Project Management Question Bank
for Exam preparation

Q2. Lucy has recently been assigned as the project manager for a new shopping mall construction project. Since the project will span well over five years, Lucy is a bit hesitant to use the current market rates for estimating construction materials cost. The prices have been steadily increasing and the current market rates might not remain valid in the future. Which of the following techniques can Lucy apply to determine her project budget?

1. Conduct a trend analysis on the cost of materials and use that to extrapolate the cost of materials in the future.
2. Determine the cost of the project using current market rates and increase the total budget by some factor.
3. Compute the Net Present Value of the cost of materials and use that to determine the project budget.
4. Use Rolling Wave Planning to determine the budget as the project progresses.

Q3. You are managing a project where your team is physically located with client personnel at a remote location. There is a high level of interaction between your team and client personnel, and client satisfaction is considered very important. Since the client is expressing a very high level of satisfaction with the project’s progress, your management has indicated no concerns about the project. However, you are behind schedule and over budget. In addition, morale among team members is low, and several team members have talked about quitting. Team members complain regularly about priority adjustments and alteration of activities. The weekly reports you receive about activities completed are often difficult to relate to the WBS and the project management plan. What action should you take to MOST effectively address these problems?

1. You should enforce scope control.
2. You should identify ways to make team members’ work more satisfying using the most applicable motivational theory.
3. You should incur the extra expenses necessary to be on-site to more closely monitor the activities of the project team.
4. You should create a reward and punishment system to ensure that project team members complete activities within the timeframes outlined in the project management plan.

Q4. A project manager is analyzing the relationship between the consumption of project funds and the work being accomplished for such expenditures. In which project management process would this be done?

1. Determine Budget
2. Estimate Costs
3. Control Costs
4. Manage Costs

Q5. The budget of your project is 350,000 USD and you have spent 200,000 USD. However, upon analyzing the project’s performance you find that you are over budget and may need 200,000 USD to complete the remaining work. This 200,000 USD is known as:

1. BAC
2. ETC
3. TCPI
4. EAC

Q6. Which of the following activities occurs during the Plan Procurements process?

1. Make-or-buy decisions
2. Answering sellers’ questions about the bid documents
3. Advertising
4. Proposal evaluation.

Q7. Which of these types of precedence relationships is least commonly used in the Precedence Diagramming Method?

1. Start to Start
2. Finish to Finish
3. Finish to Start
4. Start to Finish

Q8. A collection of formally documented procedures that define how project deliverables and documentation are controlled, changed, and approved is:

1. An authorization system
2. Project documentation
3. A change control board
4. A change control system

Q9. You have been assigned to manage the development of an organization’s first Web site. The site will be highly complex and interactive, and neither your project team nor the client has much experience with Web site development. The timeline is extremely aggressive. Any delay will be costly for both your firm and the client. You have a project sponsor and have achieved agreement and sign-off on both the project charter and the project management plan. Client personnel have been kept fully informed of the project’s progress through status reports and regular meetings. The project is on schedule, within the budget, and a final perfunctory review has been scheduled. Suddenly you hear that the entire effort may be cancelled because the product developed is totally unacceptable. What is the MOST likely cause of this situation?

1. A key stakeholder was not adequately involved in the project.
2. The project charter and project management plan were not thoroughly explained or adequately reviewed y the client.
3. Communications arrangements were inadequate and did not provide the required information to interested parties
4. The project sponsor failed to provide adequate support for the project.

Q10. During project executing, one of the electrical engineers informs the project manager that the life cycle cost of the new heating and air conditioning system is higher than the life cycle cost of another heating and air conditioning system. What should the project manager do?

1. Determine if there is room in the project budget for the additional cost.
2. Select the product with the lower life cycle cost.
3. Select the product with the best life cycle cost to earned value ratio.
4. Select the product with the lowest maintenance cost to life cycle cost ratio.