Project Management Question Bank
for Exam preparation

Q2. Different types of contracts are appropriate for different types of purchases. Which of these is not one of the three broad categories of contracts?

1. Cost-reimbursable
2. Time and Material
3. Fixed-price or lump sum
4. Fixed assessment

Q3. Which of the following is the BEST method to make reward systems MOST effective?

1. Pay a large salary increase to the best workers
2. Give the team a choice of rewards
3. Make the link between performance and reward clear
4. Present notification of rewards within the company.

Q4. You have signed a contract with a contractor which states that you will pay for the entire contractor’s legitimate costs, plus a fee based on the subjective evaluation of his performance; this will not be subject to an appeal. What kind of contract is this?

1. CPIF
2. CPFF
3. FPIF
4. CPAF

Q5. What percentage of the total distribution is 3 sigma from the mean equal to?

1. 68.26 percent
2. 99.99 percent
3. 95.46 percent
4. 99.73 percent

Q6. You are working on a big project and team members are located in different geographic locations. Your team has encountered some issues while communicating. During phone calls, some voices get lost and members also face difficulties in understanding the problems. So, you decide to find a better communication method to discuss issues. Which of the following is the most effective communication method?

1. Intranet site
2. Email
3. Fax
4. Video conferencing

Q7. A project manager works in a company that has a matrix organizational structure. A server administrator is assigned to the project manager’s project team. The server administrator is not taking direction from the project manager and the delay in the server administrator’s activities is causing a negative variance to the schedule. The server administrator works for the director of server administration. Who is primarily responsible for solving this problem?

1. The project manager
2. The server administrator
3. The director of server administration
4. The sponsor

Q8. You have been appointed a project manager for ABC Inc. and are given a project. While in the planning stage, you find that your organization is lacking the skills and manpower to complete a part of the work and the scope is also unclear. You decide to contract this work to a third party. What kind of contract will you select in this case?

1. Cost reimbursable
2. Time & material
3. Fixed fee
4. PO

Q9. 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

Q10. A new project manager is being mentored by a more experienced certified project management professional (PMP). The new project manager is having difficult finding enough time to manage the project because the product and project scope are being progressively elaborated. The PMP mentions that the basic tools of project management, such as a work breakdown structure, can be used during project executing to assist the project manager. For which of the following can a work breakdown structure be used?

1. Communicating with the customer
2. Showing calendar dates for each work package
3. Showing the functional managers for each team member
4. Showing the business need for the project 6