Project Management Question Bank
for Exam preparation

Q2. Your company has signed up to build a high-tech machine in collaboration with ABC Corp in Japan. ABC Corp will provide the expert, technical know-how and any spare parts you may need. This is a very high-tech machine, the exact description of work is not yet clear, and you are building it for the first time. In this scenario what kind of contract will you select?

1. FPIF
2. CPAF
3. T&M
4. FFP

Q3. Your project is nearing completion, but a previously unidentified risk has arisen, and it could significantly affect one of the project deliverables. What do you do?

1. Transfer the risk
2. Develop a risk mitigation plan
3. Include the issue in the project risk log
4. Notify the project stakeholders immediately

Q4. Based on the network diagram in the chart, the resource working on activity G is replaced with another resource with 50 percent of the productivity of the previous resource. How long will this project take?

1. 44
2. 51
3. 52
4. 36

Q5. An important aspect of project management is the handling of stakeholder expectations. Typically, at what level are the stakeholders with respect to the project manager?

1. At higher levels and with greater authority
2. At all levels and with varying degrees of authority
3. At higher levels but only the project sponsor has authority greater than the project manager
4. At the same level with varying degrees of authority

Q6. When should a schedule baseline be created and used?

1. At the beginning of the project and used to compare schedule performance on status reports
2. At the end of the project and then used to measure team performance
3. At the end of the project and included in the archive
4. At the beginning of the project and used during the project to measure performance

Q7. What does a staffing management plan describe?

1. When and how resources will be added and taken off the team
2. How resources will be leveled
3. What resources will be used on the project
4. The responsible organization for each work package

Q8. The best practice to gather and document lessons learned is during weekly progress meetings. The agenda can have a lessons-learned brainstorming item at the end of these meetings. You can ask team members to put forward their recommendations, but it is always better to adopt a more structured way to gather lessons learned. Which of the following approaches will ensure you capture important lessons learned on your project?

1. Planning risk responses
2. Determining estimate to complete
3. Review of project variances
4. Signing off on the minutes of the meeting

Q9. If a risk event has a 90 percent chance of occurring, and the consequences will be US $10,000, what does US $90,000 represent?

1. Risk value
2. Present value
3. Expected monetary value
4. Contingency budget

Q10. You are managing an oil-drilling project. With oil at $143 per barrel, this could be a highly lucrative project. However, there is a chance that the price of oil will drop below $105 per barrel, which would eliminate the profit in the project. This is an example of:

1. Requirement
2. Assumption
3. Risk
4. Constraint