Project Management Question Bank
for Exam preparation

Project Management- Q2. A project manager ha a very large project budget, the team lacks experience and adequate management support. Under these circumstances, what is the MOST effective way to get the work completed?

1. Provide bonuses for meeting specific quality measures
2. Inform the team members that they will be fired if they do not perform
3. Spend some of the project budget taking the team member’s bosses to lunch and discuss the benefits of the project.
4. Inform the team they do not need to worry because the project manager will provide the technical expertise.

Project Management- Q3. You have been given a task to find cost estimates for several projects, and your organization will submit its bid based on these estimates. The financial position of the organization is not very good; therefore, they tell you that they cannot invest more than 500,000 USD. They also give you a leeway of 10% on either side of it. This leeway is a part of:

1. Organizational process assets
2. Enterprise environmental factors
3. Threats
4. Opportunities

Project Management- Q4. The create WBS process is where you create the work breakdown structure. The WBS helps you immensely in developing the schedule and other project management activities. Which of the following is the highest element in the hierarchical breakdown of the work breakdown structure?

1. Control account
2. Project work
3. Deliverable
4. Milestone

Project Management- Q5. If planned value (PV) is US $29,000, actual cost (AC) is US $32,000, and earned value (EV) is US $30,000, what is the schedule variance (SV)?

1. 0.938
2. $1,000
3. 1.034
4. ($2,000) 19

Project Management- Q6. The sponsor of a project created a document that included the business need and the cost-benefit analysis. What would this document be termed as?

1. The project statement of work
2. The business case
3. The project management plan
4. The contract

Project Management- Q7. Who of the following has primary responsibility for establishing design and test specifications?

1. Senior management
2. Procurement
3. Engineering
4. Quality control

Project Management- Q8. You have recently joined a new company as a project manager. While reviewing the procurement plans for a project you will be taking over, you see that the company is considering using one of the most expensive manufacturers to provide certain equipment required for the project. At your previous employer, you had used a different supplier for the same equipment and had paid significantly less. Without telling your boss, you now call that supplier for a quote. Have you violated the rule of keeping proprietary information confidential?

1. Maybe. You need to talk to your boss first.
2. No. There is no harm in sharing the information with your current employer, because you are no longer working for your old employer.
3. Yes. The supply source is proprietary information, and you should not contact the supplier.
4. You have not violated any rule.

Project Management- Q9. Which factor would NOT be considered when choosing between two projects to undertake?

1. Net present value (NPV)
2. Benefit cost ratio (BCR)
3. Payback period
4. Law of diminishing returns

Project Management- Q10. All of the following are outputs of the Monitor and Control Project Work process EXCEPT:

1. Rejected change requests
2. Recommend corrective actions
3. Forecasts
4. Recommend defect repair