto charts. Halo effect relates to
assuming people will be good at another assignment, simply because they are
good at another job. Work expands so as to fill the time/money available
relates to Parkinson’s law.

203
204. A Business Analyst will assist you on the project you have just been
assigned to. She tells you she will use the following project document to
track requirements:

A. Requirements traceability matrix

B. Business requirements grid
C. Customer and stakeholder RACI-RAMs
D. Resource tracking table

Answer: A. The requirements traceability matrix is a key tool for tracking

requirements. The rest are made up terms for project documentation.

204
205. You are observing that people on your team believe that stakeholders
should behave as “robots,’ to decrease the “drama” during the project
lifecycle. But you understand the people should recognize their own and
other stakeholder’s emotions, and to use this information to guide
thinking and behavior. This relates best to which of the following.

A. Emotional intelligence (EI)

B. Emotional wisdom (EW)
C. Emotional discernment (ED)
D. Emotional qualification (EQ)

Answer: A. Emotional intelligence (EI) relates to observing people’s feelings

as they are NOT robots. This information can help with communications,
negotiations, motivation, etc. The rest are made up answers.

205
206. You’re being assigned to an important software development project
that must be completed within three weeks. Most of your past experience
has been with predictive lifecycles, but this project will require you to be
more adaptive to frequent modifications. You will need to work closely
with stakeholders over five, main, iteration, milestone events. This
relates best to:

A. Just-in-time (JIT)
B. Kanban
C. LEAN
D. Agile

Answer: D. Agile relates to adaptive lifecycles—mainly iterative and

incremental lifecycles in a fast-paced, change-driven, evolutionary
environment. LEAN relates to JIT, and Kanban.

206
207. Formalized acceptance relates best to which processes?

A. Continuous Process Improvement Plan and Quality Assurance

B. Monitoring and Controlling
C. Perform Quality Control and Validate Scope
D. Plan Quality and Control Scope

Answer: C. Quality Control (verify), and Validate Scope (accept deliverables)

best relate to acceptance (formalized acceptance). Note that you verify
quality, and then validate scope to yield “accepted deliverables.”

207
208. You are developing a RACI-RAM. What does RACI stand for?

A. Responsible, Accountable, Console, Inform

B. Reliable, Accountable, Consult, Intellectual
C. Responsible, Accountable, Consult, Inform
D. Responsible, Accountable, Conforming, Informing

Answer: C. The rest are made up.

208
209. Which of the following would be best for ensuring the project aligns with
business requirements?

A. Quality Control
B. Contracts
C. Key Performance Indicators (KPIs)
D. Stakeholder Engagement

Answer: C. KPIs are a type of performance measurement used to evaluate

the success of the overall project. (E.g. zero defects, meets business
requirements, customer satisfaction.)

209
210. Which of the following would best relate to Tuckman’s team phases
(sequentially) teams often go through:

A. Exploring, Storming, Norming, Performing, and Adjourning

B. Forming, Storming, Norming, Performing, and Conforming
C. Forming, Storming, Norming, Performing, and Adjourning
D. Forming, Storming, Performing, Norming, and Adjourning

Answer: C. The rest are made up, or not in the correct sequence.

210
211. A quality management and control tool, also useful for risk contingency
planning is:

A. Histograms
B. Pareto Charts
C. Benchmarking
D. Process Decision Program Charts (PDPC)

Answer: D. Process Decision Program Charts (PDPC) may be used for this
purpose. NOTE: PDPC is NOT one of the seven basic quality tools are as
the others here are. For the exam, link Pareto charts to the “vital few,” and the
80/20 rule.

211
212. Which of the following relates best to to Total Quality Management
(TQM), Edwards Deming, iterative/incremental/adaptive lifecycles, Agile,
and possibly rolling wave/progressive elaboration?

A. OPM3 and CMMI

B. Encoder, medium, communication blockers, decoder, and feedback
C. Forming, Storming, Norming, Performing, and Adjourning
D. Plan-Do-Check-Act (PDCA)

Answer: D. This is a key TQM concept for continuous improvement (i.e.

iteration). A Organizational Process Maturity Model Methodology (OPM3) and
Capability Maturity Model Integrated (CMMI) relate to rating the organizations
repeatable/consistency in performing project-related processes. B relates the
communication model. C relates to Tuckman’s team stages.

212
213. Your project has an SPI of .9, and a CPI of 1.2. Which of the following
could be the reason for this?

A. You are .9% ahead of schedule, but 1.2% behind of schedule.

B. The work is not being done according to your schedule, and you have yet
to pay the sellers.
C. You are more behind on budget than schedule.
D. The work is being done according to schedule, but you are behind on
budget.

Answer: B. You are only progressing at 90% of the rate originally planned,
but are 20% under budget. Eventually, you will have to pay the vendors, and
at that time, you may find that you are also over budget. Often, when you are
behind schedule, it’s just a matter of time before you go over budget as well.

213
214. Your company has been working with a particular contractor for many
years, and has been happy with their performance. You have just been
assigned to take over a very large project, that will require the services of
a competent contractor. A program manager advises you to just use the
“standard” generic company contract. Which of the following would be
the best course of action for you to take before hiring the seller?

A. Use the generic contract and make changes, if needed.

B. Set up a meeting to discuss your concerns with the legal and
procurement departments to ensure you protect all stakeholders for this
potential transaction.
C. Ask the contractor for a copy of their generic contract, and sign it.
D. It’s more important to synchronize the objectives of the buyer/seller by
adding award/incentive fees as early as possible.

Answer: B. Note how it’s best to seek “expert” advice. In the case of
contracts, the legal and/or the procurement departments are better than the
other stakeholders mentioned in the other answers. The other answers still do
not address the fact the contract needs to reflect the work, schedule, cost, etc
are appropriate. For the exam, get everything in writing. 214
215. You are performing the Develop Project Team Process. Which of the
following tools/techniques would you most likely be performing?

A. Compromising
B. Pre-assignment
C. Training/mentoring
D. Maslow’s Hierarchy of Needs

Answer: C. Training (informal/formal/mentoring/coaching) is the only tool and

technique that relates to this process. A Compromising may relate to conflict
resolution. B Pre-assignment may be done during Acquire Project Team. D
This is a motivation theory.
215
216. You are submitting time/cost reports, reviewing disbursements, linking
to code of accounts, and reviewing contract provisions for your software
development project. You are most likely using:

A. Financial control procedures

B. Project scheduling tools
C. Administrative closure tools
D. Quality metrics and checklists

Answer: A. Note how this relates best to project financial, budget, & cost
procedures. ($) B is more for schedule, not cost-related. C is too general. D
is quality, not cost-related.
216
217. A Senior Project Manager that does not believe in PMI best practices,
and never took the PMP exam, has recently retired. You have been
assigned his project which is now only 50% done. After assessing the
project with the Project Sponsor, you realize the project is significantly
behind schedule, and significantly over budget. During your discussion,
the Project Sponsor realizes the project has now become a “huge money
pit,” because the project/product scope was poorly defined. The most
likely reason this has occurred relates to all of the following, except:

A. No lifecycle was determined.

B. Key stakeholders were not identified.
C. Project management software was likely not used.
D. A Project Charter was not developed.

Answer: C. Note how this does not relate to what’s most vital during the early
phases of the project. While helpful, this tool will not help if a good foundation
is not first determined.) All the rest, relate to solid PMI best practices.
217
218. You are making up a hammock portion of the project schedule network
diagram. Activity A can start immediately, and takes 10 days. Activity B
can start immediately, and takes 11 days. Activity C can start after
Activity A and B are complete and takes 20 days. Activity D can start
after activity B is complete, and takes 30 days. Activity E can start after
Activity D is complete, and takes 5 days. Activity F is the last Activity in
the diagram, can start after Activity D and E are complete, and takes 10
days. Which is true?

A. This example refers to crashing and fast-tracking.

B. Activities A and B should be crashed immediately.
C. Activity F is on the critical path.
D. A backward pass is required to provide more information.

Answer: C. Activity F is on the critical path, as it will always have 0 float/slack

as all other activities are predecessors. This will be true even if there are
changes in other activity durations.
218
219. You are closing out your project, and there will be a modest cost
overrun which you will “share” with a seller. The sharing ratio
documented in the contract is 60/40. The cost overrun is $10,000. How
much of the cost overrun is the seller responsible for?

A. Not enough information to calculate

B. $400
C. $6,000
D. $4,000

Answer: D. Sharing ratio is in Buyer/Seller (B/S) order. .40 x $10,000 =

$4,000

219
220. The late finish for Activity D was 20 days, and the early finish is 21 days.
Based on this information you know:

A. Activity D will take 41 days to complete.

B. The project will definitely finish late.
C. Activity D is ahead of schedule by 1 day.
D. Activity D is late by 1 day.

Answer: D. Activity D is not only on the critical path, it is one day late. Late
Finish – Early Finish = Float. 20 – 21 = -1 (NOTE: Just because one activity
is late, does not necessarily mean the project will be late.)
220
221. You and key stakeholders are determining the scope for the project.
It’s important to have an accurate scope baseline. Which of the following
processes produces the scope baseline?

A. Create WBS
B. Plan Requirements Management
C. Define Scope
D. Collect Requirements

Answer: A B is close, but A is better. C produces the Project Scope

Statement. D collects/elicits requirements. All relate to the Scope Baseline.

221
222. You and your project management staff are performing product
analysis. What process are you performing?

A. Define Scope
B. Collect Requirements
C. Create WBS
D. Develop Project Charter

Answer: A The Project Scope Statement can be developed by reviewing the

Project Charter (high-level product information).

222
223. You and your project management staff are determining calendar dates
for your project’s schedule. You are performing which of the following
processes?

A. Estimate Activity Durations

B. Develop Schedule
C. Sequence Activities
D. Estimate Resources

Answer: B A determines work periods, not calendar dates. C merely

sequences activities. D merely estimates what and how many resources will
be required.
223
224. You and your project management staff are determining how to
sequence activities. Which of the following dependency relationships is
most common and considered mandatory?

A. Start-to-finish
B. Start-to-start
C. Finish-to-finish
D. Finish-to-start

Answer: D All the other activity dependencies are performed concurrently.

224
225. You and your project management staff are determining the budget
required to complete the project. You have estimated the costs and
aggregated the costs to perform the project activities. When you examine
the Project Charter, you note the control account is less than what will be
needed to complete the project. This relates to:

A. Procurement estimating
B. Cost Control
C. Delphi technique
D. Funding limit reconciliation

Answer: D A is a made up term but would only be a subset of overall project

cost. B is not as good as D. C relates to anonymous information gathering.

225
226. You are in the middle of a biomedical device project in Canada. A team
member informs you the project currently has a CPI of 1.3. Which of the
following should you do first?

A. Ask the team if they can work overtime for the foreseeable future.
B. Tell the Project Sponsor you will need to crash the project as soon as
possible.
C. Verify that the EV and PV that were used to calculate are correct.
D. Verify that the EV and AC that were used to calculate are correct.

Answer: D (EV/AC = CPI) If these numbers are correct (verify first), the
project is under budget. A Since you are likely under budget, this will
probably not be necessary. B is not needed—see A. C PV is not used to
calculate CPI.
226
227. You are in the middle of a large building project in Brazil. A team
member informs you that changes will need to be made soon. Which of
the following should you do first?

A. Recommend alternatives to the Change Control Board (CCB).

B. Ask for a detailed description of the change.
C. Follow your change control process.
D. Ensure you have sufficient contingency reserves.

Answer: C Follow your change control process, is typically always the best
course of action. The other options may all be part of this process.

227
228. You have been assigned to set up a call center in Panama, that will
service most of Central and South America. You and a Business Analyst
are assisting with developing a business case as an input to the Project
Charter. Which of the following does not relate to developing a Project
Charter?

A. Ensure success can be measured (e.g. SMART Objectives, Key

Performance Indicators (KPIs)).
B. Identify key stakeholders/groups, and record in the Stakeholder Register.
C. Developing a Stakeholder Management Plan.
D. Determine high-level goals/objectives.

Answer: C This process is performed in Planning, not Initiating.

228
229. EV = 100, AC = 110, PV = 90. Based on this data, which of the
following is true?

A. You are over budget, but ahead of schedule.

B. You are under budget, but behind schedule.
C. Vendors may need to be hired to get the project back of schedule.
D. The project should be crashed as soon as possible.

Answer: A (EV / AC = CPI) .90 means you are only getting .90 cents for
every dollar invests (over budget). EV / PV = SPI 1.11 means you are 11%
ahead of schedule. So, you are over budget, and ahead of schedule right
now. Crashing the project would likely put it even more over budget.
229
230. You have been asked by your Project Sponsor where you have
documented the steps that will be taken during the course of the project
to make continuous improvements. Where is this information
documented?

A. Quality Improvement Plan.

B. Quality Management Plan.
C. Scope Improvement Plan.
D. Scope and Quality Benchmarking.

Answer: B. Along with quality metrics and quality checklists. A & C are
made up terms. Benchmarking is a tool/technique for analysis of scope and
quality.
230
231. You have been asked by your Project Sponsor to develop an adaptive
lifecycle for your project, that will only take about 2 weeks to complete.
Which of the following does not relate to an adaptive lifecycle?

A. Plan Do Check Act (PDCA)

B. Agile
C. Iterative and incremental lifecycles
D. CMMI

Answer: D. A relates to Total Quality Management, quality improvement,

Edwards Deming, iterative/incremental/adaptive lifecycles, Agile, and possibly
rolling wave/progressive elaboration. B relates to C. D looks at maturity level
of an organization. Note how A, B, C all relate to each other.
231
232. Your Sponsor wants to understand why you want to include additional
money in your project budget to address the cost of conformance. Which
of the following relates to the cost of conformance?

A. Loss of business
B. Legal liabilities
C. Rework
D. Training

Answer: D. Upfront, preventative costs. A, B, & C all relate the cost of NON-
conformance (failure costs).

232
233. Which of the following relates to linking performance to rewards, that
may change over time?

A. Situational Theory
B. Expectancy Theory
C. Hygiene Theory
D. Theory Z

Answer: B. This relates to Victor Vroom’s Expectancy Theory. A relates to

Hersey/Blanchard (leaders, followers, situation). C relates to Herzberg
(hygiene factors, motivating agents). D relates to Ouichi’s theory that people
are more motivated/committed if they are promised lifelong employment.

233
234. Which of the following relates to “motivating agents”:

A. Need to achieve, affiliate, or have power

B. Hierarchy of Needs Theory
C. Frederick Herzberg’s Three Needs Theory
D. Frederick Herzberg’s Hygiene Theory

Answer: D. Hygiene factors and motivating agents. A is three needs theory.

B is Abraham Maslow’s theory. C is close, but not the name of the theory.

234
235. All of the following tools can be used to brainstorm the source of
defects, except:

A. Ishikawa diagrams
B. Causal influence diagrams
C. Quality metrics
D. Nominal group technique

Answer: C. Quality metrics are not a brainstorming tool to determine causes

(sources) of defects, but are used to measure quality. A, B, & D are
brainstorming tools that can be tools used to brainstorm causes.
235
236. You have been assigned to a hazardous waste cleanup project that will
take eight months. Your company’s personnel, and the vendors that will
be needed have not received training on how to perform their duties
safely. Which is the best course of action to recommend to your Project
Sponsor?

A. Proceed without training, but tell all stakeholders to be careful while

handling the hazardous waste.
B. Tell all stakeholders that need training to pay for their own training.
C. As a cost of conformance, train all stakeholders that will be “in harm’s
way.”
D. Train the employees, but not the vendors.

Answer: C “Team training” is considered a cost of conformance. It is best to

train both affected parties in this instance, rather than risk legal cases, etc.

236
237. Which of the following best relates to observing/analyzing “feelings”?

A. Stakeholder engagement
B. Conflict resolution
C. Emotional intelligence (EI)
D. Communication model

Answer: C Emotional Intelligence (EI), sometimes called emotional quotient

(EQ), is the ability to recognize our own as well as other people’s emotions, to
discriminate between different feelings, and to use this information to guide
thinking/behavior. Having a high EI is considered to be good for leadership,
mental health, and better job performance.
. 237
238. Conflicts have been surfacing frequently on your software development
project lately. You have determined you should not overlook them.
Which of the following relates to the best type of conflict management?

A. Compromising
B. Smoothing
C. Avoiding
D. Storming

Answer: A It’s the best answer, because joint problem solving is not listed. B
& C do not address the problem. D may be the team development stage that
includes conflict, but is not a technique for managing it.
.
238
239. You have just been assigned to build a large state-of-the-art cleanroom
for a large computer chip manufacturer. You need to ensure risk is
carefully managed over this two-year project. Which of the following
lifecycles would be most appropriate?

A. Agile
B. Predictive
C. Iterative
D. Rolling wave

Answer: B With predictive lifecycles, more time is spent upfront planning,

including risk management. The other choices relate more to
adaptive/change-driven lifecycles.
239
240. All of the following take place during the Monitoring and Controlling,
Process Group, except:

A. Formalized acceptance
B. Quality Assurance is performed
C. Changes are recommended to the Change Control Board
D. Risk audits/reassessment is performed

Answer: B Quality Assurance is performed during Executing. All the other

choices are performed during Monitoring and Control.

240
241. You will require two, key contractors (SMEs) to execute your
landscaping project, and are negotiating now to determine their
availability. This is an example of:

A. Fait accompli
B. External stakeholders
C. Pre-assignment
D. Virtual team members

Answer: C These stakeholders will be necessary to begin. A is a negotiating

tactic a seller might use. B is wrong because they would actually be internal
project stakeholders. D is wrong because it has nothing to do with the need to
assign the team members.
241
242. You have included several quality control tools on your toll road project
including quality control charts. All of the following relate to a quality
control chart, except:

A. Specification and upper/lower control limits

B. Rule of seven and assignable cause
C. Mean
D. Sensitivity analysis

Answer: D Sensitivity analysis relates more to quantitative risk analysis. All

the other choices relate to a quality control chart.

242
243. You will need to spend a significant amount of time estimating
resources, duration, and cost on your project. Which of the following
estimates is most likely the least accurate:

A. Parametric estimating
B. Three-point estimating
C. Bottom-up estimating
D. Analogous

Answer: D Analogous is typically performed during Initiating and high-level

(Rough order of magnitude ROM). Note the Estimate Activity Resources,
Estimate Activity Duration, and Estimate Costs are performed during the
Planning Process Group. The level of accuracy for a ROM estimate
(Initiating) is -25% to +75%. The definitive estimate accuracy level (Planning)
is -5% to +10%.

243
244. You will need to spend some time estimating resources, duration, and
cost on your project. Which of the following estimates may encourage
participation and reduce bias:

A. Parametric estimating
B. Three-point estimating
C. Bottom-up estimating
D. Delphi technique

Answer: D Anonymous (i.e. Delphi) estimating is typically performed to help

encourage participation.

244
245. You and your project management staff are developing the Human
Resource Management Plan. You are currently discussing how to
recognize and reward the project team. Which of the following is typically
the best approach:

A. Reward the project team at the end of project.

B. Reward only high-performing individuals at the key milestones.
C. This should be done at the employees regular performance reviews with
the Human Resources department.
D. Reward the team and high performing individuals regularly (e.g. key
milestones) over the course of the project.

Answer: D It’s best to keep everyone as motivated as possible throughout

the project lifecycle. A waits too long for recognition, and only focuses on the
team—not individuals.

245
246. Which of the following does not relate to Communications Management:

A. Virtual team considerations.

B. Non verbal communication and para-lingual ques.
C. Encoder, Medium, Communication Blockers, Decoder, Feedback.
D. Responsible, Accountable, Consult, Inform (RACI).

Answer: D This relates more to different levels of authority in the (

Responsibility Assignment Matrix (RAM). A may relate to technology, time
zones, culture, language. B 55% of communication is body language, and
Para-lingual queues relates to the pitch and tone of the voice. C relates to the
components of the communications model.

246
247. You are developing a predictive lifecycle on your construction project in
Mexico to better manage risk. Process sequence is paramount. Which
processes are not listed in the proper sequence?

A. Estimate Resources, Estimate Activity Duration, Sequence Activities

B. Collect Requirements, Define Scope, Create WBS
C. Plan Cost Management, Estimate Costs, Develop Budget
D. Plan Human Resource Management, Plan Communications Management

Answer: A Estimating comes after sequencing activities. All the rest are in
the proper sequence.

247
248. You are currently helping senior management determine which project
to select. All of the following relate to project selection methods, except:

A. Affinity diagrams
B. Constrained optimization method
C. Benefit cost ratio
D. Monte Carlo Simulation/Modeling

Answer: A. It is more likely to see affinity diagrams mentioned as a quality

assurance tool/technique during the Executing Process Group. B relates to
using a computer for project selection, as does D. C is a benefit
measurement method that often relates to determining value on the exam.

248
249. You are currently closing down your project. Which is a helpful input for
closing down the project, and closing procurements.

A. Organizational Process Asset updates

B. Communication logs
C. Project Management Plan
D. Final change requests

Answer: C. The Project Management Plan is an input for both process

performed during Closing. A is always an output. B is a made up term. D
should have already been completed.

249
250. You are performing quantitative risk analysis during Planning. Expected
monetary value analysis (EMV) (e.g. decision tree) provides the following
information; Project A has an EMV of $100,000, Project B has an EMV of
$75,000, Project C has an EMV of $100,500, and Project D has an EMV
of $90,000. You would most likely choose which project based on this
information.

A. Project B
B. Project A
C. Project D
D. Project C

Answer: D. With no other information available, just choose the highest EMV.
Note that answer “D” is Project “C.” Be careful!

250
251. You have to resolve a conflict that is beginning to plague you and one of
the members on your project team. The person you need to resolve the
conflict with is in the same city, but not in your building. The best way to
resolve the conflict is:

A. Notify the person’s boss via email, to see if all three of you can come to a
compromise.
B. Set up a phone conference with the person before the next meeting, to let
them know why you are concerned.
C. Bring up the issue at the next project status meeting, and allow the team
to help resolve the issue.
D. Set up a time to meet the person, and meet them in the cafeteria or break
room to chat about the issue(s).

Answer: D. Face-to-face, one-on-one, informal conflict resolution is always

best.

251
252. You are working with your project management staff on your risk
register. All of the following could relate to this process except:

A. Scales of probability and impact and the probability-impact matrix.

B. A list of qualified risks based on probability and impact.
C. Residual risks, and secondary risks.
D. Contingency strategies, and reserves.

Answer: A. This information would not likely appear in the risk register, but
the other choices would.

252
253. Which of the following processes has “change requests” as an input:

A. Perform Quality Assurance.

B. Perform Integrated Change Control.
C. Change Control Management Planning.
D. Direct Project Work.

Answer: B. This is the only process that has “change request” has an input.
It would be an output for all the other choices. The change control board
(CCB) would review the recommendation during this process and
approve/reject/defer the recommendation.
253
254. You are determining how to address threats on your project. Which of
the following would be least applicable as a risk response strategy for
threats on your project?

A. Mitigate
B. Avoid
C. Transfer
D. Reveal

Answer: D. This is an opportunity response strategy. (For threats, ATMA.

Avoid, Transfer, Mitigate, Accept.)

254
255. All of the following relate to risk opportunities, except:

A. Share
B. Accept
C. Enhance
D. Secondary risk

Answer: D. These are risks that may need to be addressed after contingency
strategies have been taken. All the rest are opportunity response strategies.
(For opportunities, ESEA. Exploit, Share, Enhance, Accept.)

255
256. You are in the process of selecting a contractor for your building project.
Which of the following is most important:

A. Ensuring the contract is in writing.

B. Ensuring the sellers can perform the work needed, and all possible
sellers should have the same likelihood for being selected.
C. Watching for collusion between sellers.
D. Ensuring the seller will be available when you will need them.

Answer: B. Capability for the work, fairness and objectivity are paramount
when selecting a seller. All the others choices are important too, but B is the
best answer. Capability is more important than availability.

256
257. You are asking your contract administrator to archive procurement
related information in the records management system. You are most
likely performing:

A. Plan Procurements and/or Conduct Procurements

B. Plan Procurements and/or Close Procurements
C. Plan Bidder Conferences and/or Close Procurements
D. Control Procurements and/or Close Procurements.

Answer: D. Both of these Procurement processes have “Records

Management System” listed as a tool/technique—and NO other processes do.
C “Plan bidder conferences” is just a “made up term.”

257
258. You are working with your seller and your contract administrator to
ensure both parties are meeting contractual obligations. You are most
likely performing which process:

A. Conduct Procurements
B. Change Control
C. Close Procurements
D. Control Procurements

Answer: D. The Control Procurements process is when this activity is done.

258
259. During Planning, you decided to hire 10 contractors. Now, you are
having regular unresolved issues with one of them. What is the best
thing to do first?

A. Review the terms and conditions in their contract.

B. Let the contractor know they are in breach of contract by sending them a
letter of default.
C. Ask the contractor if they know of another vendor that could do the work
properly, because they appear to not be capable of completing the work
on time.
D. Wait to see if the contractor will perform better during the next phase.

Answer: A. “Look before you leap.” Hopefully, you have a termination clause.
The other options do not provide the information you will need to make an
informed decision.

259
260. You have been asked to calculate the “To Complete Performance Index”
(TCPI) based on the EAC. The BAC is 100,000, the EV is $120,00, the
EAC is 110,000, and the AC is $105,000. What is the TCPI?

A. -4
B. 4
C. .83
D. 5,000

Answer: A. The formula, when based on EAC, is (BAC – EV) / (EAC – AC)
-$20,000 / $5,000 = -4, which is good.

260
261. You have been asked to use weighted average estimates. Optimistic
estimate is 100, most likely estimate is 125, and pessimistic is 200.
Based on this information, which of the following is true for this situation?

A. You should use the triangular formula, 100 + 125 + 200 / 3 = 141.66 days
B. You should use Program Evaluation and Review Technique, by weighting
the most likely by a factor of 4. The formula is O + 4M + P / 3. This
means the calculation is 100 + 500 + 200 / 3 = 266.66 days.
C. You should use Program Evaluation and Review Technique, by weighting
the most likely by a factor of 4. The formula is O + 4M + P / 6. This
means the calculation is 100 + 500 + 200 / 6 = 133.33 days.
D. Pessimistic - Optimistic = 100 days.

Answer: C. This is the PERT formula for weighted average estimating. A is

not a weighted average, and is using the triangular estimate formula. B is not
the correct formula (divides by 3). D is not the correct formula.

261
262. Your Project Sponsor has asked you to overlook some quality issues on
your “Bridge to Somewhere” project, and just move on to close out the
project. You should tell them which of the following, first?

A. You will be turning in your letter of resignation as soon as possible.

B. You will be sending an email to the CEO stating what you have been
asked to do.
C. You will adhere to their direction, as you don’t want to be insubordinate.
D. As a project management professional (PMP) you have agreed to adhere
to code of ethics put forth by the PMI.

Answer: D. You will have to see how the Project Sponsor responds to this,
and then take the proper actions. A may be a little too spontaneous. B is not
advised, and could make a lot of things much worse for you. C is not adhering
to the PMI code of ethics. This question relates to professional responsibility.
262
263. Which of the following is the most sought-after characteristics of a
leader to have?

A. Integrity and intelligence.

B. Integrity and trustworthiness.
C. Experience and intelligence.
D. Facilitation and communication skills.

Answer: B. Best answer. Trust and integrity are considered more important
than the other choices. This relates to professional responsibility.

263
264. You are reviewing some bids from sellers, when you notice that a close
family member wants to be considered for work on your project. You
should:

A. Keep this quiet until the contract has been signed.

B. Tell the family member you cannot accept their bid for the project.
C. Let management and/or other key stakeholders know, and ask them what
they want you to do.
D. Ask to be removed for the project.

Answer: C. It’s best to reveal these types of situation to management. This

relates to professional responsibility.

264
265. Which of the following best relates to a portfolio:

A. A collection of projects, programs, sub-portfolios, and operations

B. Weak matrix organization, and the Project Management Office (PMO)
C. Balanced matrix organization, and the Project Expeditor
D. OPM3

Answer: A. This is the best answer as it is the definition. B Weak and

Balanced Matrix organizations likely don’t have portfolio management. C
Project Expeditors are essentially administrative assistants to the Project
Manager. D OPM3 (and CMMI) may also relate to the Project Management
Office (PMO), but they are used to rank the process maturity level of an
organization or department.

265
266. Your WBS has just been drafted for your 6 month, $200,000 commercial
construction project. Some quality issues and weather-related risks will need
further research, but your sponsor has asked for a responsibility assignment
matrix. Which of the following processes should be performed next.

A. Gather Requirements
B. Estimate Activity Resources
C. Sequence Activities
D. Define Activities

Answer: D. Work should be further decomposed into an activity list, based on

milestones, and key events listed in the Scope Statement, and the WBS.
NOTE: If you got this one wrong, you need to study the PMM Exam
Reference Sheet more.

266
267. You are called into your sponsor’s office to explain your evaluation
regarding a variance you documented in your weekly status report. Which
process group does this reflect.

A. Earned Value Analysis

B. Monitoring and Controlling
C. Executing
D. Integrated Change Control

Answer: B. Only B and C represent “Process Groups.” The evaluation for

variance is performed during Monitoring and Controlling.

267
268. Your boss has asked you to help them decide which project would most
likely benefit the company, but all your projects must comply with six sigma
quality requirements. This activity might encompass all of the following,
except:

A. The Rule of Seven

B. Constrained Optimization (e.g. Monte Carlo Simulation)
C. Benefit Measurement using Net Present Value or Internal Rate of Return
D. Opportunity Cost or Sunk Cost

Answer: A. The rule of seven relates to a quality control chart. All the rest
relate to “project selection methods,” which is what you are actually doing, as
you are in the Initiating Process Group.

268
269. After two months of research, your business case is nearly complete.
Which of the following process are you most likely ready to perform.

A. Initiating
B. Develop Project Management Plan
C. Develop Project Charter
D. Identify Stakeholders

Answer: C. The business case is an input to the Develop Project Charter

Process, which is performed during Initiating. A is a Process Group. B is
done during Planning. D is done a little later during Initiating.

269
270. In the middle of your project, you determine several changes have been
made by a several stakeholders. You have asked each of these stakeholders
for a detailed description of the changes they have implemented. This most
likely relates to:

A. Lack of contingency and/or fallback plans

B. Lack of a Stakeholder Register and/or Risk Register
C. Lack of a WBS and/or Activity List
D. Lack of a formal change control system

Answer: D. Lack of a formal change control system. There is nothing in the

situation to infer the other items do not exist.

270
271. Everything has been going very well on your project, when suddenly the
customer requests a major change. What should you do first?

A. Create a formal change request

B. Inform your Sponsor
C. Update the Risk Register
D. Call an emergency meeting to inform all stakeholders of the impact of the
change.

Answer: A. Creating a formal change request, should be the first step in the
change control process. Until you have the change request, performing the
others would be premature.

271
272. Although your customer can be “high-maintenance” at times, they have
asked for very few changes over the past 8 months. You’ve been able to
remain ahead of schedule and under budget to this point in the project. Since
you have some extra time and money, the customer asks for one last “small
change.” What should you do?

A. Get permission from the Sponsor and/or the Change Control Board
B. Perform assumptions analysis to determine the overall risk
C. Analyze the impact of the change on other project constraints
D. Since the change does not impact the budget and you have extra time,
implement the change

Answer: C. This relates to best to balancing the tradeoffs of resources,

scope, schedule, cost, quality, and risk.

272
273. You will be using multi-level programming to select your next project.
Which of the following does this relate to?

A. Earned Value Analysis

B. Benefit Measurement Method
C. S-Curve Simulation
D. Constrained Optimization Method

Answer: D. Any project selection technique with the word “programming” (or
simulation/modeling) in it, relates to the Constrained Optimization Method. A
Earned Value Analysis is a technique for performance measurement, and is
performed during Monitoring and Controlling.

273
274. You will using the benefit measurement method to select your next
project. This relates to all of the following, except:

A. Present Value (PV), Net Present Value (NPV), Internal Rate of Return
(IRR)
B. Payback period, opportunity cost, sunk cost
C. Law of diminishing returns, depreciation, Expected Monetary Value (EMV)
D. Monte Carlo Simulation (S-curve report)

Answer: D. Any project selection technique with the word “simulation” in it,
relates to Constrained Optimization Method, and requires a computer. All
other choices relate to Benefit Measurement Methods.

274
275. Things have gone well on your first software development project, and
you think you are ready to begin closeout. What should be done before
moving to the “Close Project or Phase” Process Group?

A. Storing final lessons learned information into a PMIS

B. Verifying and validating deliverables (i.e. Formalized acceptance)
C. Product acceptance from the customer, and procurement closure
activities with the vendor
D. Project acceptance from the project sponsor, and releasing the resources

Answer: B. Verifying and validating deliverables is performed during

Monitoring and Controlling (Quality Control and Validate Scope Processes).
Note that “accepted deliverables” is an input to the Close Project or Phase
process.

275
276. You are in the midst of collecting requirements. You might use all of the
following, except:

A. Brainstorming and/or nominal group technique

B. Decompose the work into more manageable components
C. Mind mapping and/or focus groups
D. Affinity diagrams, benchmarking, and/or context diagrams

Answer: B. Decompose the work occurs later during the Create WBS
process. A, C, and D relate to tools and techniques for the Collect
Requirements process, but note how just knowing the sequence helps here.

276
277. Which of the following would best benefit from the “Create WBS
process”?

A. Stakeholders
B. Project Team
C. Customer
D. Project Manager

Answer: A. Note how this is one of the those, “all of the above” type
answers. It includes the others.

277
278. Your Sponsor wants you to “cut the red tape,” and get on with project
execution. You are explaining the benefits of creating a WBS. A WBS would
best relate to which of the following benefits?

A. Resource assignments and information related to functional managers

B. Calendar dates
C. Quality benchmarking, and risk responses
D. Team building and communicating with the customer, as well as other
stakeholders

Answer: D. Communication and team building is the best answer. The

WBS is a key team building AND communication tool. The WBS does not
directly provide the information for A, B, or C.

278
279. When is the best time to Validate Scope?

A. Throughout the Planning Process Group

B. During Executing
C. At the end of a phase
D. At project closeout

Answer: C. At the end of a phase, often relates to a “check point.” This

typically relates to Monitoring and Controlling.

279
280. You have just accepted all the deliverables and addressed all items in
the issue log. But now, the customer is asking for one more change. Which
of the following is most appropriate to do first at this late stage in the project
life cycle?

A. Since you are now in closing, it is appropriate to recommend a follow-on

project with the Project Sponsor
B. Ask for a description of the change from the customer
C. Meet with the project team to determine whether the change can still be
made without affecting the schedule and/or the budget
D. Explain that after the deliverables have been accepted, changes cannot
be made

Answer: B. Ask the customer for a description of the change is the best
answer… Always “look before you leap.” Follow your change control
process, even during Closing.

280
281. You are having difficulty decomposing the work. What is the most likely
reason?

A. Improper prioritization (e.g. MoSCoW)

B. A vague Project Scope Statement
C. Too much detailed information to sort through
D. Work package sizing has increased risk of creating an accurate WBS

Answer: B. Ambiguous wording of the Project Scope Statement. Knowing

the sequence is key here.

281
282. You have asked your business analyst to do the product analysis. You
recommend getting this information prior to creating a WBS. Which of the
following relates best to this?

A. Gaining a more complete description of the product with the customer

B. Using the Requirements Traceability Matrix
C. Developing the business requirements
D. This information would most likely be listed in the WBS Dictionary

Answer: A. This would be done to better draft the project scope statement ,
prior to the other options. Again, sequence matters!

282
283. You are using project management software to monitor your software
development project. There is no lag time on the critical path. However, you
have just realized that a key activity had a late finish day of 12, and an early
finish day of 14. Based on this information, which of the following can be
currently said of the activity.

A. It’s behind schedule by 2 days

B. It’s part of an incomplete 3-point estimate
C. It’s behind schedule by 2 days, and thus, over budget
D. The project will end two days late

Answer: A. Because the activity has negative float/slack, it must be behind

schedule. (Late Finish – Early Finish = Float). We don’t know enough to tell
whether the project will be late, or over budget, at this point. Also note, it does
not say whether the “key activity” is on the critical path, or near critical path.
283
284. Quality Assurance relates most to which of the following:

A. Continual process improvement

B. Verified deliverables
C. Formalized acceptance
D. Earned Value Analysis

Answer: A. Continual process improvement relates more to Quality

Assurance, which is performed during Executing.

284
285. You are determining the scope of your software project with the
applicable stakeholders, who are more familiar with Scrum. They refer to the
customer as the “Product Owner.” You are fine with this rename, as long as
you get the correct requirements. In this context, documenting features and
functions best relates to:

A. Creating a user story

B. Developing a requirements traceability matrix
C. Perform what-if-analysis
D. Communication tools for communicating progress to the developers

Answer: A. “User = Customer.” Creating a “user story” is essentially

gathering customer-specific information for what the product is, and how the
product will function. Think of it as a work package, that will be further
decomposed.

285
286. You’ve been hired as a PMO consultant to audit some projects. You
have thought favorably of one of their Project Managers in particular, but they
often struggle with bringing their projects in on budget. When you begin the
audit, you notice that she has hired a relative as a sub-contractor. Some
expenses appear abnormally high. You should:

A. Inform the director of the PMO of your findings.

B. Tell the director of the PMO that you have a conflict of interest and resign
from the project.
C. Confront the PM and see what he has to say for himself.
D. Report your findings to PMI.

Answer: A. This is the best answer AFTER you have done the proper
investigation to report. Let the PMO take the appropriate action after you
present your findings… And as always, DO THE RIGHT THING!

286
287. You have been assigned to manage a project for a “difficult customer”
that you have worked with in the past. You thought their decisions were
rash, and you didn't feel respected professionally. Your manager still thinks
you're the best choice for this contract, even though there are other
opportunities in the portfolio. What should you do?

A. Ask your manager to move you to another customer.

B. Manage the project.
C. Resign from the company.
D. Reveal the “dark side” of the customer to your Sponsor, as issues
surface.

Answer: B. Projects may have “difficult” stakeholders that can cause conflict.
You have to deal with conflicts—it goes with the job. If your manager wants
you to do your job…DO YOUR JOB!

287
288. Your brother is preparing for the PMP exam, which you have just
passed. He asks you to share some of the questions from the exam with
him. What should you do?

A. Coach and mentor him with whatever questions you can remember form
your exam.
B. Explain you cannot cooperate with unethical behavior.
C. Direct him to online resources (e.g. pmi.org) with sample questions and
explain that exam questions vary per exam applicant, and are
confidential.
D. Document and report him to PMI.

Answer: B. PMI wants everyone to “personally” earn their certifications. You

don’t need to be accusatory or rude, but ensure that you do not give anyone
an unfair advantage. NOTE: You could lose your certification status for
providing such detailed information regarding PMI certification exams.
288
289. You are delivering equipment for road construction in Mexico. There
have been some delays in transit, and the project is now behind schedule.
The equipment is waiting in customs for clearance. A government official
says he can speed up the process, saving several weeks in your schedule, by
paying a $500 “rush fee." What should you do?

A. It’s a bribe. Do not pay the fee.

B. Pay the fee, and document the payment in your cost management plan.
C. Have a meeting and document the discussion.
D. Ask an embassy official for guidance.

Answer: B. In many parts of the world, this is just how things work. (Even in
the U.S. sometimes .) It’s kind of like a “When in Rome” situation. Note that
it says they are a “government official,” not some private, covert, “coyote-type”
person. But, it’s also good to keep things visible, whenever possible. Note
that having a meeting (and documenting), accomplishes almost nothing.
289
290. One of your team members has recently been coming late to project
meetings. He's an important contributor, and you consider him a friend. Last
week, you smelled alcohol on his breath. He showed up late again today.
After the meeting, you ask him to stay behind to discuss the situation. When
it's just the two of you in the room, you clearly can smell alcohol again. What
should you do?

A. Terminate him.
B. Report him to HR.
C. Ask him why his behavior has changed.
D. Tell him to get into a recovery program or else.

Answer: C. In most cases, you do not have formal authority to terminate

people. It’s usually best to start slow, by just letting them know that you have
observed different behavior, and show “concern.” Give them a chance to
explain. No need to “go postal.” Or for them to go postal :-0)
290
291. A PMP in your local PMI chapter has been convicted of embezzling
funds from their employer. Since the amount was less than $100,000, he was
sentenced to restitution and 5 years probation. He has opted to move to get
a fresh start, at a new company. You should:

A. Tell him to give up his PMP certification voluntarily.

B. Wait to see which new company they go to, and then warn their local PMI
chapter.
C. Nothing.
D. Report the conviction and situation to PMI.

Answer: D. Note this is a “legal issue.” In this case, PMI would investigate,
and if true, revoke their PMP status. The PMI headquarters in Pennsylvania,
not the PMI local chapter, would handle this situation

291
292. You are performing a project audit, when you notice there is an
additional $3,500 charge. You were told it was essentially, a “finder’s fee,”
that will go back to the sales department. Your organization’s VP has already
signed off on the charge. You should:

A. Inform the customer of the added expense.

B. Take the issue to the company president for their final approval.
C. Nothing.
D. Ask the HR department if this is “ethical.”

Answer: C. The VP has already approved it. Document as applicable, and

move on. For the exam, generally once someone that is in a senior
management position approves something, you just need to follow orders…
Unless, you deem it to be unlawful or unethical as far as breaching
organizational policy, etc. In this case, you can assume that the VP is aware
of the charge, as they have signed off on it. (Going over a VPs head, may not
be good for your career .) 292
293. You have just been contracted to manage a project for your new job.
You have a friend at your previous employer who hopes to come and work for
you again. He has just sent you an extensive customer file to your personal
email. This data could provide very useful information to your new sales
department, and could net a lot of business revenue. You should:

A. Delete the file and do nothing else.

B. Consult with your new company's legal department.
C. Send his name to a recruiter at the new company since he is a good
employee as long as he's treated fairly.
D. Call the H.R. Department of the previous company and alert them to the
situation.

Answer: B. This is something that may be serious, and you don’t want to
cover up, deceive, or take anything into your own hands. In this case, it’s best
to let someone in the legal department know ASAP, and let them advise you
as to the appropriate action.
293
294. A former boss you liked working for, is looking for new opportunities for
the new consulting agency he has just started. His skills are a great match
for the project you have started to manage for the county. However, county
guidelines dictate that all contracts must be awarded through a vetting
process. This process is based on price, experience, and performance.
However, since his consulting firm is new, it doesn't meet the county's
preferred number of years of experience. What should you do?

A. Ask for a waiver, since you know he has great skills/experience.

B. Let him know that you can't show him any favoritism, and not to bother
submitting a proposal.
C. Follow the county's guidelines and eliminate him as a prospective vendor.
D. Suggest that he go through the RFP process and complete the
application.

Answer: D. This takes you off the hook, by merely stating that you all “have
to follow the rules.” Who knows, if there are no other qualified applicants,
management may have to make an exception—but that’s not your call.
294
295. You have miscalculated a final cost change amount for your project,
undercharging the customer nearly $8,000. The project was worth more than
$900,000, so this shortage could be easily absorbed by your company. The
project was slightly late, but the customer (not happy) had signed a change
order for the late delivery. Now, you believe this customer will no longer do
business with your company in the future. You should:

A. Provide the customer a revised change invoice amount by registered mail,

apologizing for the miscalculation.
B. Ignore the shortage and let the project absorb it.
C. Modify the charge to reflect the elimination of the $10,000.
D. Document the shortage, in the final lessons learned.

Answer: A. Honesty (even if it could hurt) is the best policy. Keep things
“above the table,” as much as possible. Note that by sending it registered
mail, they have to sign for it. Remember that analysis and communication are
very important during times of change control. 295
296. Which of the following is not a formula for Estimate At Completion
(EAC)?

A. BAC – EV / BAC -AC

B. BAC / CPI
C. AC + (BAC – EV)
D. AC + (BAC –EV)
SPI x CPI

Answer: A. This is a formula for TCPI.

296
297. Which of the following is not a formula for Earned Value Management?

A. N = n (n-1) / 2
B. CV = EV - AC
C. SV = EV - PV
D. SPI = EV / PV and CPI = EV / AC

Answer: A. This is a formula for determining the number of communication

channels. The other choices relate to the “big four” EMV formulas.
297
298. Your project has an SPI of .85. What does this mean?

A. You are 85% done with the project

B. You are only getting 85 cents on the dollar
C. You are ahead of schedule
D. You are only progressing at 85% of the original planned rate

Answer: D. Note this is schedule performance index.

298
299. Which of the following relate to being ahead of schedule, but over
budget?

A. SPI = 1 and CPI = .9

B. ETC = $500,000
C. CV = 0 and SV = -$1000
D. SPI = 1.2 & CPI = .9

Answer: D. SPI must be greater than 1, and the CPI must be less than
one to be correct. Note A, means on schedule, but not ahead of schedule.
B is a bogus answer. Variances that are negative are behind, so C is
incorrect.
299
300. Which of the following is incorrect?

A. A CV or SV that is negative means that you are over budget, or behind

schedule respectively
B. An SPI greater than one means you are ahead of schedule
C. A TCPI less than one is bad.
D. A CPI less than one means you are over budget

Answer: C. A TCPI that is less than 1 is good. All the rest are true
statements regarding the results of the formulas.

300