Project Management Question Bank
for Exam preparation

Q2. The BEST description of costs that change with the amount of production is:

1. Variable costs
2. Fixed costs
3. Direct costs
4. Sunk costs 24

Q3. A decision tree is a Perform Quantitative Risk Analysis technique. A decision tree is represented by a Decision Tree Diagram. The decision tree describes a situation under consideration, the implications of each of the available choices, and the possible scenarios. A Decision Tree Diagram shows how to make a decision among alternative capital strategies known as:

1. Alternative nodes
2. Question points
3. Decision nodes
4. Checkpoints

Q4. Which of the following statements regarding Resource Leveling and Resource Smoothing is correct:

1. Resource Smoothing can cause the original critical path to change, while Resource Leveling doesn’t alter the project’s critical path.
2. Both Resource Leveling and Resource Smoothing can alter the project’s critical path.
3. Neither Resource Leveling nor Resource Smoothing alters the project’s critical path.
4. Resource Leveling can cause the projects’ critical path to change, while Resource Smoothing doesn’t alter the project’s critical path.

Q5. Nancy’s project has a large number of key positive and negative stakeholders. To ensure the project’s success, it is essential to manage the influential negative stakeholders closely. Do the key positive stakeholders need to be managed, too?

1. No; more attention needs to be given to the key negative stakeholders.
2. The positive stakeholders need to be closely managed, as well, since stakeholders’ needs and expectations change over time.
3. Project stakeholders should not be classified as positive and negative stakeholders.
4. Yes; positive stakeholders should be more closely managed than the negative stakeholders.

Q6. Warranty and inventory costs are going up, causing the project manager to worry about the costs of non-conformance. What is the BEST advice you can give the project manager?

1. Increase scrap.
2. Increase rework
3. Perform a quality audit.
4. Look for benchmarks.

Q7. In which project management process group is the project manager likely to be more coaching?

1. Initiating
2. Planning
3. Executing
4. Monitoring and controlling.

Q8. You are finishing the prototype that was planned as a risk mitigation strategy when you find out that the benefit cost ratio (BCR) has been improved and the project cost performance index (CPI) is 1.03. The standard deviation on the project time estimate has decreased and you discover that the prototype, already almost finished, can fulfill the needs of another project requirement as well. What should you do FIRST?

1. Look for ways to help get the prototype accepted faster and thus cut cost
2. Compress the project to get it completed faster using the prototype
3. Review the benefits of the project with the customer and determine if the prototype will improve the benefits
4. Look for the risk impacts of fulfilling another requirement with the prototype.

Q9. Establishing control accounts for the work packages and a unique identifier from a code of accounts finalizes the WBS. This provides a structure for hierarchical summation of:

1. Schedule and requirements information
2. Cost and requirements information
3. Cost and resource information
4. Scope, budget and schedule information

Q10. Which of the following tools give a visual representation of an organization’s data, described in business language that is independent of any specific technology?

1. Matrix diagrams
2. Mind maps
3. Flowcharts
4. Logical data model