Project Management Question Bank
for Exam preparation

Q2. _______________ is the authorized budget for the work scheduled to be completed on an activity or WBS component.

1. Planned Value
2. Earned Value
3. Midpoint cost
4. Interim cost

Q3. You have received a proposal for an RFP that was sent to vendors. One of the vendors has proposed doing the project for $12,500. The cost for the project is $10,000, and their profit will be $2,500. Which type of contract is most suitable if the type of work is predictable and the requirements are well-defined and not likely to change?

1. Cost Plus Fixed Fee
2. Cost Plus Percentage of Cost
3. Fixed price
4. Cost Plus Incentive Fee

Q4. You are a project manager leading a US $3,000,000 chemical engineering project. To date, you’ve been leading the other 11 people who comprise the overall project team. Lately you’ve noticed that you are spread too thin and the schedule is being negatively impacted. Because the project is date-constrained, you convinced senor management to accept a cost variance and add a senior quality assurance analyst to the project team. This new resource will work directly with the three project team members who comprise the testing sub-team. How many more communication channels will there be on the project team?

1. 12
2. 11
3. 78
4. 66

Q5. In your project, two important stakeholders are having some issues. To keep this issue from escalating further you intervene and resolve the issue. After the issue is resolved you asked your team member to record the issue so in the future a lesson can be learned from it. Where will you note the issues between stakeholders?

1. Risk register
2. Issue log
3. Stakeholder register
4. Change log

Q6. The objective of a transformation project is to move an organization from one state to another state. Before the project begins, the organization is commonly referred to as being in the:

1. Hot State
2. Ready State
3. Historic State
4. Current State

Q7. Julia is managing a water treatment plant construction project. A new government has recently been sworn in. During the election campaign, the winning candidate made a number of commitments regarding environmental control reforms. Julia is not sure how the new government and its future policies might affect her project. This is an example of:

1. Variability risk
2. Mitigated risk
3. Ambiguity risk
4. Opportunity risk

Q8. You have a firm fixed price (FP) contract with a clause stating that all changes to the contract statement of work must be written. One of your team members verbally instructed the seller to ad a change that resulted in a 100 percent work package return. In this situation, what conflict management strategy should you use (as the project manager) with the team member?

1. Punishment
2. Problem solving
3. Negotiating
4. Withdrawal.

Q9. A project has experienced significant delays due to equipment problems, staff attrition, and slow client reviews. The project is 40 percent complete and has used 60 percent of the available calendar time. What is the FIRST thing you should do?

1. Rebaseline the schedule to reflect the new date
2. Analyze the critical path activities for potential to fast track or crash the schedule
3. Document the lack of progress and associated issues to management
4. Identify activities that required more time than planned 49

Q10. What would be the BEST explanation for the following: Both the cost variance and schedule variance are negative, but the cost variance is lower than the schedule variance.

1. The project underspent because all work was not completed, but overspent for work that was done.
2. The project overspent due to increased costs and yet completed some activities faster.
3. The project activities took longer than expected, but costs were lower.
4. The project underspent, because costs were lower than planned and activities were easier to complete than planned.