Project Management Question Bank
for Exam preparation

Q2. While staffing a project in another country, the project leader from that country comes to you with a suggested team consisting of members of the project leader’s family. Your FIRST course of action should be to:

1. Inquire if hiring only through family lines is common practice in the project leader’s country.
2. Review the resumes of the individuals to see if they are qualified.
3. Ask the project leader to provide additional names of people unrelated to him/her.
4. Use a different project leader to prevent problems later in the project.

Q3. A project manager has just started planning his project. If he has only limited information about the project, he should use the following technique to estimate the duration for each activity using historical data from a similar project:

1. Four-point estimating
2. Three-point estimating
3. Analogous estimating
4. Parametric estimating

Q4. Decision tree analysis is used to calculate the average outcome when the future includes scenarios that may or may not happen. What are a decision node’s inputs and outputs?

1. Input: Cost of each decision; Output: Probability of occurrence
2. Input: Cost of each decision; Output: Decision made
3. Input: Scenario probability; Output: Expected Monetary Value (EMV)
4. Input: Cost of each decision; Output: Payoff

Q5. To manage a project effectively, work should be broken down into small pieces. Which of the following does NOT describe how far to decompose the work?

1. Until it has a meaningful conclusion
2. Until it cannot be logically subdivided further
3. Until it can be done by one person
4. Until it can be realistically estimated

Q6. If a project has a 60 percent chance of a US $100,000 profit and a 40 percent chance of a US $100,000 loss, the expected monetary value for the project is:

1. $100,000 profit
2. $60,000
3. $20,000 profit
4. $40,000 loss

Q7. What might historical records from previous projects used as an input to the Define Activities process include?

1. Activities
2. Resources
3. Costs
4. Schedule

Q8. All the following are tools of the Control Schedule process except:

1. Parametric estimating
2. Critical Path Method
3. Schedule compression
4. Leads and lags

Q9. As part of the procurement process, the procuring organization elected to have an estimate of costs prepared by an outside professional estimator. The estimator came up with an estimate of $500,000. However, the cost estimates prepared by prospective sellers were in the range of $200,000. How can this be best interpreted?

1. The procurement statement of work was deficient and ambiguous.
2. The professional estimator has inflated the estimate of costs.
3. The prospective sellers do not have the required skills to do the project.
4. Prospective sellers are trying to underbid and win the project.

Q10. Which of the following techniques can help clarify the structure, requirements, and other terms of the purchases so that mutual agreement between a buyer and a seller can be reached prior to signing the contract?

1. Independent estimates
2. Advertising
3. Bidder conferences
4. Procurement negotiations