PMP Exam Set 4 - Questions

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1 PMP Exam Set 4 - Questions Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 1 of 40

2 INITIATING 1. You are being assigned the role of a project manager for an existing project. While referring the project documents you find out that a detailed feasibility study has been done for the project. As per you what is a project feasibility study? a. Its conducted to decide whether the project should be undertaken or not b. Its conducted after the project planning phase, to find out whether the project will be able to meet the objectives or not c. Its done by the customer for selecting the prospective vendor d. Its primarily conducted to gather the details that need to be written in the project charter 2. As an experienced project manager, you know there is an inherent amount of risk with any project. During what phase of the project life cycle is the highest level of risk and uncertainty? a. Planning b. Executing c. Initiating d. Closing 3. A high-technology project has been initiated and will require the coordination of several different high technology functional areas. What kind of organizational structure would be appropriate for this project? a. Strong Matrix b. Functional c. Matrix d. Balanced Matrix 4. When a project is initiated, one of the first deliverables from the project initiation phase is? a. Project Charter b. Scope Statement c. Project Plan d. Scope Management Plan 5. You as a project manager understand that conflict within a project team can be avoided with prior planning and by maintaining effective communications between the project manager and the team. As per you the most important information for the project manager to convey to the team is: a. That top management will not be interfering with this project as it usually does with other projects b. Clear, unambiguous goals as to where the project is going on c. The system of rewards that permits recognition of team members through monetary or non-monetary awards d. The schedule of paydays and holidays to permit planning for rest and relaxation B Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 2 of 40

3 6. You have inherited a project that is in trouble. The team members are spread out in multiple locations, the schedule is behind by 25%, there is no communication plan in place. The first issue you must work on is building a cohesive team to get the project back on track. Which of the following is not a technique that you would use in team development? a. Collocate the whole team under one roof b. Provide training to team members in those areas that are suffering the most c. Establish a reward system that will pay out based on getting the critical path back within the established time frame d. Use performance reports to get feedback on individual performance 7. What is the primary role of the project sponsor in a project? a. Managing the project b. Using the product of the project c. Performing work of the project d. Providing financial resources for the project 8. When a project is initiated, which of the following is a deliverable? a. Initiation Document b. Project Charter c. Project Plan d. Feasibility Report 9. For a project to be successful, what is the primary requirement? a. Customer Satisfaction b. Exceeding Customer Requirements c. Meeting the cost and schedule estimates d. Satisfying the requirements of the project sponsor 10. You are working as a Project Manager in an organization where your responsibility is to coordinate activities, but decisions are primarily made by Management. The organization structure you are working in is: a. Weak Matrix b. Balanced Matrix c. Functional d. Strong Matrix 11. The ability to influence the cost of a project is: 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 the project 12. 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 Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 3 of 40

4 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 13. Which of the following is not normally an element of the Project Charter? a. The formal authorization to apply organizational resources to project activities" b. Work package descriptions c. The business need that the project was undertaken to address d. The product description or a reference to this document 14. Multiple classification models are available to prioritize the key stakeholders to ensure efficient use of effort to communicate and manage their expectations. One such model is the Salience Model. Which of the following does this model NOT consider? a. Power b. Legitimacy c. Urgency d. Influence 15. Which of the following is an input to the 'Identify Stakeholders' process? a. Stakeholder register b. Stakeholder strategy c. Project Charter d. Procurement documents 16. You are assigned as the Project Manager of a new critical project, but the Project Charter itself is undergoing multiple changes. Whose primary responsibility is it to decide whether the changes to the Project Charter are required or not? a. Project Manager b. Project Sponsor c. Project Team d. Portfolio Manager 17. Which is the most powerful role in a Projectized Organization? a. The Project Manager b. The Functional Manager c. The Team d. The Resource Manager 18. How is Operational Work different from a Project work? a. Operational Work is ongoing, where as Project work is one time b. Operational Work is one time, where as Project Work is ongoing c. Both of them are same. There is no difference d. Operational work has unique Product or Service as Output 19. Which of the following is a disadvantage of a Projectized Organization? a. Efficient Project Organization Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 4 of 40

5 b. No home after Project Completion c. Loyalty to the Project d. Better Communication 20. The high level Project Schedule constraints are just determined. Which phase is the project in? a. Initiating b. Planning c. Executing d. Monitoring and Controlling 21. Which of the following is NOT a characteristic of a Project? a. Repeats Every Week b. Temporary c. Definite Beginning and End d. Interrelated Activities 22. A Project Manager is working on constructing a new bridge, but he is not getting enough project attention. Resources are occupied in doing process related work and project manager has little authority in proper assignment of resources. What form of organization is the Project being performed? a. Weak Matrix b. Strong Matrix c. Functional d. Projectized 23. How is Project Lifecycle different from a Product Lifecycle? a. Project Lifecycle has no methodology b. Project life cycle is different for different Industry c. Project Lifecycle sees through many Product lifecycle d. Project Lifecycle talks about specific Project management Activities Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 5 of 40

6 PLANNING 1. Management Contingency Reserve is identified in which process: e. Determine Budget f. Estimate Costs g. Estimate Activity Durations h. Estimate Activity Resources 2. Under which of the following circumstances would you use a Gantt chart instead of a network diagram? a. In reporting to senior management b. In showing interdependencies between tasks c. In creating a work breakdown structure d. In tracking progress or reporting to the team 3. In planning your resources for a new building project you are working with an engineering firm, a construction management firm and a general contractor. You know that the general contractor will have to manage several sub-contractors during the project implementation and that the structural and civil engineers will need to communicate frequently. You must select the best reporting relationships among the parties. While doing all this which process you are performing? a. Human Resource Planning b. Communication Planning c. Scope Planning d. Quality Planning 4. are meetings held to assess project status or progress. a. Performance reviews b. Audit reviews c. Management reviews d. Progress informational update meetings 5. As a project manager, you chair a weekly exchange of information meeting among team leaders. This is an example of communication that is, a. Internal, formal and horizontal b. External, informal and vertical c. Oral, internal and informal d. Oral, external and formal 6. Which one is not a filter for receivers of communication? a. Culture b. Conflict c. Technology d. Language 7. Joe, a project manager for his company, is explaining the difference between a Gantt chart and a Milestone chart. Which of the following is the most accurate description of a Gantt Chart? Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 6 of 40

7 a. A Gantt chart depicts what was planned against what actually occurred. b. A Gantt chart depicts the work in the project against the work that has been completed. c. A Gantt chart depicts the work in the project against each resource s calendar. d. A Gantt chart depicts the work in the project against a calendar. 8. Historical results used in cost estimating may include a. Project team knowledge, Project files, Commercial cost estimating databases b. Project team knowledge, Project files, Actual time to complete similar projects c. Project team knowledge, Commercial cost estimating databases, Actual time to complete similar projects d. Project files, Commercial cost estimating databases, Actual time to complete similar projects 9. Recently, there have been changes in the Government regulations. As a project manager in an automobile industry, you are concerned that your project will not satisfy the required quality standards. This could be remedied through better: a. Quality Assurance b. Quality Planning c. Quality Control d. Modifications to Quality Management Plan 10. In which document will you find the code of account identifier, description of work, responsible organization, and list of schedule milestones? a. WBS b. WBS Dictionary c. PERT/CPM Charts d. Staffing management plan 11. Stakeholders, including consultants, customers, sponsors, and professional and technical associations, are some of the sources of: a. Enterprise environmental factors b. Organizational process assets c. Expert judgment d. Risk monitoring and control 12. In your organization, all big technical projects go through Initiate, Analyze, Design, Implement, Test, and Closeout. In this context, a project life cycle: a. Defines the product life cycle b. Contains several product life cycles c. Defines the project phases d. Has many deliverables that must be completed immediately 13. What is the purpose of using a work breakdown structure numbering system in a WBS? a. Determine the complexity of the project b. Determine the level at which individual WBS elements are found Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 7 of 40

8 c. Help in automating the WBS using appropriate software d. Present justification for the project 14. You have been assigned as the Project Manager of the Moonstar project. You and your collegues are discussing about managing project team members. You advocate active participation of your team members. Which theory are you referring to? a. Theory X b. Theory Y c. Maslow s hierarchy of needs d. Referent power 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 contracts 16. Activity attributes are associated with each schedule activity that can be included in the activity list. Which of the following process does not require activity attributes as input? a. Sequence Activities b. Define Activities c. Estimate Activity Resources d. Estimate Activity Durations 17. In your project, you are using cost aggregation, expert judgment, and historical relationships to establish a cost performance baseline. This is performed during: a. Control Costs b. Determine Budget c. Estimate Costs d. Create WBS 18. You are in the process of creating the project schedule. Which of the following is NOT a tool and technique for this process? a. Resource levelling b. Critical chain method c. Schedule compression d. Schedule data 19. In your project, you have been sub-contracting your IT development work to four consultancy firms. Which of the following statements about transferring risk to a contractor is not true? 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. Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 8 of 40

9 d. Contracts may be used for the transference of liability for specified risks to another party. 20. In your project, you are documenting project purchasing decisions, specifying the approach, and identifying potential sellers. In this context, which tool would you not use? a. Make-or-buy analysis b. Bidder conferences c. Expert judgment d. Contract types 21. During Risk Response Planning, you identified few new Risks. What should you do? a. Just document as contingency reserve would take care of it b. Follow the Risk Management Processes of calculating risk probability and impact c. Ask for increasing the contingency reserve to take care of these new risks d. Discuss with your Program Manager 22. Which of the following is not a technique to Plan Communication in the Project? a. Communication Requirement Analysis b. Communication Technology c. Communication Methods d. Communication Management Plan 23. As a Project Manager, what would you give the highest priority: Quality, Cost or Schedule? a. It would depend upon the Project b. Quality is of uttermost important. Cost and Schedule comes later c. Cost is most important. Everything else comes afterwards d. Completing the project as per schedule is most important 24. Which of the following statements about "Quality" and "Grade" is incorrect? 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 product may be of high quality. d. It is a problem if the product is of high quality and low grade. 25. As a project manager, achieving customer satisfaction is an important objective for you. Which of the following will help you in attaining your objective? a. Defining requirements b. Providing more features than what the customer has asked for c. Identifying project related risks d. Providing project justification Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 9 of 40

10 26. You are in the Identify Risks process of your project where you determine 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 27. While creating a project schedule, what duration should a milestone have? a. Zero b. Duration equal to the phase duration c. Duration equal to the time required for a particular task to be completed d. Duration of the complete project till the milestone date 28. In your project, you have identified important risks and planned appropriate responses to the risks. 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. Accepted Risks 29. A schedule network analysis tool that modifies the project schedule to account for limited resources is known as, a. Critical chain method b. Critical path analysis c. Critical slippage identification d. Project schedule analysis 30. A schedule compression technique in which cost and schedule tradeoffs are analyzed to determine how to obtain the greatest amount of compression for the least incremental cost is, a. Crashing b. Fast Tracking c. Compression d. Critical compression 31. The Cost management plan can establish all of the following EXCEPT, a. Level of accuracy b. Units of measure c. Control threshold d. Cost Reports Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 10 of 40

11 32. Which of the following is an INPUT to the Determine Budget process? a. Resource Calendars b. Expert Judgment c. Reserve analysis d. Project funding requirements 33. A Quality Planning tool that is used to visually identify logical groupings based on natural relationships is, a. Brainstorming b. Affinity diagrams c. Force field analysis d. Nominal group techniques 34. Hierarchical charts are used to show positions and relationships in a graphic, top down format. Which of the following is an example of this chart? a. Work Breakdown structure b. Work hierarchical structure c. Scope breakdown structure d. Scope decomposition 35. 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 plan b. Procurement document c. Procurement management plan d. Proposals 36. 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 A communication method that is sent to specific recipients who need to know the information is known as, a. Pull communication b. Push communication c. Interactive communication d. Information communication Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 11 of 40

12 38. Identify Risks is the process of determining which risks may affect the project and documenting their characteristics. The tool and technique that may NOT be required for identifying risks is, a. Checklist analysis b. Diagramming techniques c. Expert Judgment d. Reserve Analysis 39. Tom is the Project Manager for a mid-sized project in the Automobile industry. He is busy preparing an hierarchically organized depiction of the identified project risks that are arranged by risk category and subcategory, which assists in identifying the various areas and causes of potential risks. This hierarchical structure is known as, a. Work Breakdown structure (WBS) b. Resource Breakdown Structure (RBS) c. Risk Breakdown Structure (RBS) d. Risk Category Structure (RCS) 40. Ben is currently performing the process Identify Risks. He intends to use an information gathering technique that identifies the problem, discovers the underlying causes that lead to it and develops the preventive action. This technique is known as, a. Interviewing b. Delphi Technique c. Root Cause analysis d. Brainstorming 41. Expected monetary value (EMV) is a statistical concept that calculates the average outcome when the future includes scenarios that may or may not happen. EMV for a project is calculated by, a. multiplying the value of each possible outcome by its probability of occurrence and adding the products together. b. multiplying the value of each possible probability by negative outcome c. multiplying the value of each possible outcome by its probability of occurrence d. multiplying the value of each possible probability by positive outcome 42. In your project, the risk calculations show that 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. Do additional risk response planning Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 12 of 40

13 Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 13 of 40

14 EXECUTION 1. Motivating your team members is important for the success of the project. The HR manager states 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 theory 2. 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 cost c. Rework cost d. Opportunity cost 3. Which of the following describes an input to the direct and manage project execution process that consists of documented, authorized directions required to bring expected future project performance into conformance with project plan? a. Approved change requests b. Implemented preventive actions c. Implemented change requests d. Approved corrective actions 4. You are the project manager for the QCM project. During project execution, a project team member informs you that based on his observations, the project cannot meet the quality standards set for it. You call for a meeting with the stakeholders' concerned to analyze the situation. Which process are you currently involved in? a. Quality analysis b. Quality control c. Quality assurance d. Quality planning 5. What are the stages of team development? a. Forming, Storming, Norming, Performing and Adjourning b. Enthusiasm, Hope, Panic, Solution c. Assignment, Kickoff, Training, Communicating d. Direction, Motivation, Cooperation, Collaboration 6. Which leadership style is suited for optimizing team performance in projects? a. Laissez-Faire b. Democratic c. Autocratic d. None of the above Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 14 of 40

15 7. Recognitions and Rewards are the technique that project manager can use to develop the team. Which one is not true for Recognition and Reward System: a. There should be a clear criteria for reward and a system should be in place to use these criterions b. Reward criterion should be so tough that the team members should make their best efforts and keep on trying for it c. Recognition and reward should be designed keeping in mind the culture of the organization d. Recognition and reward should be based on activities and performance that is under the control of the rewarded 8. makes the needed information available to project stakeholders in a timely manner. a. Executive management updates b. Project status reports c. Information distribution d. Total Quality Management 9. Project information may be distributed using a variety of methods including project meetings, hard copy document distribution, shared access to networked electronic databases, fax, electronic mail, voice mail and video conferencing. These are known as - a. Project controls b. Project information management systems (PIMS) c. Informational distribution methods d. Project distribution systems 10. Information can be shared by team members through a variety of methods including manual filing systems, electronic text databases, project management software, and systems which allow access to technical documentation such as engineering drawings. This system is called as: a. Information retrieval systems b. Information distribution methods c. Project records d. Project management software 11. The tools and techniques for performance reporting are: a. Cost Reporting Systems b. Information Presentation Tools c. Time Reporting Systems d. All of the above 12. In a situation where the deadline is critical and tasks are at risk of slipping, which conflict resolution style should be used: a. smoothing b. forcing Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 15 of 40

16 c. problem solving d. compromising 13. Conditions that lead to conflict include all of the following except: a. Meeting b. Resources c. Cost d. Technical issues 14. The project manager s team building responsibilities include, a. Expect team members to communicate effectively without your involvement b. Initiate relationships c. Hold effective meetings d. B & C 15. To ensure effective meetings, the project manager should: a. Set an agenda b. Have a clear purpose for the meeting c. Encourage participation d. All of the above 16. Status review meetings are: a. Held to notify stakeholders of critical information b. Regularly scheduled meetings held to exchange information about the project c. Held to update departmental staff of project status d. None of the above 17. Among the following, what is not included in the Configuration Management System? a. Processes for submitting the proposed changes b. Processes for submitting the proposed changes c. Configure the project charter d. Defining approval levels for authorizing changes 18. Which of the following in NOT an output of Information Distribution? a. Performance reports b. Project records c. Project reports d. Project presentations 19. By active listening, what does a project team member do? a. Impresses the person who is speaking b. Uses an excessive amount of non-verbal signals c. Guesses what other team members say d. None of the above Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 16 of 40

17 20. You have recently taken over a project from another project manager, who left the company. You realize that the project is behind schedule and over budget, but the senior management is unaware of this fact. In this context, 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. 21. Frequent heated discussions with your colleague over an issue are creating a hostile environment. To ease this situation, you agree with your colleague`s point of view. The conflict resolution mode that you are using is: a. Problem solving b. Withdrawal c. Forcing d. Confrontation 22. As a project manager, you use work authorization system to assign and allocate work to your team members. 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 23. Your project is facing attrition of project resources, and you would like to document processes carefully to ensure business continuity. Certain costs have to be incurred for this purpose. These costs are known as: a. Costs of non-conformance b. Appraisal costs c. Failure costs d. Prevention costs 24. In your project, you are performing several actions to execute the project management plan and to complete the work defined in the project scope statement. You will be involved in: 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 25. In which Process Group will work defined be completed and all the specifications of your project be satisfied? a. Planning Process Group b. Executing Process Group c. Monitoring and Controlling Process Group Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 17 of 40

18 d. Closing Process Group 26. A risk that remains after risk responses have been implemented is referred to as: a. Secondary risk b. Residual risk c. Fallback Plan d. Accepted risk 27. You just started a new Project as a Project manager, when a couple of stakeholders, with whom you have worked in the past, come to you raising concerns about the utility of the new Project Management Package being used and the way project changes would be logged into the new Software. As a Project Manager what should you do? a. Supply with Training Material on new Project Management Software b. Inform the Project Management Office about stakeholder's concern c. Since they are friends, conduct informal training session d. Assure stakeholders that he will keep them engaged in the Project and new Software will not way impact their functioning 28. John was assigned to a new software development project. Once after a change control board meeting, the project manager asks John to complete the paperwork required to make the changes. This is an example of? a. Project Expeditor Position b. Program Management Position c. Change control board Member d. Project Co-ordinator Position 29. The Management has asked you to get the Project completed two weeks ahead of schedule. What is the best thing for you to do? a. Consult the Project Sponsor b. Crash c. Fast Track d. Advise the management of the Impact of the Change 30. Ashley is the Project Manager of a new Software development project. He finds a major issue with the Project requirement management process and can find a trend in requirement related defects. He is using Ishikawa diagram to come up with the root cause of the trend, so that he can make recommendation for the process change to avoid problems in future. What process is he doing? a. Risk Identification b. Perform Quality Assurance c. Perform Quality Control d. Quality Planning Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 18 of 40

19 31. As a Project Manager, you have a team, spread across five countries, working for you. What is the best communication method that you should follow? a. Informal Written b. Informal Verbal c. Formal Written d. Formal Verbal 32. You were asked to sit as an observer in another project's status review meeting. You observed that everyone present in the meeting is talking at the same time about different issues. The whole meeting is in a chaos. What do you think was not done? a. Meeting Agenda and Ground rules were not set b. The right people were not invited for the meeting c. The Project Manager was ineffective d. There were cultural issues with people with different backgrounds attending the meeting 33. You are executing a project for an overseas customer. There are multiple stakeholders at the customer's end, however your point of contact has not introduced you to one of the managers who is supposed to run a function at the customer's end and may have some requirement for your project. If you do address his requirement, he might ask for a change in the Project and there is all the possibility that the change control board will approve the change. What should you do? a. Nothing, as your customer contact point has not formally introduced you to this stakeholder b. Call your boss for guidance on this matter c. Schedule a meeting with this stakeholder to understand his requirement d. Add this issue as potential Project Risk and address it at appropriate time 34. You are executing a Project when the customer asks for a change that's going to increase the schedule risk. What should you do first? a. Go ahead and accept the change b. Inform the customer that the project would get delayed c. Analyze the impact of the change with your team d. Inform your manager about customer request 35. You are in the process of selecting Seller for a part of your project that needs to be subcontracted. The project is being performed under tight budget and your Senior management has given strict instruction to select the lowest bidder. You have narrowed down to two bids, the lowest bidder was the one with whom you don't have good experience of working in the past, where as the other bidder is very well known for treating their customers with lot of goodies. Which one shall you award the contract? a. Select the other bidder as you will have a nice time working with them b. Disqualify the lowest bidder by citing some clause c. Ask the other bidder to match the lowest bidder price d. The lowest bidder Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 19 of 40

20 36. You were competing with another colleague of yours to become the project manager of a prestigious new project in the organization, but unfortunately your colleague gets that assignment. Later he comes to you for some documentation. What would you do? a. Don't give him the document. Create problem for him. b. Give him the document and also co-operate him by all possible means c. Just avoid him and let him keep coming to you d. Tell him that the document is not all useful and you lost have it 37. You are working on a large Project and you have to identify various subcontractors to do certain parts of the project. One of your potential subcontractors is not from the same city and you have called him for contract term negotiations at your office the next day morning. However, the evening before the meeting, you got to know that the part of work that needs to be subcontracted, stands cancelled. What should you do in such a scenario? a. Cancel the meeting b. Meet the Subcontractor as you have any way called him c. Change face to face meeting to Telephonic Meeting d. Ask your Subordinate to meet the Subcontractor 38. You have to hire many new team members for a new project. You create a RFP and request HR staffing companies to respond to it, so that you can select the right HR partner for your project. Your wife also runs a HR staffing Organization and wants to respond to this RFP. What should you do? a. Ask your wife not to respond to this RFP as it may create a possible conflict of interest b. Suggest the rate that your wife should put in the proposal, so that she wins the contract c. Update your selection board about your wife also being one of the bidders and request them to treat her proposal objectively like any other proposal d. Leave your position as a Project Manager 39. One of your subcontractor, with whom you have become quite friendly explains how he faked his PMI certificate and got into the Project team. As a certified Project Manager what should you do? a. Report the matter to PMI b. Do nothing, as he is now a friend c. Inform your manager about him d. Advise him not to do this in future 40. Which of the following statements on time and material contracts is accurate? 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. Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 20 of 40

21 41. Which tool and technique from Acquire Project Team process involves selecting project team members in advance? a. Pre- assignment b. Negotiation c. Acquisition d. Virtual Teams 42. In your project, 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. Rules of conduct 43. You are in the Executing process group and are implementing the project schedule. You are making use of the calendars that identify the times when the project team members can participate in the team development activities. What are these calendars known as? a. Resource calendar b. Project calendar c. Time calendar d. People calendar 44. Which of the following is not related to the Direct and Manage Project Execution process? a. Manage sellers and suppliers b. Create project deliverables c. Implement the planned methods and standards d. Change control meetings 45. You are a project manager in XYZ Company, which has a projectized organizational structure. In this context, which of the following statements is incorrect? a. Team members are often co-located. 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. 46. In your previous project, the project manager gave a lot of autonomy to the team members, which led to anarchy. The management style followed by the project manager was: a. Directing b. Laissez faire c. Delegating d. Democratic Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 21 of 40

22 47. You are managing a small project with five team members working part-time. At the beginning of every week, you orally 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. Project time management plan d. Project flexible time management plan 48. You have joined in as a project manager for a project whose previous manager has left the organization. The team informs you that certain features are being added to the deliverable which were not asked for by the customer, to earn customer 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 worried that this is going to increase the project size d. You are undecided about the increase in the quality metrics of the project 49. You are the project manager in a pharmaceutical company. You are constantly involved in managing stakeholders` expectations to satisfy their needs and resolve issues. In this context, which of the following is not a relevant output? a. Organization process assets updates b. Change requests c. Project management plan updates d. Communications requirements analysis 50. The method of examining a work or product to determine whether it conforms to documented standards is called? a. Inspection b. Verification c. Audit d. Statistical Check 51. As a project manager in matrix project environment, you have limited control over team member selection. Which of the following tools and techniques would NOT be helpful for this purpose? a. Pre assignment b. Acquisition c. Virtual Teams d. Interpersonal skills 52. A project manager in an e-learning project is using free downloadable tutorials via internet to reach out to large audiences. This communication method is called? a. Interactive Communication b. Pull Communication Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 22 of 40

23 c. Push Communication d. Personal communication Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 23 of 40

24 MONITORING AND CONTROLLING 1. Of the following reports, which one will not be suitable for the top management? a. Milestone report b. Bar Charts c. Gantt Chart d. Control chart 2. In 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 plan 3. Currently, you are in the Report Performance process and are presenting 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 b. S-curves, responsibility assignment matrices,histograms c. Bar charts, S-curves, histograms d. Bar charts, control charts, histograms 4. 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 e. $ 250,000 f. $ 220,000 g. $ 280,000 h. $ 300, Currently in your project, you are determining the cause of variance relative to the scope baseline and deciding whether corrective action is required. You should use: a. Configuration management system b. Variance analysis c. Re-planning d. Earned value spreadsheets 6. During monitor and control, 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 7. You are a project manager and have just discovered a risk in your project that requires an immediate corrective action. During which Project Risk Management Process is this action performed? a. Plan Risk Management Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 24 of 40

25 b. Identify Risks c. Perform Qualitative Risk Analysis d. Monitor and Control Risks 8. Your project s quality process did not meet the four sigma requirements desired by your customer. Hence, 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 9. Find the to-complete performance index (TCPI) for your project 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 c. 1.5 d Ben is a project manager on a software project. About halfway through development, his team found that they had not estimated enough time for some of the technical work they needed to do. He requested that the new work be added to the scope statement and that the time to do the work be added to the schedule. The change control board approved his change. What s his next step? a. Update the scope and schedule baselines to reflect the approved change b. Start doing the work c. Gather performance metrics on the team s work so far d. Perform Quality Assurance 11. You are the Project Manager of a new Business Center Construction Project. The Project Sponsor wants to know the cost forecast of the Project at completion. The Project has a total budget of $100,000 and CPI of.90. The Project has spent $40,000 so far. How much more money is planned to be spent on the Project? a. $68,230 b. $43,110 c. $81,100 d. $71, Which of the following represents the Estimated Value of the work actually accomplished? a. PV b. EV c. AC d. CV 13. There was a pre-scheduled project status review meet and one of your team lead sends his report just an hour before. You find too many issues with the report. What would you do? a. Let him present the report and thrash him in front of everyone to teach him a lesson Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 25 of 40

26 b. Cancel the meeting and prepare the report yourself c. Postpone the meeting and ask him to fix the issues d. Do nothing..just wait and see what happens. 14. You are managing a Project as a Project Manager, when the customer comes to you and says that he has run out of money and could not afford to pay for this Project. What would you do in such a case? a. Remove some resources, so that Project gets delayed and customer gets more time to pay b. Stop all work immediately c. Enter Administrative Closure d. Ask Management for guidance 15. You have supplied software code to one of the manufacturer and the manufacturer has paid for your code as well. However, one of your tester informs you that there is a potential problem with the code, which was not identified at the time of supplying the software, but can be a potential problem to the manufacturer. Also the tester informs that the chances of this problem occurring is very dim. What should be done in such a case? a. Inform Manufacturer about the potential problem and supply him the new version of the software b. Wait for Manufacturer to report the problem and charge him extra for solving the problem c. Ask your management for guidance as it looks bad to inform about potential problem which was not detected d. Reward the tester for doing a great Job 16. You are managing the Installation of a new software Product. The Product has to be installed at 1000'ss of client systems one by one. While your installation team does the installation, the quality team does process metric measurements and adds the data points to a control chart. When you examine the control chart, you discover that the process is Out of Control and some immediate action needs to be taken. What is noticed on the Control Chart? a. Lots of variation in the measurement. b. There were two points which were more than 100% away from the mean. c. Atleast seven consecutive measurements were below or above the mean d. All the measurement were within the upper and lower control limits 17. You are the Project Manager of a Project and during earned value analysis, you found out that SPI is 1.3 and CPI is What can be said about the Project status? a. The Project is behind the schedule and under budget b. The Project is ahead of the schedule and under budget c. The Project is behind theschedule and under budget d. The Project is ahead of the schedule and over its budget 18. Which of the following is a defect? a. A mistake made by a team member on the job b. A change that the team needs to make in how they do the work c. A project management plan that does not meet its requirements d. A change request that s been rejected by the change control board Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 26 of 40

27 19. Which of the following is NOT an output of Monitor & Control Project Work? a. Project management plan updates b. Change request status updates c. Change requests d. Project document updates 20. Which of the following is NOT a tool or technique of Monitor and Control Risks? a. Bringing in an outside party to review your risk response strategies b. Revisiting your risk register to review and reassess risks c. Using Earned Value analysis to find variances that point to potential project problems d. Gathering information about how the work is being performed 21. Which of the following tools is used to document the lessons that were learned when the contract was administered? a. Quality audit b. Buyer-conducted performance review c. Contract review d. Procurement audit 22. 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 of the following: a. Change control system b. Perform Integrated Change Control c. Change requests d. Changes to project plan baselines 23. In a normal distribution, standard deviation refers to: a. Distance of measurement 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 24. You are the project manager in a company. You have to prepare a process improvement plan. Which of the following would you not consider for this purpose? a. Quality metrics b. Targets for improved performance c. Process boundaries and process metrics d. Process configuration 25. In your construction project, the CPI is 0.85 and SPI is 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. Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 27 of 40

28 26. 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. Plan Risk Management b. Identify Risks c. Monitor and Control Risks d. Plan Risk Responses 27. Which of the following tools is not used in Administer Procurements process? a. Payment systems b. Performance reporting c. Inspections and audits d. Procurement audits 28. Project performance must be monitored and measured regularly to identify variances from the plan. Which of the following processes does not belong to the Monitoring and Controlling Process Group? a. Verify Scope b. Monitor and Control Risks c. Report Performance d. Perform Quality Assurance 29. A project manager is discussing the observed variations between planned and actual values of the defects with his quality engineer. He realizes that he has forgotten to identify one of the important metric to analyze defects. Which process group is the project manager in If he evaluates the current result for the metric and whether or not it requires corrective actions? a. Initiating b. Planning c. Executing d. Monitoring and Controlling 30. A project manager is using S curve to reflect the various expenditures of resources over the projected time of the project. This S curve indicates that a. Bulk of the project cost is spent during execution phase b. The project follows linear expenditure over all the phases c. The project resource cost would be directly proportional to the size of the project d. The project has high risk of attrition during execution phase 31. The Project Manager is currently reviewing the Issue Register as part of his Execution activity. Which of the following should the project manager perform as part of his Monitoring and Controlling process group activity? a. Assess the corrective actions on the issue register b. Determine the next steps for unresolved issues c. Use appropriate tools and techniques in order to minimize the impact on project schedule, cost and resources d. All of the above 32. You are assigned as a project manager to a project in the execution stage. Current schedule and performance indices for the project SPI and CPI are 1.2 and 1.1 and project performance is well within baseline. The defects found during internal testing for the last deliverable were Copyright 2013 The Knowledge Academy Ltd - All rights reserved. Page 28 of 40