Project Management Question Bank
for Exam preparation

Q2. The project for the accounting department has been going well when the company says that it must reduce the cost of the project without changing the quality requirements. The project manager has looked to trim any resources, paid more attention to risk on upcoming activities, and even has reduced product scope, but the project remains over the new budget limit. Which of the following should the project manager do NEXT?

1. Get an extension of time
2. Review expensive customer requirements that add the least benefit
3. Suggest the project be terminated
4. Cut 10 percent off the cost estimate of each remaining activity.

Q3. Three years back, your organization awarded a fixed price contract to a reputable local contractor to construct a new airport terminal in the city. A few days back, you received a change request from the contractor requesting to adjust the contract’s price. The contractor is claiming that as a result of the recent national recession, the prices of raw materials have gone up and he cannot complete the rest of the project at the contract price. Is the contactor’s request legitimate?

1. Yes, you cannot penalize the contactor for price escalations due to force majeure.
2. Yes, unless there is no Economic Price Adjustment provision in the contract.
3. No, the price of the contract is fixed and cannot be changed.
4. No, the price hike due to recession must be adjusted against the contractor’s profit.

Q4. As the project manager of a development project, you are aware that there is a slight defect in the developed product; as a result, it will fail to meet certain regulatory standards. This was due to faulty requirements. You are also aware that the product will continue to function properly even though it fails to meet those standards. Your customer manager asks you to certify that the product meets the necessary regulatory standards, stating that this will not be verified when the report is submitted to the necessary authorities. Your stance is that:

1. You certify the product. Regulations are only guidelines in the industry. Not meeting a regulation does not mean anything.
2. As a one-off instance, you will certify the product to make sure the project goes through successfully.
3. You will not certify that a product meets certain regulations when it does not, even though the product continues to function well.
4. You certify the product, but you document your conversation with your customer manager for future purposes.

Q5. You have a US $100,000,000 project that has 34 team members in four different countries. At the completion of project planning, you have identified six risks, 225 work packages, 13 stakeholders and seven phases to the project life cycle. What part of this project management plan needs to be revisited?

1. The Identify Risks process
2. The staffing management plan
3. The network diagram
4. The communications management plan

Q6. A number of identified risks occurred early in a project. As a result, most of the project objectives ended up in jeopardy. The project manager decided to present a case to management that the project be closed down. This is an example of:

1. Risk Acceptance
2. Risk Mitigation
3. Risk Avoidance
4. Risk Transfer

Q7. Carole is managing a hotel refurbishment project. She has identified her project's key stakeholders. Carole now wants to expand this list of stakeholders and convert it to a comprehensive list of project stakeholders. What should Carole do?

1. Do not spend more time on identifying the non-key stakeholders
2. Seek expert judgment from the identified key stakeholders
3. Request that the project sponsor provide the details of the remaining stakeholders
4. Carry out a stakeholder analysis with the identified key stakeholders

Q8. Which parts of the risk management process use the project scope statement as an input?

1. Plan Risk Management and Control Risks
2. Perform Qualitative Risk Analysis and Plan Risk Management
3. Perform Quantitative Risk Analysis and Plan Risk Responses
4. Plan Risk Responses and Control Risks.

Q9. You have a project with the following activities: Activity A takes 40 hours and cant start after the project starts. Activity B takes 25 hours and should happen after the project starts. Activity C must happen after activity A and takes 35 hours. Activity D must happen after activities B and C and takes 30 hours. Activity E must take place after activity C and takes 10 hours. Activity F takes place after activity E and takes 22 hours. Activity F and D are the last activities of the project. Which of the following is true if activity B actually takes 37 hours?

1. The critical path is 67 hours
2. The critical path changes to Start, B, D, End
3. The critical path is Start, A,C, E, F, End
4. Critical path increases by 12 hours 67

Q10. In predictive projects, the scope baseline for the project is used to analyze a project’s scope performance. On the other hand, projects with adaptive lifecycles use:

1. WBS
2. WBS dictionary
3. Scope statement
4. Backlogs