Project Management Question Bank
for Exam preparation

Q2. An estimate that is +/-50 percent of actual is considered a:

1. Budget estimate
2. Rough order of magnitude estimate
3. Definitive estimate
4. Parametric estimate.

Q3. Many quality problems plagued a project. The quality of the work products deviated considerably from specifications. The project manager decided to do a root cause analysis. What activities does a root cause analysis include?

1. Discovery of the underlying causes of a problem
2. Problem Identification and discovery of the underlying causes of a problem
3. Identification of a problem
4. Problem identification, discovery of the underlying causes of a problem, and development of preventive actions

Q4. While analyzing a project, the project manager calculated the ratio of the Earned Value (EV) to the Actual Costs (AC) and obtained a value of 1.2. The project manager decided this was an unfavorable condition for the project and decided to take corrective action. What is your view?

1. The project manager is correct. The ratio of EV to AC is the Cost Performance Index and a ratio greater than 1 is unfavorable to the project
2. The project manager is not correct. The ratio of EV to AC is the Cost Variance and a ratio greater than 1 is favorable to the project.
3. The project manager is not correct. The ratio of EV to AC is the Cost Performance Index and a ratio greater than 1 is favorable to the project
4. The project manager is correct. The ratio of EV to AC is the Cost Variance and a ratio greater than 1 is unfavorable to the project.

Q5. Cause-and-Effect diagrams are used to illustrate how various factors might link to potential problems or effects. They are also called:

1. Taguchi diagrams
2. Pareto diagrams
3. Ishikawa diagrams
4. Process diagrams

Q6. Management has promised you part of the incentive fee from the customer if you complete the project early. While finalizing a major deliverable, your team informs you that the deliverable meets the requirements in the contract, but will not provide the functionality the customer needs. If the deliverable is late, the project will not be completed early. What action should you take?

1. Provide the deliverable as it is.
2. Inform the customer of the situation, and work out a mutually agreeable solution.
3. Start to compile a list of delays caused by the customer to prepare for negotiations.
4. Cut other activities in a way that be unnoticed to provide more time to fix the deliverable.

Q7. The communications management plan for the project has been completed and approved by the customer when a major stakeholder requests that the project manager issue reports on the amount o testing done throughout the life of the project. However, testing is only a minor aspect of the quality control plan. It would be BEST for the project manager to:

1. Issue the report, as this is a major stakeholder. Her needs would have been included in the staffing management plan.
2. Not issue the report. Project resources should be expended on communication information that contributes to success.
3. Request details of the information the stakeholder needs in the report. Provide that information to those handling the quality control function on the project.
4. Have the stakeholders meet with the project sponsor to get the sponsor’s agreement that project funds should be expended on this effort.

Q8. A stakeholder's mental picture or belief about the future is:

1. A Requirement.
2. A Heuristic.
3. An Expectation.
4. A Constraint.

Q9. In managing project communications, what should the project manager keep in mind?

1. Communication skills are most important during project executing.
2. The receiver is responsible for making sure communications are clear.
3. Only the team members need to be concerned about communication with each other.
4. A choice must be made about how to communicate properly.

Q10. To accommodate a new project in your department, you need to move resources from one project to another. Because your department is currently working at capacity, moving resources will inevitably delay the project from which you move the resources. It would cause the LEAST negative impact if you move resources from which of the following projects?

1. Project A with a benefit cost ratio of 0.8, no project charter, and four resources
2. Project B with a net present value of $60,000, 12 resources, and variable costs between US $1,000 and $2,000 per month
3. Project C with an opportunity cost of US $300,000, no project control plan, and an internal rate of return of 12 percent
4. Project D with indirect costs of US $20,000 and 13 resources