PMP Sample Questions

Question - 1

Your company has been hired to configure software in 500 computers. All computers need equal time to configure. You calculate the time to configure each computer as 5 hours. The cost for labour is calculated at $500 each computer. Your Project Sponsor disagrees with your labour estimate. Why is so?1.You haven't completed one computer yet, so you don't know how long the work will actually take.2.You have not factored in all of the effort applied to the work.3.You have not considered the law of diminishing returns.4.You have not considered the learning curve.

Correct Answers are : 4 Explanation : D is the best choice. As the project team completes more and more units, the time to configure a computer should take less and less time.

Question - 2

Which of the following statement is true about Work Breakdown Structure (WBS)?1.It identifies the project elements that require resources.2.It is used to organize the cost estimates and to ensure that the cost of all identified work has been estimated.3.It provides the relationship among all the components of the project and the project deliverables.4.All of the above

Correct Answers are : 4 Explanation : Work breakdown structure (WBS): It identifies the project elements that require resources, used to organize the cost estimates and to ensure that the cost of all identified work has been estimated, and provides the relationship among all the components of the project and the project deliverables.

Question - 3

Templates and forms which are available in the organization and are part of organization's ________ project plan development.1.Assumptions2.Constraints3.Software4.Methodology

Correct Answers are : 1 Explanation : Templates and forms which are available in the organization are reusable components. Any resource that can be reused as a useful tool is part of the total methodology of project planning.

Question - 4

You are a project manager of a project. Customer has requested a change which will increase the project risk. What is your NEXT step?1.Analyze the impact of the change.2.Report to Senior Management.3.Report to Sponsor.4.Change the Risk Management Plan.

Correct Answers are : 1 Explanation : Your first task is to analyze the impact of the change.

Question - 5

Which of the following is part of the Perform Quality Assurance process?1.Benchmarking2.Cost of Quality3.Design of experiments4.Quality audits

Correct Answers are : 4 Explanation : Quality audits are part of the Perform Quality Assurance process.

Question - 6

You are a project manager and you are currently finalizing requirements with two stakeholders BUT both stakeholder have different views on requirements for the same project. How can you resolve the issue ?1.look at why there is different view on requirements and discuss with both of them2.look at why there is different view on requirements and finalize which looks good to you3.ask your manager to deal with this4.finalize requirement which looks good to you

Correct Answers are : 1 Explanation : Best is "look at why there is different view on requirements and discuss with both of them and try to resolve the issue". Option is C is an example of avoidance. Option B and D is example of forcing.

Question - 7

You are managing a project. This project must satisfy industry standards in order to be accepted by the customer. You and your team have studied the requirements and have created a plan to implement the deliverables with the level of quality. This process is called ________.1.Quality Control2.Quality assurance3.Plan Quality4.All of the above

Correct Answers are : 3 Explanation : Plan Quality: Identifying the quality standards that are relevant to the project and determining how to meet them.

Question - 8

____________ is the process of predicting future project performance based on the actual performance to date.1.Variance Analysis2.Issue Analysis3.Pareto Analysis4.Forecasting

Correct Answers are : 4 Explanation : Forecasting is the process of predicting future project performance based on the actual performance to date, PMBOK page no 300.

Question - 9

The first way to solve a conflict between team members is:1.Let them resolve it2.Sponsor resolves it3.Project Manager resolves it4.Top Management resolves it

Correct Answers are : 1 Explanation : A is the correct answer. Let the people involved in the conflict work it out first.

Question - 10

The RFP (Request for proposal) is done in the_______.1.Plan Procurements2.Conduct Procurements3.Administer Procurements4.Close Procurements

Correct Answers are : 1 Explanation : RFP(Request for proposal) is done in Plan Procurements process,

Question - 11

Your project has a budget of $240,000 and is expect to last for 1 year, with the work and budget spread evenly across all months. The project is now in the fourth month, the work is on schedule, but you have already spent $120,000 of the project budget. What is your COST Variance in this case?1.-$40,0002.$40,0003.$240,0004.$2300

Correct Answers are : 1 Explanation : Cost Variance = Earn Value - Actual Cost Earn Value = (Total Cost/total project months) * total months completed = ($240,000 / 12)*4=$80,000 CV = $80,000 - $120,000 = -$40,000

Question - 12

Procurements audits is done in _______ .1.Plan Procurements2.Conduct Procurements3.Administer Procurements4.Close Procurements

Correct Answers are : 4 Explanation : Procurements audits are done in Close Procurements. PMBOK page no 345.

Question - 13

An activity which is in critical path is delayed. What should you do ?1.Compress the schedule2.Scope cut3.Inform customer about delay4.Deliver uncompleted activity

Correct Answers are : 1 Explanation : A is the correct answer. Compress the schedule is the best option.

Question - 14

Given the following estimates: Optimistic 3 days, Pessimistic 9 days, and most likely 6 days. What is the PERT weighted average?1.62.43.6.34.6.1

Correct Answers are : 1 Explanation : Optimistic = Co, most likely = Cm, Pessimistic = Cp. PERT weighted average = (Co + 4Cm + Cp)/6 = (3+4*6+9)/6 = 36/6 = 6

Question - 15

Which plan describes when and how human resources will be brought onto, and taken off of, the project team?1.Scope management plan2.Risk management plan3.Staffing Management Plan4.All of the above

Correct Answers are : 3 Explanation : C is the correct answer. Staffing Management Plan - Describes when and how human resources will be brought onto, and taken off of, the project team.

Question - 16

You are project manager of a software project. Your team member want to technical change to a activity which will add more time to that activity. What should you do ?1.Check the activity is in critical path2.Allow team member to change the activity3.Report to senior management4.Ignore change in activities.

Correct Answers are : 1 Explanation : A is the correct answer. Check the activity is in critical path is the best option.

Question - 17

As a project manager of a project , you have just completed Schedule network diagram. What should you do NEXT time management activity?1.Estimate Activity Resources2.Sequence Activities3.Estimate Activity Durations4.Develop Schedule

Correct Answers are : 1 Explanation : A is the correct answer. Schedule network diagram is an output of Sequence Activities, NEXT process is Estimate Activity Resources.

Question - 18

Your project activity float is negetive 10. What is your course of action ?1.add more resources2.ask more time to complete the project3.use less experienced team members4.Ignore It.

Correct Answers are : 1 Explanation : A is the correct answer. Negetive activity float means your project is behind. Add more resource is best option.

Question - 19

Identifying the quality standards that are relevant to the project and determining how to meet them is called _________.1.Quality Control2.Quality Assurance3.Plan Quality

4.All of the above

Correct Answers are : 3 Explanation : Plan Quality: Identifying the quality standards that are relevant to the project and determining how to meet them.

Question - 20

A data point in a control chart that requires investigation is called:1.a special cause2.a quality fault3.a rule of seven4.a rule of five

Correct Answers are : 1 Explanation : A data point in a control chart that requires investigation is called a special cause.

Question - 21

Which one of the following best describes the analogous estimating?1.Less accurate2.Reserve analysis3.Bottom up estimating4.Three-points estimates

Correct Answers are : 1 Explanation : Analogous estimating is less accurate than other estimating methods.

Question - 22

__________includes all activities designed to enhance the skills, knowledge, and capabilities of the project team.1.Training2.Ground Rule3.Reward and Recognition System4.Recognition System

Correct Answers are : 1 Explanation : A is the correct answer. Training: Includes all activities designed to enhance the skills, knowledge, and capabilities of the project team. Ground Rules: Ground rules establish clear expectations regarding acceptable behavior by project team members.

Question - 23

Some risks that are output of ________ will be the candidates for further study.1.Perform qualitative risk analysis2.Perform quantitative risk analysis3.Plan Risk Management4.Identify Risks

Correct Answers are : 1 Explanation : Some risks that are output of Qualitative Risk Analysis will be the candidates for further study during the Quantitative Risk Analysis.

Question - 24

Which of the following is NOT the input of Direct and Manage Project Execution process?1.Project Management Plan2.Approved Change Requests3.Enterprise Environmental Factors4.Project Charter

Correct Answers are : 4 Explanation : Project Charter is not an input of Direct and Manage Project Execution process. Inputs of Direct and Manage Project Execution process are: Project Management Plan, Enterprise Environmental Factors, Approved Change Requests, and Organizational Process Assets (PMBOK Page no, 104)

Question - 25

You are project manager of a project and you have decided to CRASH the project. Which of the following is the most likely outcome of this ?1.increased cost2.added risk3.increased project time4.doing activities in parallel

Correct Answers are : 1 Explanation : A is the correct answer. CRASHING is reducing project time by expending additional resources. Therefore option A is true.

Question - 26

Changing the project plan to eliminate the risk and protect the project objectives is called ____________.1.Avoidance2.Transference3.Mitigation4.Share

Correct Answers are : 1 Explanation : Changing the project plan to eliminate the risk and protect the project objectives is called Avoidance.

Question - 27

Make-or-Buy Analysis is done in the_______.1.Plan Procurements2.Conduct Procurements3.Administer Procurements4.Close Procurements

Correct Answers are : 1 Explanation : Make-or-Buy Analysis is done in the Plan Procurements process.

Question - 28

Which of the following helps to determine the probability of completing the project?1.Monte Carlo Analysis2.Impact Analysis3.Qualitative Risk Analysis4.Quantitative Risk Analysis

Correct Answers are : 1 Explanation : Monte Carlo Analysis: A schedule risk assessment technique that performs a project simulation many times in order to calculate a distribution of likely results.

Question - 29

You have an urgent requirement on your project and you hire a vendor to start the work immediately. What contract is needed now?1.Letter contract2.Fixed fee3.Incentive contract4.Fixed Budget

Correct Answers are : 1 Explanation : For an immediate work, a letter contract may be sufficient.

Question - 30

Work Performance Information is output of________.1.Define Scope2.Perform Integrated Change Control3.Direct and Manage Project Execution4.Monitor and Control Project Work

Correct Answers are : 3 Explanation : Work Performance Information is output of Direct and Manage Project Execution. (PMBOK page no, 115)

Question - 31

_________are simillar to control chart without displayed limits.1.Run charts2.Pareto charts3.Ishikawa diagrams4.Histograms

Correct Answers are : 1 Explanation : Run chart is simillar to control chart without displayed limits. PMBOK Page no 242.

Question - 32

SWOT analysis is done in _________.1.Perform Qualitative Risk Analysis2.Identify Risks3.Plan Risk Responses4.Plan Risk Management

Correct Answers are : 2 Explanation : SWOT analysis is done in Identify Risks process. (PMBOK page no 305.)

Question - 33

Which of the following is NOT Tools and Techniques in Quantitative Risk Analysis?1.Expected Monetary Value Analysis2.Decision Tree Analysis3.Sensitivity Analysis4.Influence Diagram

Correct Answers are : 4 Explanation : Influence Diagram is a technique to identify risks.

Question - 34

Which estimating technique is most accurate?1.Bottom-up estimating2.Analogous estimating

3.Parametric modelling4.None of the above

Correct Answers are : 1 Explanation : Bottom-up estimating: Estimating the cost of individual work items and then rolling up the costs to arrive at a project total is more accurate.

Question - 35

Performance appraisal, recruitment, retention, regulatory issues, and labor relations are generally used in the________ area.1.General management2.Administrative3.Project Management4.Accounting

Correct Answers are : 1 Explanation : Skills such as performance appraisal, recruitment, retention, regulatory issues and labor relations are generally considered more administrative than management oriented.

Question - 36

Probabilistic Analysis of a project, probability of achieving cost and time objectives and trends in Quantitative Risk Analysis results are done during _______.1.Perform Qualitative Risk Analysis2.Perform Quantitative Risk Analysis3.Plan Risk Management4.Identify Risks

Correct Answers are : 2 Explanation : Probabilistic analysis of a project, probability of achieving cost and time objectives and trends in Quantitative Risk Analysis results are done during Quantitative Risk Analysis.

Question - 37

You are the project manager for the large Project. You are currently busy with approximating number of work periods required to complete individual activities with estimated resources. Which of the following inputs you need for this ?1.Activity List2.Activity resource requirements3.Resource Calendars4.All of the above

Correct Answers are : 3 Explanation : C is the correct answer. Approximating number of work periods required to complete individual activities with estimated resources is done in Estimate Activity Duration process. Activity List,Activity resource requirements and Resource Calendars are inputs of Estimate Activity Duration process. PMBOK Page no 177.

Question - 38

You are newly appointed as a project manager of an ongoing project. You want to see the role, authority, responsibility and competencies of all the resources working in the project. Which of the following document lists all the above information?1.Scope statement2.Project Charter3.Human Resource Plan4.WBS

Correct Answers are : 3 Explanation : C is the correct answer. Human Resource Plan lists role, authority, responsibility and competencies of all the resources working in the project. PMBOK Page no 253.

Question - 39

One activity will be delay three weeks and that will affect the project completion date. Who will approve the change ?1.Change control board2.project manager3.Senior management

4.Team member

Correct Answers are : 1 Explanation : A is the correct answer. Change control board approve the change.

Question - 40

Cost benefit analysis is done in the ___________process:1.Plan Quality2.Perform Quality Assurance3.Perform Quality Control4.All of the above

Correct Answers are : 1 Explanation : Cost benefit analysis is done in the Plan Quality process.

Question - 41

Which of the following are output of the Collect Requirements Process?1.Requirements Documentation2.Requirements Management Plan3.Requirements Tractability Matrix4.All of the above

Correct Answers are : 4 Explanation : The output of Collect Requirements Process are: requirements documentation (stakeholders needs), the requirements management plan (how the requirements will be analyzed and documents), and the requirements traceability matrix (tracking of requirements throughout the project).

Question - 42

In which of the quality management process, cause and effect diagram is used to illustrate how various factors might be linked to potential problems or effects?1.Plan Quality

2.Perform Quality Assurance3.Perform Quality Control4.Quality

Correct Answers are : 3 Explanation : The cause and effect diagram is a tool and technique to perform Quality Control . PMBOK Page no 222.

Question - 43

You are a project manager of a large project and you are identifying some alternative techniques to generate different approaches to execute and perform the work of a project. You are doing it as a part of:1.Collect Requirements2.Control Scope3.Verify Scope4.Define Scope

Correct Answers are : 4 Explanation : This is call an Alternative Identification in the Define Scope process.

Question - 44

At what part of the Procurement Management process does procurement negotiations happen?1.Plan Procurements2.Conduct Procurements3.Administer Procurements4.Close Procurements

Correct Answers are : 2 Explanation : The negotiations happen at the Conduct Procurements of the Procurement process.

Question - 45

Which type of contract has the highest risk for the seller?1.Reimbursed time

2.Time and materials3.Fixed price4.Reimbursed cost

Correct Answers are : 3 Explanation : In Fixed price contract, the seller assumes the greatest risk because the price is fixed and not going to change. Fixed price- A fixed total price for a well-defined product may include incentives for meeting or exceeding selected project objectives.

Question - 46

Which of the following is NOT part of the Perform Quality Control process?1.fishbone diagram2.Quality audits3.Pareto Diagram4.Histogram

Correct Answers are : 2 Explanation : Quality audits are part of the Perform Quality Assurance process.

Question - 47

Who should be consulted when establishing communication requirements in addition to stakeholders?1.The customer2.The project manager3.The sponsor4.Management

Correct Answers are : 2 Explanation : The project manager should be consulted when establishing communication requirements in addition to stakeholders because project manager has very important role in establishing communication requirements.

Question - 48

You are a project manager of a company and you are assigned to a project that has already decided to be outsourced. As a project manager, you need to organize a formal bid process and select the vendor for this project. You own stock in one of the vendor companies who also participated in the bidding process. What is the BEST course of action for you?1.Get the vendor company selected for the project.2.Keep the information to yourself.3.Tell your manager and remove yourself from the vendor selection committee.4.Ask other members of the selection committee to select your vendor company.

Correct Answers are : 3 Explanation : The best option is to tell your manager and remove yourself from the vendor selection committee.

Question - 49

Which of the following communication method is widely used to explain complex problems?1.Written2.Verbal3.Formal4.Non formal

Correct Answers are : 1 Explanation : Written is the best option.

Question - 50

You are the project manager and you have to choose the best project from available choices. Which of the folowing is the BEST choice?1.Benefit cost ratio (BCR) of project A is 2.52.Benefit cost ratio (BCR) of project B is 2.13.Benefit cost ratio (BCR) of project C is 0.64.Benefit cost ratio (BCR) of project D is 1.5

Correct Answers are : 1 Explanation : Benefit cost ratio (BCR) : A ratio describing the relationship between the cost and benefits of a proposed project. A BCR less than 1 is unfavorable; the higher the BCR, the better.

Question - 51

You are project manager and need as many as inputs is possible in the initiation phase. Which of the following is the best source of information for your project?1.Historical Information2.WBS3.Business Plans4.Project Closure Document

Correct Answers are : 1 Explanation : Historical information is the best input for the initiation phase. WBS is incorrect as the WBS would not be ready. Business is incorrect as business plans are not a likely input to the initiation process.

Question - 52

In which of the following contract types the seller's profit is limited?1.Cost-plus-percentage-cost contract2.Cost-plus-fixed-fee contract3.Firm Fixed price contract4.Fixed-price-incentive fee contract

Correct Answers are : 2 Explanation : Cost-plus-fixed-fee contract and Cost-plus-incentive-fee contract where seller's profit is limited

Question - 53

You have elected to use parametric modelling in your Estimate Costs for the project. Which one of the following is an example of parametric modelling?1.$120 per kg

2.Historical information from a similar project3.Estimates built from bottom-up based on the WBS4.Estimates based on top-down budgeting

Correct Answers are : 1 Explanation : A is correct; $120 per ton is an example of parametric modelling. Parametric modelling: Using project characteristics (or parameters) in a mathematical model to predict costs (e.g., price per square foot). B is incorrect, as historical information is analogous, not parametric. C is incorrect; bottom-up estimating is not a parametric modelling. D is incorrect, top-down budgeting is related to analogous estimating .

Question - 54

When the performing organization lacks in-house staff to complete a project, the required services can be acquired from outside. This is called ________.1.Virtual Teams2.Acquisition3.Pre-Assignment4.All of the above

Correct Answers are : 2 Explanation : B is the correct answer. Acquisition: When the performing organization lacks the in house staff needed to complete the project, the required services can be acquired from outside sources.

Question - 55

A project manager determines the number and types of tests and their impact on cost of quality. This task belongs to ___ process.1.Plan Quality2.Perform Quality Control3.Perform Quality Assurance4.Identify risk

Correct Answers are : 1 Explanation : Determining the number and types of tests and their

impact on cost of quality is called Design of experiments which is done in Plan Quality process. PMBOK page no 228.

Question - 56

Control chart helps:1.determine if the process is "in control"2.how various elements of a system are interrelated3.show trends in a process over time4.shows the pattern of a relationship between two variables

Correct Answers are : 1 Explanation : Control Charts: Control charts are graphic display of the results over a time of a process. They are used to determine if the process is "in control".

Question - 57

You are a project manager for a project. While reviewing the cost estimates for the project, you notice that one of the cost estimates for an element in the WBS is 20% higher than the previous project for a very similar work. What should you do next?1.Accept the estimate.2.Ask the person responsible about the difference.3.Ignore it.4.Reduce the estimate.

Correct Answers are : 2 Explanation :Best option is to ask the person responsible about the difference and create the most accurate estimate that is practical.

Question - 58

Which of the following is a common problem in administrative closure?1.Completing a project charter2.Retaining resources to complete the project3.Completing a project plan

4.Completing a QA plan

Correct Answers are : 2 Explanation : The biggest problem is retaining team members until closure of the project.

Question - 59

A unilateral contract under which the seller is paid a preset amount per unit of service is called __________1.A cost reimbursable contract2.A lump sum contract3.A time and material contract4.A fixed price contract

Correct Answers are : 3 Explanation : A unilateral contract under which the seller is paid a preset amount per unit of service is called time and material contract.

Question - 60

Your project has a budget of $10,000 and is expect to last for 1 year, with the work and budget spread evenly across all months. Right now CPI is 0.8. What is Variance at Completion in this case?1.-$2,5002.$10,0003.$12,5004.$12,000

Correct Answers are : 1 Explanation : Variance at Completion = BAC - EAC Estimate at Completion (EAC) = BAC / CPI = $10,000 / .8 = $12,500 Variance at Completion = $10,000 - $12,500 = -$2,500

Question - 61

You are the project manager of a project which is scheduled to last for 18 months. You have elected to rent a piece of

equipment for the duration of a project, even though you will need the equipment only for 6 months. The costs of the equipment rental per month are $120. This is an example of ___________.1.Fixed Costs2.Parametric Costs3.Variable Costs4.Parametric Budget

Correct Answers are : 1 Explanation : This is an example of Fixed Costs because $120 per month is fixed.

Question - 62

Three estimates are : Pessimistic (P) : 30 Most Likely (M) : 25 Optimistic (O) : 14 What is activity duration (PERT) ?1.242.203.184.32

Correct Answers are : 1 Explanation : A is the correct answer. Activity duration (PERT)= (P + 4M + O) / 6 then (30+4*25+14)/6 = 144/6 = 24

Question - 63

If you are the project manager of a project and you changed the scope of a project by dropping some parts, you have ______________ the project.1.Rewritten2.Truncated3.De scoped4.Deleted

Correct Answers are : 3 Explanation : When you change the project plan by removing parts of the final deliverable, you have descoped the project.

Question - 64

What is the present value if the organization expects to make $500,000 three years from now and the annual interest rate is 4 percent?1.$40002.$50003.$250004.$4500

Correct Answers are : 1 Explanation : Present Value = FV/(1+R)n. FV is the future value, R is the interest rate, and n is the number of time periods. 500000/(5*5*5) = 4000.

Question - 65

___________ is the process of performing the work defined in the project management plan to achieve the project's objectives.1.Define Scope2.Perform Integrated Change Control3.Direct and Manage Project Execution4.Monitor and Control Project Work

Correct Answers are : 3 Explanation : Direct and Manage Project Execution is the process of performing the work defined in the project management plan to achieve the project's objectives. (PMBOK page no, 114)

Question - 66

You are the project manager for the large Project. You are identifying external dependencies for the activities with management team. Identifying external dependencies are done in ______?1.Define Activities2.Sequence Activities3.Develop Schedule4.Control Schedule

Correct Answers are : 2 Explanation : B is the correct answer. Identifying external dependencies are done in Sequence Activities.

Question - 67

You are the project manager and decided to outsource a part of the project to a vendor. You have offered a bonus to the vendor if the work is completed in two months. This is an example of _____________.1.project incentive2.project goal3.fixed price contract4.fixed budget

Correct Answers are : 1 Explanation : This is an example of project incentive.

Question - 68

Development activities of a software projects is depends on the third party vendor, who provides hardware for this activity. Is called ______.1.external dependencies2.internal dependencies3.Discretionary dependencies4.All of the above

Correct Answers are : 1 Explanation : A is the correct answer. external dependencies are usually outside of project team control. PMPBOK Page no 171.

Question - 69

You are the project manager of the MKTG Project. This project will last for 1 year and it has many stakeholders. How often should Identify Risks take place?1.Once at the beginning of the project2.Throughout the execution processes3.Throughout the QA processes

4.Throughout the project

Correct Answers are : 4 Explanation : Identify Risks is an iterative process that should happen throughout the project life. Identify Risks is an iterative process, involving the project team, management team, stakeholders and subject matter experts.

Question - 70

Overtime associated with the execution effort of a project is estimated at 120 hours with probability 0.5, 250 hours with probability 0.6, and 300 hours with probability 0.3. What is the monetary value of the amount of overtime?1.300 hours2.670 hours3.250 hours4.100 hours

Correct Answers are : 1 Explanation : The Monetary Value of the amount of overtime is (120 x 0.5) + (250 x 0.6) + (300 x 0.3) = 300 hours.

Question - 71

If you are the project manager of a project and you break down the WBS into smaller _______ to get detail so that you can construct a schedule.1.Work packages2.Section3.Issues4.Time

Correct Answers are : 1 Explanation : A is the correct answer. The work packages give you the detail you need to construct a schedule.

Question - 72

Which of the following tools are used in the quality plan?

1.Quality Checklists2.Quality audits3.Histogram4.Process Analysis

Correct Answers are : 1 Explanation : Quality Checklists are used in the quality plan.

Question - 73

You are a project manager of a construction company. You want to know with whom you will be communicating during the project. Which of the below document you should refer to?1.Project Plan2.Scope Statement3.Statement of Work4.Project Charter

Correct Answers are : 2 Explanation : The project plan say what, when, and how much you will communicate. It also says with whom you will communicate during the project.

Question - 74

You are the project manager for a project to create a new product for the marketing industry. You recently came to know that a competitor is also working on a similar project with an additional web-based tool, which your project does not offer. You initiate a change request to update your project. This is an example of:1.A change due to an external event2.A change due to an error and omission in the initiation phase3.A change due to an error or omission in the planning phase4.A change due to a legal issue

Correct Answers are : 1 Explanation : The change is requested to remain competitive with the competition an external event.

Question - 75

A project team member, on his own initiative, added a new tool which was not part of the project plan. However, the team member decided that the tool was necessary to increase productivity. The project team's experts were in agreement with the decision. This is an example of _________?1.Ineffective change control2.Control Costs3.Self led teams4.Value added change

Correct Answers are : 1 Explanation : The project team member did not follow the change management plan's method of incorporating changes into the scope. This is an example of Ineffective change control.

Question - 76

You are the project manager for the large Project. You have identified and documented relationship among the project activities and created project schedule network diagram. What is your NEXT step ?1.Define Activities2.Sequence Activities3.Develop Schedule4.Control Schedule

Correct Answers are : 3 Explanation : C is the correct answer. project schedule network diagram is input of Develop Schedule. PMBOK Page no 168.

Question - 77

You are a project manager and the project is to install ACs into hotel rooms. You did project cost and time estimates and informed the customer that the project estimates will be accurate if the requirements such as wooden coating are met. This is an example of which of the following?

1.Risk2.Assumption3.Constraint4.Budget analysis

Correct Answers are : 2 Explanation : This is an example of assumption because estimates provided will be accurate if the rooms meet the requirements like (wooden coated). A and C are incorrect because the scenario did not describe a risk or constraint.

Question - 78

Change Request is an input of _________.1.Define Scope2.Perform Integrated Change Control3.Direct and Manage Project Execution4.Monitor and Control Project Work

Correct Answers are : 2 Explanation : Change Request is an input of Perform Integrated Change Control. (PMBOK page no, 104)

Question - 79

If the project is terminated early, then the level and extent of completion should be documented. This is done as a part of:1.Collect Requirements2.Control Scope3.Verify Scope4.Define Scope

Correct Answers are : 3 Explanation : Verify Scope

Question - 80

You are the project manager and have been assigned a new project. You have a good relation with the sponsor and senior management. Your senior management and sponsor forcing

you to start the project imediately. What is your response ?1.Start project imediately because your senior management is asking the same.2.Require a project charter be written and signed off on by all stakeholders before proceeding.3.Suggest that a scope statement be written.4.Suggest that a project plan should be written.

Correct Answers are : 2 Explanation : The project should be start with a project charter that authorizes the project to begin, assigns the project manager, and describes the project objectives and business need for the project.

Question - 81

Estimating the number of work periods likely to be needed to complete each activity is called :1.Estimate Activity Resources2.Sequence Activities3.Estimate Activity Durations4.Define Activities

Correct Answers are : 3 Explanation : C is the correct answer. Estimating the number of work periods likely to be needed to complete each activity is called Estimate Activity Durations .

Question - 82

Which of the following is NOT Tools and Techniques in Monitor and Control Risks?1.Risk Audits2.Reserve Analysis3.Sensitivity Analysis4.Risk Reassessment

Correct Answers are : 3 Explanation : Sensitivity analysis is NOT Tools and Techniques in Monitor and Control Risks .

Question - 83

Starting a new task before finish the old one is an example of a __________ dependency.1.Start-to-finish2.Finish-to-start3.Start-to-start4.Finish-to-Finish

Correct Answers are : 1 Explanation : A is the correct answer. Start-to-finish An activity must start before the next activity can finish.

Question - 84

This project was originally scheduled for completion in 1 year but 2 years have already passed and even now the project is in execution phase. Which statement is TRUE about the project?1.It is a temporary project2.The requirements were added later, hence the delay3.A key resource has left the organization, hence the delay4.The company has a limited development license environment, hence the delay

Correct Answers are : 1 Explanation : Project is continuing to expand means it is temporary project. Other options can be achievable to complete the project if it is important for organization.

Question - 85

You are the project manager for the large Project. You are identifying and documenting relationship among the project activities. This process is called ______?1.Define Activities2.Sequence Activities3.Develop Schedule4.Control Schedule

Correct Answers are : 2 

Explanation : B is the correct answer. Sequence Activities - identifying and documenting relationship among the project activities. PMBOK Page no 167.

Question - 86

You are a project manager and now you are comparing proposals received from sellers. Comparing proposals received from sellers is done in _______ .1.Plan Procurements2.Conduct Procurements3.Administer Procurements4.Close Procurements

Correct Answers are : 2 Explanation : Comparing proposals received from sellers done in the Conduct Procurements.

Question - 87

During the project execution phase, one of the team member asked about his or her work. Which of the following document you will ask the person to refer?1.Work Breakdown Structure (WBS) dictionary2.Scope Statement3.Activity List4.Project Charter

Correct Answers are : 1 Explanation : The WBS dictionary defines each element in the WBS. Therefore, descriptions of the work packages are in the WBS dictionary.

Question - 88

Who is primarily responsible for creating design and test specifications?1.Quality Control2.Engineering3.Support

4.Management

Correct Answers are : 2 Explanation : Engineering is primarily responsible for creating design and test specifications.

Question - 89

Project Management Plan is an input to all of the following processes EXCEPT_________.1.Direct and Manage Project Execution process2.Perform Integrated Change Control3.Close Project or Phase4.Develop Project Charter

Correct Answers are : 4 Explanation : Project Management Plan is NOT an input to Develop Project Charter. (PMBOK page no, 104)

Question - 90

The market conditions are a part of the________.1.Enterprise environmental factors2.Project management concerns3.Organizational process assets4.Project Charter

Correct Answers are : 1 Explanation : The market conditions will influence all factors of procurement.

Question - 91

You are a project manager of a project. Till today you have actually completed $34,000 of work, but based on the cost plan it should be $50,000. What is percentage Schedule Variance (SV) in this case?1.-32%2.-16%3.32%

4.10%

Correct Answers are : 4 Explanation : Schedule Variance (SV): Any difference between the scheduled completion of an activity and the actual completion of that activity. SV % = (EV - PV) / PV SV % = ($34,000 - $50,000) / $50,000 = -32%

Question - 92

Which is the least risky phase of a project?1.Planning2.Closing3.Execution4.Control

Correct Answers are : 1 Explanation : The Planning phase is the phase with the least risk attached because you have not committed the major part of your project.

Question - 93

Which of the following project management process gets MOST of a project's budget expended?1.Project Executing2.Project Planning3.Project Closing4.Project Monitoring

Correct Answers are : 1 Explanation : Most of the resources are involved in the project executing process, therefore most of a project's budget are expended on this process.

Question - 94

In which of the following situation network diagram is better than bar chart ?1.to show inter dependecies between activities

2.analysis of schedule progress3.analysis of WBS4.analysis of project plan

Correct Answers are : 1 Explanation : A is the correct answer. network diagram is best to show Interdependencies between activities.

Question - 95

You are a project manager of a company. You have been assigned as the project manager in the middle of the project. The customer is not happy with the performance of the project. What is the FIRST thing you should do?1.Talk to customer about the concerns.2.Try to achieve the performance.3.Ignore the customer.4.Leave the project and ask your manager to assign another project.

Correct Answers are : 1 Explanation : The best option is to talk to the customer about the concerns.

Question - 96

The purpose of a contract is to distribute a reasonable amount of ____________between the buyer and seller.1.Risk2.Responsibility3.Reward4.Quality

Correct Answers are : 1 Explanation : A fair contract shares a reasonable amount of risk between the buyer and the seller.

Question - 97

If there are two people in the communication system, then

how many communication channels will there be?1.12.53.84.4

Correct Answers are : 1 Explanation : Number of communication channel will be calculated using formula n*(n-1)/2 where n is the number of people involved in the communication. Then Number of communication channel = 2(2-1)/2=2*1/2=1

Question - 98

A project manager has created a document and wants some of the team member should have read access and some of them should have write access also. The project manager should create __________.1.Configuration Management System2.Project Management Information System3.Project Management System4.Control Management System

Correct Answers are : 1 Explanation : Configuration Management System addresses controlling documents.

Question - 99

Teamwork is a critical factor for project success. Who is responsible to create an environment that facilitates teamwork?1.Team lead2.Team members3.Project Manager4.Sponsor

Correct Answers are : 3 Explanation : C is the correct answer. Project Manager is responsible to create an environment that facilitates teamwork. PMBOK Page no 260.

Question - 100

In the quality management process, which of the following is not an attribute of the cost of non-conformance?1.Rework2.Safety measures3.Downtime4.Uptime

Correct Answers are : 2 Explanation : Safety measures are not an attribute of the cost of nonconformance.

Question - 101

You are the project manager for the Project. You are updating the WBS during Define Activities, are often called ________?1.Refinements2.Updates3.Activities4.Supporting detail

Correct Answers are : 1 Explanation : A is the correct answer. updating the WBS during Define Activities, are often called Refinements. It occurs with riskier projects.

Question - 102

You are the project manager of a marketing project. You want a vendor to offer you one price to do all the detailed work. Which type of document are you looking for?1.IFB2.Proposal3.RFI4.RFP

Correct Answers are : 1 

Explanation : An IFB is a sealed document that lists the seller's price to complete the detailed work.

Question - 103

Which of the following document justify the project - whether the project is worth or not?1.Business Case2.Project Charter3.Project Management plan4.Scope statement

Correct Answers are : 1 Explanation : Business Case contains business need and cost-benefit analysis. Business Case document justify the project - whether the project is worth or not. PMBOK page no , 106

Question - 104

If project manager can approve the changes, this is still part of the ___________.1.Project Plan2.Change Control System3.Charter4.Scope Statement

Correct Answers are : 2 Explanation : Any change requests must go through review process, and so need to be part of Change Control System.

Question - 105

A project team with members located in the India, the US, and the UK would be called a ___________. They don't spent time meeting face to face.1.Virtual team2.Scattered team3.Universal team4.None of the above

Correct Answers are : 1 Explanation : A is the correct answer. Virtual Teams: Virtual teams can be defined as groups of people with a shared goal, who fulfill their roles with little or no time spent meeting face to face.

Question - 106

You are a project manager of MKTG project. The customers of the project have requested additions to the project scope. You have to do additional risk planning and need to add it to the project schedule. Why is so?1.Risk planning should always occur whenever the scope is adjusted.2.Risk planning should only occur at the project manager's discretion.3.Risk planning does not need to happen at every change in the project.4.All of the above

Correct Answers are : 1 Explanation : Risk Planning should always occur whenever the scope is change and adjusted.

Question - 107

You are a project manager of a company and your project is currently in execution phase. The customer has requested you for additional work. This work will affect the budget, but not the schedule of the project. What should you do next?1.Add the additional requirements to the project plan.2.Ignore the request.3.Explain the change procedure and ask to submit a request for change.4.Discuss with the project team about the change.

Correct Answers are : 3 Explanation :Explain the change procedure and ask to submit a request for change is the best choice.

Question - 108

Comparing target dates with the actual or forecast start and finish dates is called :1.Variance Analysis2.Earned Value3.Progress Reporting4.Crashing

Correct Answers are : 1 Explanation : A is the correct answer. Variance Analysis : Comparing target dates with the actual or forecast start and finish dates.

Question - 109

You are the project manager and are considering recommending a project that costs $210,000; expected inflows are $5,000 per month for the first three years and then $6,000 per month thereafter. What is the payback period?1.41 months2.36 months3.45 months4.21 months

Correct Answers are : 1 Explanation : Payback period : The number of time periods required until inflows equal, or exceed, costs. Total inflows for first three years is 36 months * $5000 = $180,000. Money left = $210,000 - $180,000 = $30,000. Months need for $30,000 is ($30,000/$6,000)=5 months Total payback period = 36 + 5 = 41 months.

Question - 110

A risk is ____________ occurrence that has a positive or a negative effect on a project .1.Known2.Uncertain3.Known4.Potential

Correct Answers are : 2 Explanation : Risks are not planned, they are left to chance.

Question - 111

The OBS (Organization Breakdown Structure), WBS, and RBS (Resource Breakdown Structure) are all examples of ________.1.Control charts2.Hierarchical charts3.Project standard4.Run chart

Correct Answers are : 2 Explanation : B is the correct answer. The OBS (Organization Breakdown Structure), WBS, and RBS (Resource Breakdown Structure) are all examples of Hierarchical charts.

Question - 112

Project Performance Appraisal is part of the:1.Acquire Project Team2.Develop Project Team3.Develop Human Resource Plan4.Manage Project Team

Correct Answers are : 4 Explanation : D is the correct answer. Project Performance Appraisal is part of the Manage Project Team.

Question - 113

A project has three critical path. How this affects the project ?1.It increased project risk.2.It need more resources.3.It need more time.4.It costs more.

Correct Answers are : 1 Explanation : A is the correct answer. It increased project risk.

Question - 114

What is the purpose of a status meeting?1.Exchange information about the project.2.Get the status from each team member3.Review of the activities4.Create status report

Correct Answers are : 1 Explanation : Best option is exchange information about the project.

Question - 115

Your company policy allow to gift exchange with customer within certain limit. By mistake, you have given a gift to the customer's representative already which is beyond the limit mentioned in your company policy. What should you do?1.Forget it and don't tell anyone.2.Contact your company's senior management and ask for assistance.3.Ask your customer to return the gift.4.Ask your customer to give you a gift which has the same cost

Correct Answers are : 2 Explanation :Best option is to contact your company's senior management and ask for assistance.

Question - 116

You are a project manager of a project and want to report the actual project result and the planned status. You should use?1.Forecasting report2.Trend reports3.Status report4.Variance report

Correct Answers are : 4 Explanation : variance report: An actual project result and planned status of a project.

Question - 117

Which of the following is NOT the activity in Define Activities ?1.Decomposition2.An activity list from a previous project3.Progressive elaboration planning4.Create project charter

Correct Answers are : 4 Explanation : D is the correct answer. Create project charter is activity in initiation phase.

Question - 118

Make-or-buy decisions measure the cost of both options. What are these two options?1.Direct, Indirect2.Tactical, Strategic3.Management, Project4.Direct,Management

Correct Answers are : 1 Explanation : Make-or-buy decisions measure the cost of both options. When doing this analysis, it should include both direct and indirect costs so that the final decision is based on comparisons that are equal.

Question - 119

An organization's quality policy should come from the_________.1.Project manager2.Top management3.Customers

4.All of the above

Correct Answers are : 2 Explanation : An organization's quality policy should come from the top management.

Question - 120

You are project manager of a software project. You have just analyzed activity sequences, durations, resource requirements , schedule constraints and created project schedule. The above task belongs to which process?1.Define Activities2.Sequence Activities3.Develop Schedule4.Control Schedule

Correct Answers are : 3 Explanation : C is the correct answer. analyzing activity sequences, durations, resource requirements , schedule constraints and created project schedule is belongs to Develop Schedule process.

Question - 121

All of the following are inputs of Perform Qualitative Risk Analysis EXCEPT ________.1.Risk Register2.Project Scope Statement3.Risk Management Plan4.Stakeholder Register

Correct Answers are : 4 Explanation : Stakeholder Register is input of Identify Risks.

Question - 122

You were the project manager of X company for a long time, and had done lots of project management practices. Recently, you have joined another company Y and assigned to a

project. You should _________.1.Use the forms of company Y2.Use the forms of company X and instruct about the good project management practices3.Talk to change control board4.Use the forms of company Y and instruct about the good project management practices

Correct Answers are : 4 Explanation : The best option is to use the forms of company Y and instruct about the good project management practices.

Question - 123

If a project has an 80% chance of activity will take 2 weeks or less. what is the probability of the event?1.75%2.65%3.50%4.20%

Correct Answers are : 4 Explanation : 20% probability of exceeding 2 weeks - 80% chance of activity will take 2 weeks or less

Question - 124

Risk Probability and Impact Assessment, and Risk Categorization are done during ________.1.Perform Qualitative Risk Analysis2.Perform Quantitative Risk Analysis3.Plan Risk Management4.Identify Risks

Correct Answers are : 1 Explanation : Risk Probability and Impact Assessment, and Risk Categorization are done during Qualitative Risk Analysis.

Question - 125

The ___________ shows departments or units of the organization and is not organized the deliverables.1.OBS2.WBS3.RBS4.Scope statement

Correct Answers are : 1 Explanation : A is the correct answer. OBS(Organization Breakdown Structure) shows departments or units of the organization and is not organized the deliverables. OBS(Organization Breakdown Structure) shows the organization's units and departments as a top-down graph.

Question - 126

The buyer and seller are bound by a________.1.Contract2.Responsibilities3.WBS4.Identification

Correct Answers are : 1 Explanation : The buyer and seller are bound by a contract.

Question - 127

The Scope Statement does not provide___________?1.Project Justification2.Project Product3.Project Manager Authority4.Project Objective

Correct Answers are : 3 Explanation : The project charter provides the project manager with authority.

Question - 128

You are a project manager of a company and you have been

assigned to a project. You are now comparing actual project performance against project management plan. This belongs to which process?1.Define Scope2.Perform Integrated Change Control3.Direct and Manage Project Execution4.Monitor and Control Project Work

Correct Answers are : 4 Explanation : Comparing actual project performance against project management plan belongs to Monitor and Control Project Work process.

Question - 129

As a project manager of a project , you have just completed Schedule network diagram. Which of the following time management activity you have completed?1.Estimate Activity Resources2.Sequence Activities3.Estimate Activity Durations4.Develop Schedule

Correct Answers are : 2 Explanation : B is the correct answer. Schedule network diagram is an output of Sequence Activities.

Question - 130

Comparing your project with actual or planned project practices to generate ideas for improvement is called:1.Benchmarking2.Benefit/Cost analysis3.Quality audits4.Process Analysis

Correct Answers are : 1 Explanation : Comparing your project with actual or planned project practices to generate ideas for improvement is called Benchmarking.

Question - 131

You are a project manager of a pharmaceutical company. A new pharmaceutical regulation is passed that changes your project scope. For the project to be in accordance with the new regulation, what should be your next action?1.Present the change to the Change Control Board (CCB)2.Notify Management3.Prepare a new baseline to reflect the changes4.No need to do anything

Correct Answers are : 1 Explanation : You must present the change to the Change Control Board (CCB) for new changes.

Question - 132

A project manager has created a document and wants to track the changes made in the document. The project manager should create _______.1.Configuration Management System2.Project Management Information System3.Project Management System4.Control Management System

Correct Answers are : 4 Explanation : Control Management System tracks the changes.

Question - 133

Your project has a budget of $10,000 and is expect to last for 1 year, with the work and budget spread evenly across all months. Right now CPI is 0.8. What is Estimate at Completion (EAC) in this case?1.$12,5002.$10,0003.2.54.3.0

Correct Answers are : 1 Explanation : Estimate at Completion (EAC) = BAC / CPI = $10,000 / .8 = $12,500

Question - 134

You are a project manager of a Project. Which of the following techniques will you use to create the Risk Management Plan?1.Planning Meetings2.Status Meetings3.Variance Meetings4.Risk Tolerance

Correct Answers are : 1 Explanation : Planning meetings are used to create the Risk Management plan. Planning Meetings and Analysis: Attendees are the PM, leadership team, key stakeholders and those in the organization responsible to manage project risks.

Question - 135

The Pareto chart helps:1.Focus on critical issues to improve quality.2.Determine how various factors are linked to potential problems3.Determine whether or not process is stable and within set limits.4.Focus on root cause analysis

Correct Answers are : 1 Explanation : Pareto chart: Focus on critical issues to improve quality Fishbone diagram/Ishikawa: Determines how various factors linked to potential problems or effects, root cause Control chart: Determines whether or not process is stable and within set limits .

Question - 136

You are a project manager of a company. You are taking over a project during the planning process, and you discovered that many individuals have signed the project charter. Which of the following should be areas of concern for you?

1.Who will be a member of the change control board?2.Who are the stakeholders for the project?3.Need to spend more time on configuration management.4.Determining the reporting structure.

Correct Answers are : 3 Explanation : Because of many individual signed in the project charter, areas concerned with this project are many. You should be concern with communications requirements, competing needs and requirements impacting your efforts on configuration management.

Question - 137

If a customer requests for additional work that is not in the contract, then what type of communication the customer should use?1.Formal Written2.Verbal3.Informal Verbal4.Noise

Correct Answers are : 1 Explanation : The formal written is the best for this type of request.

Question - 138

You are the project manager of a new project and you have collected the necessary input information and delivered the project charter to the stakeholders. What should you do next?1.Get the project charter signed.2.Start the initial project planning process.3.Develop the project scope statement.4.Start to create project plan

Correct Answers are : 1 Explanation : After delivered the project charter to the stakeholders, First thing you have to do get the project charter signed.. Project charter is the only authorized document to start project.

Question - 139

3 sigma is equal to ______ percentage of fall between two control limits.1.99.99%2.99.73%3.95.46%4.68.26%

Correct Answers are : 2 Explanation : memorize 3 sigma = 95.73% 1 sigma = 68.26% 2 sigma = 95.46% 6 sigma = 99.99%

Question - 140

The project quality policy should be written by ________.1.Project team2.Customer3.Management4.Accounting

Correct Answers are : 1 Explanation : The project team, led by the project manager, must write the quality policy for each project.

Question - 141

All of the following are examples of Acquire Project Team EXCEPT:1.Negotiations2.Acquisition3.Pre-assignments4.Training

Correct Answers are : 4 Explanation : D is the correct answer. Training is part of Develop Project Team, others are part of Acquire Project Team. PMBOK Page no 248.

Question - 142

Which of the following chart shows position and relationships in top-down format?1.Hierarchical-type chart2.Matrix-based charts3.Text-Oriented format4.All of the above

Correct Answers are : 1 Explanation : A is the correct answer. Hierarchical-type chart shows position and relationships in top-down format. PMBOK Page no 253.

Question - 143

Which of the following document can be used to guide all the work in both project executing and project monitoring and controlling phase of a project?1.Project Management Plan2.Project Risk Plan3.Project QA Plan4.Project Charter

Correct Answers are : 1 Explanation : Project Management plan can be used to guide all the work in both project executing and project monitoring and controlling phase of a project.

Question - 144

Which of the following is NOT an example of Cost of Conformance?1.Rework2.Testing3.Equipment4.Training

Correct Answers are : 1 

Explanation : Rework is part of Cost of Nonconformance. Others are part of Cost of Conformance. PMBOK Page no 226.

Question - 145

Budget forecasts are inputs of ___________.1.Identify Stakeholders2.Plan communications3.Manage stakeholder expectations4.Reports performance

Correct Answers are : 4 Explanation : Budget forecasts are inputs of Reports performance. PMBOK page no 275.

Question - 146

You are a project manager of a construction company. You want to manage the variance between what was planned and what actually occurred. Which of the following methodology you should use?1.Earned Value Management (EVM)2.Earned Value (EV)3.Planned Value4.Accounting

Correct Answers are : 1 Explanation : There could be confusion between Option A and Option B. Earned Value Management (EVM) is the methodology and Earned Value (EV) is the technique. And so Option A is true.

Question - 147

You are a project manager of a company and you are assigned to a project that has already been decided to out source. As a project manager, you need to organize a formal bid process and select the vendor for this project. Your senior management is forcing you to select a vendor which has good relation with your senior management. What is the BEST course of action for you?

1.Follow the formal bid process, and show the senior management about why the favoured vendor is or is not the best choice.2.Report to legal department of your company.3.Report to your Manager about this.4.Get a written permission from your senior management to bypass the formal bid process.

Correct Answers are : 1 Explanation : The best option is to follow the formal bid process, and show the senior management about why the favoured vendor is or is not the best choice.

Question - 148

What is the purpose of fishbone diagram?1.To illustrate how various factors might be linked to potential problems or effects2.Are used to determine if the process are in control3.Show trends in a process over time4.Shows the pattern of relationship between two variables

Correct Answers are : 1 Explanation : Fishbone diagram : To illustrate how various factors might be linked to potential problems or effects.

Question - 149

Which of the following tool help you determine the most common cause of problems in a process by number ?1.Status Reports2.Pareto Charts3.Ishikawa Diagrams4.Histogram

Correct Answers are : 4 Explanation : Histogram: ordered by frequency of occurrence, that shows how many results were generated by type or category of identified cause. PMBOK Page no 241.

Question - 150

As a project manager it is important to collect project records at the end of the project. What is the use of "collect project records"?1.Recall what happened on the project, good or bad.2.Recall decisions made on the project.3.To see cost decisions.4.To support the risks on the project.

Correct Answers are : 1 Explanation : The best use of "collect project records" is to recall what happened on the project, good or bad.

Question - 151

You are the project manager of a large project. Your project sponsor and management want portions of the project to be outsourced and you have been given the responsibility to outsource. The project sponsor and management have approved you to outsource portions of the project. Who must ensure that all of the project work is authorized, contracted properly, and funded?1.Project sponsor2.Management3.Vendor4.Project Manager

Correct Answers are : 4 Explanation : Project manager has the responsibility to ensure that the project work is authorized, contracted, and funded.

Question - 152

You area project manager of a project and have done risk response plan. What should you do NEXT?1.Update Project Management Plan2.Update Risk Identification Check list3.Root causes of risks4.Corrective action

Correct Answers are : 1 

Explanation : Update Project Management Plan is an output of risk response plan.

Question - 153

Performance Report is input of the:1.Acquire Project Team2.Develop Project Team3.Develop Human Resource Plan4.Manage Project Team

Correct Answers are : 4 Explanation : D is the correct answer. Performance Report is input of the Manage Project Team.

Question - 154

You are a project manager of a company and you have been assigned to take over managing a project that should have been 60 percent complete according to the schedule. After evaluation, you discover that the project is running far behind schedule, and that the project will probably take double the time originally estimated by the previous project manager. However, the sponsor has been told that the project is on schedule. What is the BEST course of action you will take?1.Add new resource to the project and complete the project on schedule.2.Show your evaluation to sponsor.3.Ask your senior manager to deal with this.4.Turn the project back to the previous project manager.

Correct Answers are : 2 Explanation : You can't turn the project back to the previous project manager because he or she may be busy with other project. The best option is to show your evaluation to sponsor.

Question - 155

The Create Procurement document is done in the_______.1.Plan Procurements

2.Conduct Procurements3.Administer Procurements4.Close Procurements

Correct Answers are : 1 Explanation : The Create Procurement document is done in the Plan Procurements process.

Question - 156

The ___________ is used to document changes that occur during a project?1.Issue Log2.Change Log3.Project Management Plan4.Scope statement

Correct Answers are : 2 Explanation : The Change Log is used to document changes that occur during a project. PMBOK page no 294.

Question - 157

Finding out all people or organizations impacted by the project is called_________.1.Identify Stakeholders2.Plan communications3.Manage stakeholder expectations4.Reports performance

Correct Answers are : 1 Explanation : Finding out all people or organizations impacted by the project is called Identify Stakeholders. PMBOK page no 277.

Question - 158

You are the project manager of a company and currently doing strategic planning with senior management. What is the best reason for doing strategic planning?1.To determine which projects will be sponsored in order to

achieve the organizational goals2.To determine the project resources3.To determine the project deliverables4.To determine the functional activities

Correct Answers are : 1 Explanation : The strategic planning conducted by an organization's management determines which projects will be sponsored in order to achieve the organizational goals.

Question - 159

You are the project manager of a Project. Your project will cost your organization $50,000 to complete over the next 3 months. Once the project is completed, the deliverables will let the company earn $5000 per month. What is the time to recover the costs of the project?1.10 Months2.1 Year3.2 Years4.3 Years

Correct Answers are : 1 Explanation : This is calculated by dividing the ROI of $5000 per month into the project cost. 50000/5000 = 10 months

Question - 160

The line in the middle of a control chart is called:1.mean2.rule of seven3.rule of five4.specification limit

Correct Answers are : 1 Explanation : The line in the middle of a control chart is called mean.

Question - 161

You are a project manager of a project. How you determine whether it is better to make a product or buy a product?1.Decision Tree Analysis2.ROI Analysis3.Ishikawa Diagram4.None of the above

Correct Answers are : 1 Explanation : A Decision Tree model can separate the pros and cons of buying product versus building product. Ishikawa Diagram shows cause and effect, not pros and cons.

Question - 162

You are a project manager and you are working for a large project with more than hundreds of stakeholders.Which of the following is the BEST course of action you are going to take ?1.Consider needs of all stakeholders.2.Consider needs of important stakeholders.3.Eliminate some of them.4.Ask your manager to manage the stakeholders.

Correct Answers are : 1 Explanation : Consider needs of all stakeholders is the best choice.

Question - 163

You are working in an organization where all the employees are divided into groups by specialty such as sales, support and engineering. In which type of organization you are working in ?1.Functional2.Strong matrix3.Weak matrix4.Tight Matrix

Correct Answers are : 1 Explanation : In a functional organization, all employees are divided into groups such as sales, support and engineering.

Projects in a functional organization generally only involve one department.

Question - 164

Which of the following is a part of the Project Scope Management?1.Verify Scope2.Collect Requirements3.Control Scope4.All of the above

Correct Answers are : 4 Explanation : Verify Scope, Collect Requirements and Control Scope are all part of the Project Scope Management.

Question - 165

___________ is a group of process required to purchase or acquire products, services, or results needed from outside the project team to perform the work.1.Procurement Management2.Planning Management3.Scope Management4.Control Management

Correct Answers are : 1 Explanation : Procurement Management is a groups of processes required to to purchase or acquire the products, services, or results needed from outside the project team to perform the work.

Question - 166

You have just started a project. The project team member reported that 20 percent of the project is done. You agree with their completion status, but do not change any of the progress in your report to the customer. This is an example of which one of the following?1.0/100 Rule2.50/50 Rule

3.Percent Complete Rule4.20/20 rule

Correct Answers are : 1 Explanation : The 0/100 Rule allows for zero percent credit on an activity until it is 100 percent complete. B is wrong (50/50 rule): 50 percent completion when the work begins and 50 percent when the work is completed.

Question - 167

During the project execution phase, a risk is found which was not included in the Risk Register. What should you do?1.Ask senior management to deal with this.2.Keep with yourself.3.Find workaround.4.Re-evaluate Risk Management process.

Correct Answers are : 3 Explanation : The best option is to find a workaround and solve the issue.

Question - 168

You are the project manager of a global project having team members in the US and India. The client has a budget not exceeding $12 million. Due to global concerns, the final budget must be in the U.S. dollars. This is an example of which of the following?1.Internationalization2.Budget constraint3.Management constraint4.Technical constraint

Correct Answers are : 2 Explanation : This is an example of a budget constraint. The budget must not exceed $12 million.

Question - 169

Your company has been hired to configure software in 500 computers. All computers need equal time to configure. The contract for the project is set at a fixed cost, and the incentive based on how fast the project work is going to be completed. Management has requested that you study the work method to determine a faster, less costly, and a better method to complete the project. This scenario is an example of _________.1.Time Constraint2.Schedule Constraint3.Value Analysis4.Learning Curve

Correct Answers are : 3 Explanation : Value Analysis is a systematic approach to find less costly ways to complete the same work. A and B are incorrect, as this situation does not describe a specific time or cost constraint. D is incorrect: the learning curve happens as the project team completes the work.

Question - 170

A Heuristics is best described as :1.thumb rule.2.activity diagram.3.workaround.4.control tool.

Correct Answers are : 1 Explanation : A is the correct answer. Heuristics is thumb rule. Examples are cost per square feet etc.

Question - 171

Project X has a payback period of 26 months. Project Y has a cost of $500,000, with expected cash inflows of $200,000 the first year and $50,000 per quarter after that. Which project should you recommend?1.Project X because of lower payback period.2.Project Y because of higher payback period.3.Project Y because of payback period 25.

4.Project Y because of payback period 30.

Correct Answers are : 1 Explanation : Project Y has a cost of $500,000. After 1 year remaining cost is $500,000 - $200,000 = $300,000. period for remaining cost is $300,000 / $50,000 = 6 quarter = 6*3 months = 18 months. Total payback period for project Y = 1 year + 18 months = 30 months The lower the payback period, the better.

Question - 172

Project X will take 3 years to complete and has NPV value $70,000 and Project Y will take 5 years to complete and has NPV value $60,000. What is the opportunity cost of selecting Project X ?1.$35,0002.$60,0003.$30,0004.$130,000

Correct Answers are : 2 Explanation : opportunity cost of selecting Project X is simply the value of the project you did not select. Based on the NPV you have selected project X. Therefore value of the project Y is the opportunity cost.

Question - 173

During the planning phase of a project, your team members find another way to complete a portion of the project. This method is safer for the project team but the cost may go up. This is an example of _____?1.Alternative Identification2.Risk Assessment3.Alternative Selection4.Product Analysis

Correct Answers are : 1 Explanation : Alternative identification is a planning process to find alternatives to complete the project scope.

Question - 174

You are the project manager and you meet with your project team to ensure the project is completed with no deviations from the project requirements.This is part of?1.Quality Control2.Quality assurance3.Plan Quality4.All of the above

Correct Answers are : 3 Explanation : Plan Quality should be completed prior to the work beginning and revisited as needed. Plan Quality: Identifying the quality standards that are relevant to the project and determining how to meet them.

Question - 175

Disciplinary actions should be taken based on the___________ policy.1.Government2.Organizational3.Project team4.Sponsor

Correct Answers are : 2 Explanation : B is the correct answer. Disciplinary actions should be taken based on the Organizational policy.

Question - 176

If you want to print more than 25000 workbooks, printing of workbooks may be go up to 50000 workbooks . For every 5000 workbooks created, the cost is reduced a percentage of the original printing cost. The workbook expense is an example of which one of the following?1.Fixed Costs2.Parametric Costs3.Variable Costs

4.Parametric Budget

Correct Answers are : 3 Explanation : This is an example of Variable Costs.

Question - 177

______ is an after the fact look at caused a difference between the baseline and actual performance .1.Variance Analysis2.Issue Analysis3.Simulation4.Forecasting

Correct Answers are : 1 Explanation : Variance Analysis is an after the fact look at caused a difference between the baseline and actual performance. PMBOK page no 268.

Question - 178

If you are the project manager for a project. The customer has requested that you factor after-project costs, such as maintenance and service. This is an example of which one of the following?1.Life Cycle costs2.Scope Creep3.Project Spin off4.Operations

Correct Answers are : 1 Explanation : The after-project costs are known as Life Cycle costs.

Question - 179

Which of the following is an example of the Perform Quality Assurance process?1.Pareto chart2.Quality Audits

3.Inspection4.Cost of quality

Correct Answers are : 2 Explanation : Quality Audits are part of Perform Quality Assurance process. PMBOK page no 222. The cost of quality is part of Plan Quality Pareto chart and Inspection are part of Perform Quality Control.

Question - 180

You are project manager of a project. In the user testing phase the primary customer of a project has requested a change. What will be your NEXT action?1.Create a formal change request2.Ignore it3.Create a risk plan and show it to the customer4.Inform the project sponsor about the changes to scope

Correct Answers are : 1 Explanation : Best option is create formal change request.

Question - 181

Why should quality be planned and not inspected every time?1.To improve quality with less cost2.To improve quality with more cost3.To reduce quality with less cost4.To reduce quality with more cost

Correct Answers are : 1 Explanation : Best option is to improve quality with less cost.

Question - 182

Leading, communicating, negotiating and problem solving are examples of the _________ management skills.1.Project2.Senior3.General

4.HR

Correct Answers are : 3 Explanation : C is the correct answer. General skills that any type of manager will need to use in order to perform successfully for the organization. Leading, communicating, negotiating and problem solving are examples of the General management skills.

Question - 183

Make payment to seller is done in _______ .1.Plan Procurements2.Conduct Procurements3.Administer Procurements4.Close Procurements

Correct Answers are : 3 Explanation : Make payment to seller is done in the Administer Procurements.

Question - 184

Phone call and Video Conferencing are examples of _______________.1.Interactive Communications2.Pull Communication3.Push Communication4.Noise

Correct Answers are : 1 Explanation : Video Conferencing, phone calls, etc. are examples of Interactive Communications. Letter, memos, fax , email, etc. are examples of Push Communication. Internet site, e-learning, etc. are examples of Pull communication. PMBOK page no 287.

Question - 185

The formal management actions that promote or reinforce desired behavior is called _________.1.Training

2.Ground Rules3.Reward and Recognition System4.All of the above

Correct Answers are : 3 Explanation : C is the correct answer. Reward and recognition systems : Formal management actions that promote or reinforce desired behavior. Training : Includes all activities designed to enhance the skills, knowledge, and capabilities of the project team. Ground Rules: Ground rules establish clear expectations regarding acceptable behavior by project team members.

Question - 186

The 2 years project has 200 work packages and a $20,000 budget. After one year, 100 work packages are completed and $10,000 has been spent. Which of the following is TRUE?1.The project need 50 work package to be completed in 6 months.2.Not enough information available.3.The project need 50 work package to be completed in 3 months.4.The project is on schedule and on budget.

Correct Answers are : 2 Explanation : There is Not enough information available about the project. What was planned? Is the work packages are same? Therefore Option B is TRUE.

Question - 187

Having a project team in a single location where they can work in a face-to-face environment is called _______.1.Collocation2.Location construction3.Team structure4.All of the above

Correct Answers are : 1 Explanation : A is the correct answer. Co-Location: Co-location involves placing many or all of the most active project team members in the same physical location to enhance their ability to perform as a team.

Question - 188

Which of the following statement is TRUE about Expected Monetary Value (EMV)?1.Risks have the most potential impact on the project.2.A statistical concept that calculates the average outcome when the future includes scenarios that may or may not happen.3.Describes a situation under consideration, and the implications of each of the available choices and possible scenarios.4.Quantify the probability and impact of risks on project objectives.

Correct Answers are : 2 Explanation : Expected Monetary Value (EMV) analysis is a statistical concept that calculates the average outcome when the future includes scenarios that may or may not happen.

Question - 189

Which hierarchical chart shows resources?1.RBS2.OBS3.WBS4.Scope statement

Correct Answers are : 1 Explanation : A is the correct answer. The Resource Breakdown Structure shows various resources, both human and mechanical needed for project.

Question - 190

As a project manager you are creating a table that map requirements to their origin and traces them throughout the project life cycle. You are doing it as a part of:1.Collect Requirements2.Control Scope3.Verify Scope4.Define Scope

Correct Answers are : 1 Explanation : Creating a table that map requirements to their origin and traces them throughout the project life cycle is called the Requirement tractability matrix, which is an output of Collect Requirements process. PMBOK Page no, 142.

Question - 191

Complete final contract performance reporting and verify product is done in _______.1.Plan Procurements2.Conduct Procurements3.Administer Procurements4.Close Procurements

Correct Answers are : 4 Explanation : Complete final contract performance reporting and verify product is done in Close Procurements.

Question - 192

The Work Breakdown Structure is an example of a _________.1.Hierarchical chart2.Control charts3.Pie chart4.Run chart

Correct Answers are : 1 Explanation : A is the correct answer. The Work Breakdown Structure is an example of a hierarchical chart. It shows relationships of the various tasks and people in a top-down, graphic format.

Question - 193

All of the following are examples of Develop Project Team EXCEPT:1.Negotiations2.Reorganization and rewards3.Team building activities

4.Training

Correct Answers are : 1 Explanation : A is the correct answer. Negotiations is part of Acquire Project Team, Others are parts of Develop Project Team. PMBOK Page no 248.

Question - 194

Your project has a budget of $240,000 and is expect to last for 1 year, with the work and budget spread evenly across all months. The project is now in the fourth month, the work is on schedule, but you have spent $120,000 of the project budget. What is your COST Variance percentage in this case?1.-50%2.50%3.40%4.20%

Correct Answers are : 1 Explanation : Cost Variance = Earn Value - Actual Cost Earn Value = (Total Cost/total project months) * total months completed = ($240,000 / 12) * 4 = $80,000 CV = $80,000 - $120,000 = -$40,000 CV % = CV / EV = -$40,000/$80,000 = -50%

Question - 195

You have a piece of equipment that was purchased for your project recently for $5,000 and is expected to last 5 years in production. At the end of the five years, the expected worth of the equipment is $2,000. Using the straight-line deprecation, what is the amount that can be written off each year?1.$6002.$12003.$30004.$2000

Correct Answers are : 1 Explanation : The straight-line depreciation takes the purchase value of the item, minus the salvage price of the item, divided by the number of time periods. Calculation is (5000-2000)/5 = $600.

Question - 196

A process with lack of consistency and predictability is called:1.in control2.out of control3.bad quality4.quality noised

Correct Answers are : 2 Explanation : A process with lack of consistency and predictability is called out of control.

Question - 197

Some of your team members want to work on a flexible schedule and others want all team members should reach on fixed time. What should you do?1.Allow them for flexible time schedules.2.Allow them for fixed time schedules.3.Arrange a meeting and allow them to decide.4.Ask your senior management to decide.

Correct Answers are : 3 Explanation : The best option is to arrange a meeting and allow them to decide.

Question - 198

80% of problems due to 20% of causes, related to:1.Status Reports2.Pareto Charts3.Ishikawa Diagrams4.Histogram

Correct Answers are : 2 Explanation : Pareto's Law - A relatively small number of causes will typically produce a large majority of the problems or defects

(80 / 20 rule). Pareto Charts are conceptually related to Pareto's Law. PMBOK Page no 242.

Question - 199

The purpose of a quality audit is:1.To identify inefficient and ineffective policies2.To identify project quality for customer3.Study organizational behavior4.Prepare a report for the quality team

Correct Answers are : 1 Explanation : Purpose of quality audit is to identify inefficient and ineffective policies.

Question - 200

All of the following are inputs of Perform Quantitative Risk Analysis EXCEPT ______________.1.Cost Management Plan2.Risk Register3.Risk Management Plan4.Stakeholder Register

Correct Answers are : 4 Explanation : Stakeholder Register is an input of Identify Risks. (PMBOK page no 305.)