Project Management Question Bank
for Exam preparation

Q2. A project manager has run into cost difficulties. The project scope must be completed, but at less cost. The project manager should:

1. Change the depreciation method for the equipment used on the project.
2. Perform a value analysis
3. Evaluate benefit cost ratios
4. Recover some sunk costs.

Q3. Andy is currently working for ABC Contractors as a quality control manager for a railway track construction project. National Railways awarded this cost-plus construction contract to ABC Contractors a few months ago. As a contractual requirement, ABC Contractors has to submit each completed deliverable for client acceptance. Reviewing project data, Andy found that the current submission rejection rate is 22 percent. He conducts a root cause analysis and submits his findings along with construction process improvement recommendations to the project director. In this scenario, Andy’s report is an example of:

1. Work performance data
2. Raw observations
3. Work performance information
4. Work control report

Q4. You are in the process of collecting and disseminating performance information to the stakeholders in the project. You want to predict the future performance of the project based on the current information. This performance information includes status reports, current status of risks, and summary of changes approved in the period. Which of the following methods will help you in predicting the future performance of the project?

1. Forecasts
2. A Pareto chart
3. A run chart
4. A Work Breakdown Structure

Q5. ________ refers to non-random data points that are grouped together on one side of the mean of a control chart.

1. Specification limits
2. Lower control limit
3. Rule of seven
4. 6 sigma

Q6. Your company took over the management of a project from another company that went out of business. To minimize disruptions related to the transition, your company hired a number of the employees from the other company. One of these employees has delivered a 300-page document a week ahead of schedule. However, while walking past his desk, you notice that his computer is displaying a document with the logo of his former employer. You suspect that some of his work may have been based on documentation that is the property of the other company. What do you do?

1. Report this to your project stakeholders immediately.
2. Determine if any materials belonging to the other company have been copied.
3. The copyright material is owned by the client, for whom you are working so this is not a copyright issue.
4. Do nothing. Because the company is now out of business, no one now owns the copyright on that material.

Q7. A project team includes five people when the project manager adds two more. How many additional channels of communication are there?

1. 7
2. 10
3. 21
4. 11

Q8. If the optimistic estimate for an activity is 12 days, and the pessimistic estimate is 18 days, what is the standard deviation of this activity?

1. 1
2. 1.3
3. 6
4. 3

Q9. You are in the middle of a new product development project for your publicly traded company when you discover that the previous project manager made a $3,000,000 payment that was not approved in accordance with your company policies. Luckily, the project cost performance index (CPI) is 1.2. What should you do?

1. Put the payment in an escrow account.
2. Bury the cost in the largest cost center available.
3. Ignore the payment
4. Contact your manager

Q10. In an activity-on-node diagram, the nodes represent:

1. Work packages
2. Activities
3. Dependencies
4. Discretionaries 40