Project Management Question Bank
for Exam preparation

Q2. During risk planning, a team member comes to you and informs you about a risk. This risk was not important; therefore, you tell him to just note down the risk and you will manage this risk if it occurs. What risk response strategy you are using here?

1. Mitigate
2. Accept
3. Avoid
4. Exploit

Q3. Your company is considering buying a building worth $1 million. If the company buys this building and rents it out for the next five years, it will get $100,000 per year as rent (receivable by the end of each year). At the end of the fifth year, the company will resell the building at $1.1 million. What is the NPV of this investment at 10 percent per annum discount rate?

1. 62092
2. 600000
3. 1600000
4. 2200000

Q4. A project manager is trying to coordinate all the activities on the project and has determined the following: Activity 1 can start immediately and has an estimated duration of 1 week. Activity 2 can start after activity 1 is completed and has an estimated duration of 4 weeks. Activity 3 can start after activity 2 is completed has an estimated duration of 5 weeks. Activity 4 can start after activity 1 is completed and has estimated duration of 8 weeks. Both activities 3 and 4 must be completed before the end of the project. What is the duration of the critical path for this project?

1. 10
2. 11
3. 14
4. 8

Q5. Which of the following BEST describes formal acceptance of a project?

1. Substantial completion is reached
2. Customer sign-off of the product is documented
3. Final payment is made
4. Final deliverables are sent to the customer

Q6. Your project schedule is tight and in danger of falling behind when two team members start disrupting status meetings by arguing with each other. As project manager, what is the BEST thing you can do?

1. Separate the two until the project is back on track
2. Tell each team member they will not receive a recommendation from you if they continue arguing
3. Discuss the problem with the two team members
4. Meet with both team members and their manager to determine the source of conflict.

Q7. As you examine a list of job candidates for your project, you find that your cousin is one of the three shortlisted candidates. You know that she was desperately looking for a job. After reviewing the three resumes, you will send them to the electronics engineer for a technical interview. From your review of these resumes, you see that all three shortlisted candidates have similar qualifications and experiences. What should you do?

1. To avoid conflict of interest, ignore your cousin’s resume but forward the other two resumes.
2. Forward all three resumes.
3. Call your cousin and conduct an informal interview yourself before forwarding the resumes.
4. Consult your boss before forwarding the resumes for interview.

Q8. Which of the following is the primary output of the Develop Project Team process?

1. Change requests
2. Staffing management plan
3. Team performance assessment
4. Updated issue log

Q9. A problem occurs on an activity with free float and the project manager has extended its duration. What is MOST likely to be affected?

1. Project duration
2. Resource schedules
3. Project scope management plan
4. The latest start for the successor activity

Q10. You are managing a six-month project and have held bi-weekly meetings with your project stakeholders. After five-and-a-half months of work, the project is on schedule and budget, but the stakeholders are not satisfied with the deliverables. This situation will delay the project completion by one month. The MOST important process that could have prevented this situation is:

1. Monitor and Control Risks
2. Control Schedule
3. Define Scope
4. Control Scope