File 38

1.
While working on an external project your customer asks you to perform some additional
tasks that are not included in the formal contract. You should:
a. Honor the customer's request as sign of cooperation to ensure future business.
b. Refuse the request and report the customer to your sponsor
c. Acknowledge the request and advise the customer to submit a formal change request
d. Convene a meeting of the project team and rewrite the scope statement.
2. You are managing an internal R&D project. The initial test results are very poor. You are
afraid your management might cancel the project, and this could reflect poorly upon you.
Verification testing could be done quickly and inexpensively. You should:
a. Be the first to recommend canceling the project
b. Inform management about the results and wait for a response
c. Inform management immediately and recommend retesting for verification
d. Withhold the information from management until you perform additional tests to verify the
initial results
3. During an informal meeting with your project client you are offered a substantial monetary
incentive to alter the configuration of the product to meet the client's personal need. This change
may result in additional project costs and schedule delays. The appropriate action to take would be:
a. Refrain from accepting the offer and advise the customer to submit a request to the change
control board.
b. Accept the offer and issue an internal configuration change request to the design group
c. Obtain additional information about the request and the customer's personal need before
accepting the offer.
d. Delay acceptance of the offer until you can ensure that you can protect yourself from any
legal liabilities.
4. As the project manager for a very large and highly visible project you receive a preliminary
press release for your approval before distribution. You are expected to approve the release without
comment. Your review identifies a major discrepancy regarding some key project financial estimates
that may mislead the intended recipients. As the project manager it is your responsibility to:
a. Inform the project sponsor of the discrepancy and refuse to approve the release
b. Approve the release but send a memo to the sponsor advising that you are aware of the
discrepancy and will refer any questions your receive to the sponsor
c. Completely rewrite the press release and include the correct information
d. Approve the release as requested
5. Your project is running out of cash and significant work remains. You are directed by senior
management to instruct your people to use another project's charge numbers while working on your
project. You should:
a. Follow instructions
b. Inform the corporate auditors
c. Understand the background of management's instructions before taking any action
d. Shut down the project, if possible
6. While reviewing the estimates from the functional managers assigned to your project you
discover that one cost estimate is clearly higher than those submitted for previous projects. You
should:
a. Reject the estimate and remove the functional manager from the project
b. Request the supporting details for the estimate to ensure it has been properly prepared.
c. Accept the estimate and plan to use the additional funding as a reserve.
d. Question each functional manager for information about this estimate.
7. You are working in a country where it is customary to exchange gifts between contractor and
customer. Your company code of conduct clearly states that you cannot accept gifts from any client.
Failure to accept the gift from this client may result in termination of the contract. The action to take
in this case would be:
a. Provide the customer with a copy of your company code of conduct and refuse the gifts.
b. Exchange gifts with the customer and keep the exchange confidential
c. Contact your project sponsor and /or your legal or public relations group for assistance.
d. Ask the project sponsor or project executive to exchange gifts.
8. During your assignment as project manager you add a new member to your project team.
This new team member was recently hired from a competitor and offers to share a substantial
amount of proprietary information from his previous company. This information could put you and
your team in a very strong position for future business. You are aware of a non compete clause in the
new hire's condition of employment. You should:
a. Accept the information and agree to keep it confidential between you and the new hire.
b. Review the condition of employment with the new hire and advise her to reconsider the offer.
c. Review the information and only accept only what may have a direct impact on the project's
financial status.
d. Ignore the offer to share and move forward with the project
9. You are asked to write a paper for your sponsor so that he/she can present it at a technical
meeting. You are informed that his/her name will be the only name on the paper. You should:
a. Follow instructions
b. Follow instructions but demand that your name also appears
c. Refuse to follow the instructions
d. Go over the head of your sponsor seeking advice
10. An example of a conflict of interest would be:
a. As a public official you make a decision about a contract award that will benefit you
personally
b. You and a functional manager disagree with a task cost estimate
c. Your sponsor decides to cancel your project because it no longer supports the company
strategy
d. Your personality conflicts with that of a key member of your project team.
11. Each of the following describes the use of an ethical approach except:
a. Attempting to understand the religious and cultural sensitivities of the country in which you
have been assigned.
b. Ensuring that personal interest does not interfere with your decision making process.
c. Accepting gifts in exchange for favoring one contractor over another
d. Maintaining confidentiality of sensitive information obtained during the project life cycle.
12. To maintain the customer's schedule, massive overtime will be required between Christmas
and New Years. Many of your team members have put in for vacation during this time. You should:
a. Let the schedule slip and inform the customer
b. First give the employees the choice of working overtime
c. Make the employees cancel their vacation plans and work overtime
d. Hire temporary employees for the overtime
13. Which of the following situations describes a violation of the PMP?Professional Code of
Conduct?
a. Accepting a gift that is within the customary guidelines of the country or province you are
currently working in.
b. Use of confidential information to advance your position or influence a critical decision.
c. Complying with laws and regulations of the state or province in which project management
services are provided
d. Disclosing information to a customer about a situation that may have an appearance of
impropriety.
14. In order to balance the needs of the many stakeholders involved in your project the most
desirable method to achieve resolution of conflicts would be:
a. Compromise
b. Forcing
c. Controlling
d. Confrontation
15. You receive a contract to perform testing for an external client. After contract award, the
customer provides you with the test matrix to use for your 16 tests. The vice president for
engineering says that the customer's test matrix is wrong, and she will use a different test matrix,
which should give better results. This is a violation to the SOW. Suppose your sponsor is also the
vice president for engineering. You should:
a. Use the customer's test matrix
b. Use the engineering test matrix without telling the customer
c. Use the engineering test matrix and inform the customer
d. Tell your sponsor that you want to set up a meeting with the customer to resolve the conflict
16. In order for the project manager to fully and effectively understand a stake holder's personal
concerns or grievances it may necessary to:
a. Ask for a written description of the problem and submit it through the project office
b. Schedule a project review session with the entire project team
c. Attempt to empathize with the stakeholder
d. Involve the project sponsor as an arbitrator
17. As the leader of a project team, the project manager may be required to assess the
competencies of his or her team members. Occasionally, some weaknesses or areas for improvement
will be identified. The project manager should:
a. Remove any team members who have demonstrated weaknesses in critical knowledge areas
b. Communicate those weaknesses and establish a performance improvement program
c. Hire additional resources to compensate for weak areas
d. Wait for the team members to fail in an assignment to justify termination.
18. You have just changed jobs and discovered that your new employer routinely violates
OSHA/EPA and affirmative action requirements on projects. You should:
a. Do nothing; it's not your problem
b. Start by asking management if they are aware that regulations are being violated
c. Talk to the corporate legal department
d. Inform the appropriate government agencies about the violations
19. The project manager must be an effective communicator to ensure that project stakeholders
receive and understand project related information and status. Prior to delivering information to the
stakeholders the project manager should attempt to:
a. Research and understand the region of experience of the stakeholder before transmitting
information
b. Identify only those stakeholders that have a the same background experience as the project
manager
c. Filter the information to remove any details
d. Restrict information to specific technical details
20. As part of your project plan you must develop an effective method of communication for
your multinational team of stakeholders. You have several choices of media available. The
appropriate action to take in the development of the communication plans would be to:
a. Discuss the available options with the stakeholders and obtain their input
b. Use the standard media that has been in effect for your previous projects
c. Use multiple forms of media to ensure that everyone receives the information
d. Obtain additional funding from the project sponsor and develop a project specific
communications infrastructure.
21. One of your employees is up for promotion. If the promotion is granted, the employee will
be reassigned elsewhere causing a problem for you on your project. You can delay the promotion
until your project is completed. You should:
a. Support the promotion but work with the employee and the employee's new management to
develop a good transition plan
b. Ask the employee to refuse the promotion until your project is completed.
c. Arrange to delay the promotion until the project is completed
d. Tell the employee that it is his responsibility to find a suitable replacement so that the project
will not suffer.
22. The integrity of the project manager is often challenged by stakeholders who attempt to use
personal power or influence to change the scope of an agreed upon deliverable. In these situations
the project manager's most appropriate response would be:
a. Refer the stakeholder to the process for change documented in the approved contract.
b. Agree to the change because customer satisfaction is the goal regardless of cost.
c. Contact the legal department and suspend all further project work
d. Determine the risks and rewards for implementing the change before taking any action.
23. During project implementation the client interprets a clause in the contract to mean the he is
entitled to a substantial refund for work recently completed. You review the clause and disagree with
the client's conclusion. As the project manager which of the following actions should be taken
a. Disregard the customer's conclusion and continue to process invoices
b. Document the dispute and refer to the provisions of the contract that address interpretations
and disputes
c. Advise the customer that ambiguous information in contracts is always interpreted in favor of
the contractor
d. Immediately correct the clause to remove any possible misinterpretation by the customer
24. Your executives, in appreciation for the success of your project, have given you a ,000
bonus to be disbursed among your five-team members. One of the five, who is a substandard worker
and accomplished very little on your project, is in your car pool. You should:
a. Provide everyone with an equal share
b. Provide everyone a share based upon their performance
c. Ask the workers to decide among themselves how the bonus should be subdivided
d. Ask the sponsor to make the decision
25. Before reporting a perceived violation of an established rule or policy the project manager
should
a. Determine the risks associated with the violation
b. Ensure there is a reasonably clear and factual basis for reporting the violation
c. Ignore the violation until it actually affects the project results
d. Convene a committee to review the violation and determine the appropriate response
26. Project Managers can contribute to their organization's knowledge base and to the
profession of project management most effectively by:
a. Developing and implementing a project review and lessons learned process
b. Establishing strict guidelines for protecting intellectual property
c. Promote the use of ad hoc project management
d. Ensuring that all project plans are developed before the project team is formed
27. You have been assigned two concurrent projects. Because of the nature of the projects, you
have a conflict of interest. You should:
a. Do the best you can and tell no one
b. Ask to be removed from one of the projects
c. Ask to be removed from both of the projects
d. Inform your sponsor and ask for his advice
28. You receive a contract to perform testing for an external client. After contract award, the
customer provides you with the test matrix to use for your 16 tests. The vice president for
engineering says that the customer's test matrix is wrong, and she will use a different test matrix,
which should give better results. This is a violation to the SOW. You should:
a. Use the customer's test matrix
b. Use the engineering test matrix without telling the customer
c. Use the engineering test matrix and discuss the reasons with the customer
d. Ask your sponsor for clarification, assuming that the vice president is not your sponsor
29. An effective method for improving an organization's project management knowledge base is
through:
a. Coaching and mentoring
b. Referent power
c. A weak Matrix organizational structure
d. Fast Tracking
Answer Key
1=c 8=b 15=d 22=a
2=d 9=b 16=c 23=b
3=a 10=a 17=b 24=c
4=a 11=c 18=b 25=b
5=c 12=b 19=a 26=a
6=b 13=b 20=a 27=d
7=c 14=d 21=a 28=d
29=a
1. Communications is best described as:

A. an exchange of information.
B. providing written or oral directions.
C. consists of senders and receivers
D. effective listening.
E. All of the above
ANS: E
2. Fixed Price contracts place more risk on the:

A. owner
B. buyer
C. seller
D. contractor
E. C or D
ANS: E
3. Life cycle costing is the total cost to the customer for the acquisition and ownership over its
full life. Life cycle costing categories include the cost
of _____, _____, and _____.
A. R & D, maintainability, operation and support.
B. R & D, production, operation and support.
C. Acquisition, operations, maintenance.
D. Production, operations, maintenance.
E. None of the above
ANS: B
4. Management By Objectives assumes that the team:

A. is receptive to an unstructured environment.
B. does not require close supervision.
C. possesses a self directed philosophy
D. identifies with project objectives.
E. All of the above.
ANS: E
5. Quality may be defined as:

A. conformance to requirements.
B. fitness for use.
C. continuous improvement of products and services
D. appeal to the customer
E. All of the above except B
ANS: E
6. Since risk is associated with most projects, the best course of action is to:
A. cover all project risks by buying appropriate insurance
B. ignore the risks, since nothing can be done about them and move forward with the project in
an expeditious manner.
C. avoid projects with clear and present risks
D. eliminate all known risks prior to the execution phase of the project
E. identify various risks and implement actions to mitigate their potential impact
ANS: E
7. The process of choosing/documenting the best approach to achieve the project objectives is
part of:
A. The scope baseline.
B. Scope authorization
C. Scope definition
D. Scope planning.
ANS: D
8. Time management is the allocation of time in a project's life cycle through the process of:
A. Planning
B. Estimating.
C. Scheduling.
D. Controlling
ANS: E
9. A comprehensive definition of scope management would be:

A. Managing a project in terms of its objective through the concept, development,
implementation, and termination phases of a project.
B. Approval of the scope baseline.
C. Approval of the detailed project charter.
D. Configuration control.
E. Approved detailed planning including budgets, resource allocation, linear responsibility
charts and management sponsorship.
ANS: A
10. Cost Plus Percentage of Cost contracts are more desirable for the:
A. owner
B. buyer
C. seller
D. contractor
E. C or D
ANS: E
11. Management styles associated with production environments, such as assembly lines
commonly include:
A. a directing style of leadership.
B. a lack of confidence in their workers
C. assumption that workers lack ambition and dislike responsibility
D. a Theory X style of leadership
ANS: E
12. Quality management:

A. is another name for careful inspections.
B. is inversely related to productivity.
C. is primarily the responsiblity of management.
D. is primarily the responsibility of the workers.
E. is essentially a motivational technique.
ANS: C
13. Risk management allows the project manager and the project team to:
A. eliminate most risks during the planning phase of the project
B. identify project risks
C. identify impacts of various risks
D. plan suitable responses
E. B, C and D only
ANS: E
14. Scheduling is the process by which decisions are made concerning:

A. Tasks to be accomplished.
B. Personnel/organization that will be assigned to accomplish the task.
C. Time when the tasks are to be completed.
D. All of the above.
E. A and C only.
ANS: E
15. The basic elements of communication include:

A. Listening, talking and sign language.
B. Communicator, encoding, message, medium, decoding, receiver, and feedback
C. Clarity of speech and good listening habits
D. Reading, writing and listening
E. All of the above
ANS: B
16. Which of the following would most likely increase the accuracy of estimating the project
cost?
A. Pricing out the work at lower levels in the work breakdown structure.
B. Using historical data.
C. Talking to people who have worked on similar projects.
E. A and C only.
ANS: D
17. A variance envelope has been established on a project. The envelope goes from +-30% in
R&D to +-5% during manufacturing. The reason for
the change in thickness of the envelope is because:
A. The management reserve has been used up.
B. The accuracy of the estimates in manufacturing are worse than the estimates in R & D.
C. Tighter controls are always needed as a project begins to wind down.
D. Of the personal desires of the project sponsor.
E. Of none of the above
ANS: E
18. Cost of quality is:

A. associated with non-conformance to specifications and requirements.
B. primarily caused by poor workmanship of workers who are building or manufacturing the
product.
C. used to determine whether a quality management program is suitable for a given project.
D. negligible for most large projects.
E. A and B
ANS: A
19. Management plans include all of the following except:

A. Organization of project.
B. Job descriptions.
C. Policies and procedures.
D. Linear responsibility charts.
E. Scope baseline.
ANS: E
20. The Japanese resource management model exhibits:

A. a cooperative spirit of goal setting.
B. non-specialized career paths
C. frequent changes in team assignments
D. a Theory Z style of management
ANS: E
21. The highest degrees of project risk and uncertainty are associated with the following phase
of the project:
A. conceptual
B. execution
C. cut-over
D. post project evaluation
E. A and D only
ANS: A
22. The most common types of schedules are Gantt charts, milestone charts, line of balance,
and:
A. Networks.
B. Time phased events.
C. Calendar integrated activities.
D. A and C only.
E. B and C only.
ANS: A
23. Which of the following is often overlooked in achieving effective communication?

A. speaking clearly
B. listening
C. interpreting
D. maintaining eye contact
E. manipulating the conversation
ANS: B
24. Which type of contract requires that the buyer keep the tightest labor/material cost control?
A. Cost Plus Incentive Fee
B. Cost Plus Percentage of Costs
C. Cost Plus Fixed Fee
D. Firm Fixed Price
E. Firm Fixed Price Plus Incentive
ANS: B
25. A task-oriented family tree of activities is a:

A. Detailed plan.
B. Linear responsibility chart.
C. Work breakdown structure.
D. Cost account coding system.
E. Work package description.
ANS: C
26. Adding 5 people to a 4 person team increases the communication channels by a factor of:
A. 2 times
B. 3 times
C. 4 times
D. 5 times
E. 6 times
ANS: E
27. Cost management includes:

A. Cost estimating/forecasting.
B. Cost budgeting/cost control.
C. Cost applications.
E. A and B only.
ANS: D
28. Participative Management:

A. involves the solicitation of information from all team members.
B. assumes that members avoid work and responsibility.
C. suggests the sharing of power and decision making.
D. employs a Theory X style of leadership.
E. A and C
ANS: E
29. The auditing function that provides feedback about the quality of output is referred to as:
A. quality control.
B. quality planning.
C. quality assurance.
D. quality improvement
ANS: C
30. The lowest dollar amount 'at stake' is associated with the following phase of the project:
A. conceptual
B. execution
C. cut-over
D. post project evaluation
E. A and D only
ANS: A
31. The major disadvantage of a bar chart is:

A. Lack of time-phasing.
B. Cannot be related to calendar dates.
C. does not show activity interrelationships.
D. Cannot be related to manpower planning.
E. Cannot be related to cost estimates.
ANS: C
32. Which contract type consists of - target costs & profit, ceiling prices and shared ratio of
risk?
A. Cost Plus Incentive Fee
B. Cost Plus Percentage of Costs
C. Cost Plus Fixed Fee
D. Firm Fixed Price
E. Firm Fixed Price Plus Incentive
ANS: E
33. Methods and techniques used to examine cost and technical data are called feasibility
studies. The economic aspects of a feasibility study
include interest rates, present worth factors, operating costs, depreciation and _____.
A. Capitalization costs.
B. Technical skill requirements.
C. Technology forecasting.
D. Strategic marketing intelligence.
ANS: A
34. Standard of purchased material:

A. Simplifies inventory control
B. reduces the risk of obsolescence
C. reduces cost of purchasing and storage
E. A and C only.
ANS: E
35. The "control points" in the work breakdown structure used for isolated assignments to work
centers are referred to as:
A. Work packages.
B. Subtasks.
C. Tasks.
D. Code of accounts.
E. Integration points.
ANS: C
36. The utility of network-based schedules:

A. Reveals interdependencies.
B. Facilitates "what if" exercises.
C. Highlights critical activities.
D. Provides information on resource requirements, time requirements and tradeoffs.
ANS: E
37. The way a project manager sends and receives information depends upon:
A. How others relate to the project manager
B. The project manager's level in the organizational hierarchy
C. the size and nature of the project
D. the project manager's salary and age
E. the number of projects going on at one time in the company
ANS: A
38. Uncertainty refers to a situation where:

A. the outcomes are known but their probabilities are high
B. the outcomes and their probabilities are known
C. neither the outcomes nor their probabilities are known
D. states of nature can change at any time
E. probabilities of various states of nature can change at any time
ANS: C
39. Which of the following is closet to Deming's definition of Quality:

B. fitness for use.
C. continuous improvement of products and services.
D. customer focus.
ANS: C
40. It is useful to conduct project risk assessment according to the project's

A. charter
B. statement of work
C. Work Breakdown structure
D. network
E. budget
ANS: C
41. Management decision-making includes:

A. Analysis of alternatives.
B. Revisions/replanning.
C. Resource allocation.
D. Modification or updating of goals and objectives.
ANS: E
42. The basic terminology for networks includes:
A. Activities, events, manpower, skill levels and slack.
B. Activities, documentation, events, manpower and skill levels.
C. Slack, activities, events, and time estimates.
D. Time estimates, slack, sponsorship involvement, and activities.
E. Time estimates, slack time, report writing, life cycle phases, and crashing times.
ANS: C
43. The project manager must receive reports and briefings from engineers, contracting officers,
procurement personnel and marketing people.
The project manager's communication dilemma is one of:
A. encoding
B. decoding
C. choice of a medium
D. one-way communication
ANS: E
44. The technique most commonly used to determine the profitability of a project includes
_____ methods.
A. Net present value (NPV).
B. Return on investment (ROI).
C. Discounted cash flow (DCF)
D. Payout time and risk sensitivity analysis.
ANS: E
45. Which of the following are part of the purchasing cycle:

A. define need
B. prepare and issue purchase order
C. inspect incoming goods
E. A and B only
ANS: E
46. Which of the following is closest to Juran's definition of Quality:

B. fitness for use.
C. continuous improvement.
D. customer focus.
ANS: B
47. A project element which lies between two events is called:

A. An activity.
B. A critical path method.
C. A slack milestone.
D. A timing slot.
E. A calendar completion point.
ANS: A
48. Employee unions would most likely satisfy which level in Maslow's hierarchy of needs?
A. Belonging
B. Self-actualization
C. Esteem
D. Safety
E. Empowerment
ANS: A
49. Management calls a meeting to explain to all employees the new benefits package for the
rank and file. This is an example of:
A. Upward communication
B. Downward communication
C. One-way communication
D. Two-way communication
E. None of the above.
ANS: C
50. Project management/project planning is most closely aligned with:

A. Long range/strategic planning (5 years or more).
B. Intermediate range planning (1 to 5 years)
C. Short range/tactical planning (1 year or less).
E. B and C.
ANS: E
51. The profitability and technical data studies are provided in report format to owners and
funders for acceptance. This type of report, used to
solicit funding, is referred to as a(n) _____.
A. Project feasibility study.
B. Economic evaluation analysis.
C. Risk management manual.
D. Prospectus.
ANS: D
52. Which of the following constitute Juran's "quality trilogy":

A. planning, inspection, control.
B. planning, improvement, control.
C. planning, organization, control.
D. product, price, customer.
E. design, build, deliver.
ANS: B
53. Which of the following is most closely associated with business risk:
A. profit and loss
B. personnel turnover
C. workmen's compensation
D. liability insurance
ANS: A
54. Which of the following types of contracts is equivalent to a cost plus contract:
A. Fixed firm price
B. Cost reimbursable
C. Fixed price plus incentive fee
D. progress payments
ANS: B
55. A project manager recently rewarded an individual with a promotion that carried with it a
very small salary increase but substantially more
responsibility. The project manager appears to be appealing to the employee's _____ need.
A. Monetary
B. Physiological
C. Esteem
D. Self-actualization
E. Team-building
ANS: C
56. Most project (and non-project) managers prefer _____ communications.

A. Oral
B. Written
C. Upward
D. Downward
E. Lateral
ANS: A
57. On a precedence diagram, the arrow between two boxes is called:

A. An activity.
B. A constraint.
C. An event.
D. The critical path.
E. None of above.
ANS: B
58. Quality control charts show a characteristic of the product or service against:
A. the specification limits.
B. customer requirements.
C. control limits based on three standard deviations in each direction.
D. control limits based on six standard deviations in each direction.
E. A and D only
ANS: C
59. The identification, definition, and selection of the project objectives as well as the best
approach to achieving the project objectives are
indentified in the _____ phase of the project but first documented in the project _____.
A. Conceptual, charter/baseline.
B. Conceptual, master schedule.
C. Development, charter/baseline.
D. Development, master schedule.
E. Development, masterplan.
ANS: A
60. The work breakdown structure, the work packages, and the company's accounting system
are tied together through the:
A. Code of accounts.
B. Overhead rates.
C. Budgeting system.
D. Capital budgeting process.
ANS: A
61. Which of the following is an element of procurement management:

A. inspection
B. purchasing
C. estimating
D. expediting
E. A, B and D only
ANS: E
62. Which of the following is most closely associated with pure risk:
A. profit and loss
B. personnel turnover
C. insurance
D. market fluctuations
E. A and D only
ANS: C
63. Assignable cause or special variation is:

A. is indicated when a point falls outside the control limits.
B. is indicated when a point falls outside the specification limits.
C. is indicated when a run of seven or more points fall above the center line of a standard
control chart.
D. is indicated when a run of seven or more points fall below the center line of a standard
control chart.
E. A, C, and D.
ANS: E
64. In the arrow diagramming method (ADM), _____ do not consume time or resources.
A. Events.
B. Activities
C. Slack elements.
D. B and C only.
ANS: A
65. Management reserve is generally intended to be used to:

A. implement additional unbudgeted scope
B. compensate for inaccurate estimates
C. cover major unforeseen catastrophes
D. cover unforeseen problems in the project
ANS: D
66. Project management has been proven to be successful because employees get to see the
entire effort, from beginning to end, rather than just
small pieces. This could be considered an example of:
A. Behavioral modification
B. Linking performance to pay
C. Positive job reinforcement
D. Job enrichment
E. All of the above
ANS: D
67. Project managers that are available to answer questions, provide guidance when need, and
generally do not interfere with day-to-day activities
have a(n) ______ managerial style.
A. Autocratic
B. Conciliatory
C. Ethical
D. Facilitative
E. Judicial
ANS: D
68. The scope baseline once established and approved, is used:

A. as the basis for making future decisions.
B. to accomplish verification measures.
C. to evaluate potential changes.
E. A and C only.
ANS: D
69. The three most common types of project cost estimates are:
A. Order of magnitude, parametric, and budget.
B. Parametric, definitive and top down.
C. Order of magnitude, definitive and bottom up.
D. Order of magnitude, budget and definitive.
E. Analogy, parametric and top down.
ANS: D
70. To calculate the expected value of an outcome:

A. divide the value of each outcome by its probability, then add the results.
B. divide the value of the desired outcome by the value all possible outcomes
C. multiply the value of each outcome by its probability, then add the results
D. use linear regression to assess the expected value of the outcome
E. B and D only
ANS: C
71. Activities with zero time duration are referred to as:

A. Critical path activites.
B. Noncritical path activities.
C. Slack time activities.
D. Dummies
E. None of above.
ANS: D
72. For a given characteristic in a construction process, the standard deviation associated with
production variation is 0.8", and the standard
deviation associated with measurement variation is 0.6". The total standard deviation for this
characteristic is:
A. 1.4"
B. 1.2".
C. 1.0"
D. 0.8"
E. 0.2"
ANS: C
73. Project cash reserves are often used for adjustment in escalation factors which may be
beyond the control of the project manager. Other than
possibly financing (interest) costs and taxes, the three most common escalation factors involve
changes in:
A. Overhead rates, labor rates and material costs.
B. Overhead rates, schedule slippages, and rework.
C. Rework, cost-of-living adjustments, and overtime.
D. Material costs, shipping cost, and scope changes.
E. Labor rates, material costs, and cost reporting.
ANS: A
74. Selective perception is _____ of new conflicting information that may result, in a
breakdown in communication.
A. Encoding
B. Blocking out
C. Transmission
D. Acceptance
E. Decoding
ANS: B
75. The work breakdown structure (WBS) is an excellent tool for objective control and
evaluation. Which of the following is generally NOT
validated through the WBS?
A. Time, schedule and cost.
B. Management coordination and organization structuring.
C. Work methods and accountability.
D. Quality of work.
E. Risk and impact decision-making.
ANS: D
76. When working in an environment that uses learning curves, the most effective plan for
creating the perception that pay is related to
performance is to provide the team members with an individual salary plus bonus based upon
A. Individual productivity
B. Cost effectiveness
C. Group or team productivity
D. Rating system developed by the project manager
E. All of the above
ANS: A
77. Which of the following is not part of the acquisition process:
A. source selection
B. invitation to bid
C. contract award
D. notice to proceed
E. All of the above are parts of the acquisition process.
ANS: D
78. An individual who is working on the satisfaction of physiological needs has essentially
satisfied which needs?
A. Safety
B. Empowerment/authority
C. Esteem
D. Self-actualization
ANS: E
79. In the PDM, common constraints include:

A. Start-to-start
B. Finish-to-start
C. Finish-to-finish
D. B and C only
E. A, B, and C.
ANS: E
80. Scope reporting is the timely determination, _____, and _____ of project progress, status
data, and transforming this into structured
documentation (reports) necessary to judge project performance (reporting on work packages).
A. Recording, accumulation.
B. Recording, graphical display.
C. Accumulation, graphical display.
D. Graphical display, interpretation.
81. There are two major types of reserves used on projects. The _____ is for (usually major)
scope changes that were not considered as part of
the original plan, whereas the _____ is to compensate for minor changes in estimating,
escalation factors.
A. Management reserve, unplanned allowance fund.
B. Management reserve, contingency.
C. Contingency fund, management reserve.
D. Unplanned allowance fund, budgetary reserve.
E. Unplanned reserve, planned reserve.
ANS: C
82. To determine what causes the majority of quality problems in a process, a very useful tool is
the:
A. cause and effect diagrams.
B. flow chart.
C. control chart.
D. pareto chart.
E. trend chart.
ANS: D
83. Which of the following is not part of contract administration

A. contract award
B. performance control
C. financial control
D. contract closeout
E. All of the above are parts of contract administration.
ANS: A
84. A(n) _____ system is designed to ensure the timely availability of nonhuman resources, and
includes the cost in procurement, shipping/freight,
storage and loss.
A. Inventory control.
B. Materials management.
C. Procurement.
E. A and C only.
ANS: B
85. Expectancy theory as applied to project management implies that:

A. The team will work the hardest on those goals that are clearly explained by the project
manager
B. The more rewards that the project manager provides, the better the performance of the team
C. Team members will work hardest for those project goals that also bring satisfaction to
personal goals
D. Employees will work hardest for those project goals which are accompanied by high levels
of authority for the individual team members
ANS: C
86. Non-verbal communication includes:

A. Body movement
B. Gestures
C. Facial expressions
D. The way we move our hands
E. All of the above
ANS: E
87. The formal invitation to submit a price for specified goods/services is usually referred to as:
A. request for proposal
B. request for quotation
C. tender invitation
D. bid invitation
E. A and B only
ANS: B
88. The project scope/charter baseline includes:

A. Summary of background conditions defining the project.
B. Organization, authority and responsibility relationships.
C. Functions to be performed.
D. Resource requirement schedule including time estimates.
ANS: E
89. Which of the following is not an input to quality planning?

A. scope statement.
B. regulations.
C. work results.
D. standards.
E. quality policy.
ANS: C
90. Which of the following networking methods allows us to show that the last 10% of one
element cannot be completed until 62% of a previous
element has been completed?
A. PERT
B. ADM
C. PDM
E. A and C only.
ANS: C
91. Which of the following utility functions reflects risk-aversion:

A. uniform
B. increasing
C. decreasing
D. exponential
E. B and D only
ANS: C
92. A deficiency in characteristics that render the quality of the material/service unacceptable is
usually referred to as:
A. defective
B. defect
C. non-conformance
D. poor workmanship
E. lack of fitness for use
ANS: C
93. A line manager possesses information which the project team needs, but withholds the
information. The results in a(n):
A. Blindspot
B. Facade
C. region of influence
D. Communication power base
ANS: B
94. A project can best be defined as:

A. Series of non-related activities designed to accomplish single and multiple objectives.
B. Coordinated effort of related activities designed to accomplish a goal without a well-
established end point.
C. Cradle-to-grave activities which must be accomplished in less than one year and consumes
human and non-human resources.
D. Any undertaking with a definable time frame, well-defined objectives, and consumes both
human and non-human resources with certain
constraints.
ANS: D
95. Guidelines for estimating time durations include:

A. Assuming a normal level of labor and equipment.
B. Assuming a normal work week.
C. Using consistent time units
D. Using past actual durations as guides.
E. All or part of each of the above.
ANS: E
96. Herzberg identified factors which, if present, will lead to increased motivation. A typical
factor would be:
A. Good supervision
B. Job security
C. Regular promotions
D. Good salary
E. A dental plan
ANS: C
97. Statistical cost estimating techniques (based upon history), are called _____ estimates and
are a _____ approach.
A. Definitive, bottom up.
B. Analogy, top down.
C. Parametric, bottom up.
D. Parametric, top down.
E. Analogy, bottom up.
ANS: D
98. Which quality management tool would be used to determine potential causes of a
production problem?
A. control chart.
B. Ishikawa diagram.
C. scatter diagram.
D. histogram.
E. run chart.
ANS: B
99. Affinity diagrams are used to:

A. determine if a process is in control.
B. determine root cause.
C. show the relationship among variables.
D. categorize large amounts of data.
ANS: D
100. One of your project team members has made a technological breakthrough on an R & D
project. The result will be new business for the
company, as well as a company patent. The team member received a company bonus. The
motivational strategy used here is:
A. Job enrichment
B. Linking pay and performance
C. Behavior modification
D. Freedom in the work place
E. All of the above
ANS: B
101. Smoothing out resource requirements from period to period is called resource _____.
A. Allocation.
B. Partitioning
C. Leveling.
D. Quantification
E. None of above.
ANS: C
102. The most precise or accurate estimate for determining project costs is the _____ estimate.
A. Definitive.
B. Analogy
C. Budget
D. Modified standards.
E. Rule of thumb.
ANS: A
103. When subordinates know pertinent information that is not known by the project manager,
the result is:
A. Blindspot
B. Facade
C. region of influence
D. Communication power base
ANS: A
104. Which of the following scheduling methods uses more of the risk management concepts:
A. ADM
B. PDM
C. CPM
D. PERT
E. Gantt
ANS: D
105. Which of the following terms refers to the situation where the work is being used for the
purpose intended and so certified:
A. beneficial completion
B. substantial completion
C. project completion
D. contract closeout
E. final completion
ANS: B
106. A _____ estimate prepared from layouts, sketches and flowsheets, should be accurate
within (-10, +25%).
A. Parametric
B. Definitive.
C. Budget
D. Bottom up.
E. Top down.
ANS: C
107. Assigning resources in an attempt to find the shortest project schedule consistent with
fixed resource limits is called resource _____.
A. Allocation.
B. Partitioning
C. Leveling
D. Quantification.
E. None of above.
ANS: A
108. For communication to occur, there must be:

A. Two or more people involved
B. the transmittal of information
C. a communication process
D. All of the above
E. B and C only
ANS: D
109. The ability to get an individual or group to perform a given task is best described as:
A. Authority
B. Power
C. Influence
D. Leadership
E. Coerciveness
ANS: B
110. The comprehensive review of a contractor's technical performance, cost performance, and
delivery schedule, is referred to as:
A. post project evaluation
B. post contract evaluation
C. post mortem
D. procurement performance evaluation
E. contractor's performance evaluation
ANS: E
111. The financial closeout of a project dictates that:

A. All project funds have been spent.
B. No charge numbers have been overrun.
C. No follow-on work from this client is possible.
D. No further charges can be made against the project.
ANS: D
112. Two sources of variation in the length of hex bolts exist. Production variation and
measurement error. The QC manager knows that the
standard deviation from these sources is 0.24" and 0.43" , respectively. What is the total
standard deviation.
A. .10 inch.
B. .19 inch.
C. .34 inch.
D. .49 inch.
E. .67 inch.
ANS: D
113. Which of the following activities can be considered as part of risk mitigation
A. risk identification
B. purchasing insurance
C. assessment of outcomes
D. assessment of probabilities
E. C and D only
ANS: B
114. In general, attempts to smooth out period to period resources will _____ the scheduled
time and _____ project costs.
A. Increase, decrease.
B. Increase, increase
C. Increase, increase or decrease.
D. Decrease, decrease.
E. Decrease, increase.
ANS: B
115. Risk management methodology should be adhered to in:

A. construction projects
B. system projects
C. complex projects
D. large projects
ANS: E
116. The most common form of written project communication is

A. Publications
B. Bulletin boards
C. Reports
D. Letters and memos
E. All of the above
ANS: D
117. The most difficult decision for the executive sponsors to make at the end-of-phase review
meeting is:
A. Budget allocations for the next phase.
B. Authorizing scope changes for the next phase.
C. Authorizing budget increases for the next phase based upon scope changes.
D. Canceling the project.
ANS: D
118. The most expensive phase of life cycle costing is:

A. R & D.
B. Applied research.
C. Production
D. Operations and support.
E. Termination.
ANS: D
119. The rule of seven used by quality control engineers states that if a run of seven or more
samples lays on one side of the process mean, then
the process is out of control. What is the probability that this condition is the result of random
variations.
A. 0.143
B. 0.0312
C. 0.0273
D. 0.0156
E. 0.0078
ANS: D
120. The term that best describes the 'right' to manipulate or change others is called?
A. Authority
B. Power
C. Leadership
D. Coerciveness
E. Project charter
ANS: A
121. Which of the following is associated with a buyer's request for material to meet a
particular need:
A. material warranty
B. material guarantees
C. implied warranty of salability
D. implied warranty of fitness for a particular purpose
E. A and C only
ANS: D
122. A project manager trying to communicate accurately to the team should use:
A. the language of the team members
B. the language of the project manager
C. non-verbal methods
D. written memos
ANS: A
123. An advertiser who uses a movie or sports star to endorse a product is trying to use power.
A. Expert
B. Legitimate
C. Reward
D. Influential
E. Referent
ANS: E
124. Control chart theory is based on the differentiation of the causes of variations in quality.
Variations may be produced by assignable causes.
All of the following are examples of assignable causes except:
A. differences among machines.
B. differences among workers.
C. differences among materials.
D. differences in each of these factors over time.
E. None of the above (all are examples)
ANS: E
125. Giving a part of project work to a contractor is an example of:

A. risk mitigation
B. risk assignment
C. risk delegation
D. risk deflection
E. risk assumption
ANS: D
126. Proper implementation of project management will guarantee that:

A. Budgets will be met.
B. Schedules will be adhered to.
C. Quality/performance will be met.
D. The project will be a success.
ANS: E
127. The most effective means of determining the cost of a project is to price out the _____.
A. Work breakdown structure.
B. Linear responsibility chart.
C. Project charter.
D. Scope statement.
E. Management plan.
ANS: A
128. Which method shown below is acceptable for reducing cost or shortening the schedule?
A. "Crashing"
B. Changing scope.
C. Performing activities in parallel rather than in series.
E. A and C only.
ANS: D
129. Which of the following terms is used to describe the receipt issued by a carrier for items to
be delivered to a third party:
A. free on board
B. receipt for merchandise
C. packaging list
D. loading list
E. bill of lading
ANS: E
130. A computer tape which contains historical project information is called ____ tape.
A. Database
B. Baseline.
C. Archive.
D. Lessons learned.
E. Life cycle summary.
ANS: C
131. According to Herzberg, which of the following is a motivational factor?

A. Pay
B. Hygiene needs
C. Achievement
D. Working conditions
E. Vacation time
ANS: C
132. Communication in both project and non-project-driven organizations should occur in

directions.
A. one
B. two
C. three
D. four
E. five
ANS: E
133. During project execution, a line manager informs you that he will not have sufficient
resources available next month to support your and two
other projects. The best way to handle this problem would be to:
A. Ask the line manager to make the decision.
B. Ask the line manager to work with senior management to prioritize the work.
C. Ask your sponsor to meet with the line manager.
D. Ask the line manager to set up a meeting with you and the other project managers to work
out the problem yourselves.
E. Prepare a purchase order to outsource the work.
ANS: D
134. Japanese quality control has improved dramatically in the last 30 years for all of the
following reasons except:
A. the use of quality circles.
B. small, continuous improvements in quality control.
C. the use of worker suggestion systems.
D. the use of quality control charts.
E. focusing quality control efforts on production outputs.
ANS: E
135. Management reserves are normally defined as a % of the total budget. As a project
progresses, the project manager wants the $ value of
management reserve to _____, whereas the customer wants the management reserve to _____.
A. Increase, increase.
B. Increase, decrease.
C. Decrease, decrease.
D. Decrease, increase.
E. Remain the same, return to customer.
ANS: E
136. The utility of a risk seeker is:

A. negatively exponential
B. positively skewed
C. increasing
D. decreasing
E. symmetrical
ANS: C
137. Which of the following is equivalent to a lump sum contract:
A. fixed price contract
B. price fixing contract
C. purchase order
E. B and C only
ANS: A
138. Back charges refers to:

A. transferring charges from sub-contractors to the owner
B. adjusting payments to reflect late invoices consequence
C. the cost of corrective action taken by the owner and charged to the contractor for non-
conformance
D. gaining restitution from the owner for non payment
E. C and D only
ANS: C
139. Company expenses such as auditing costs, supervision, office supplies, building rent and
maintenance are elements of the:
A. Capital budgeting process.
B. Overhead rates.
C. Contracts and administration costing system.
D. Fringe benefits packages.
ANS: B
140. Job continuity would be an example of _____ in Maslow's hierarchy of needs.

A. Self-actualization
B. Esteem
C. Physiological
D. Belonging
E. Safety
ANS: E
141. Overlapping activities on a project, such as design and construction, is referred to as:
A. Fast tracking
B. Risk conversion.
C. Parallel management.
D. Process improvement.
E. Synchronous manufacturing
ANS: A
142. The major reason why a project manager would use written instead of oral communication
is:
A. documentation
B. feedback
C. cost
D. barrier elimination
ANS: A
143. The scope management provides:

A. A basis for future decisions about the project.
B. A baseline to accomplish verification measures.
C. A baseline to evaluate potential scope changes.
E. B and C only.
ANS: D
144. Total project risk can be defined as:

A. the sum of the probabilities of project risks events times the sum of consequences of those
risks
B. the sum of the products of each project risk event times its consequences
C. the sum of the consequences of all project risk events
D. the sum of the probabilities of all project risk events
E. 1 - the sum of the probabilities of all project risk events.
ANS: B
145. Which of the following statements about the cost of quality are true?
A. the cost of quality is the expense of nonconformance to requirements and specifications.
B. the cost of quality are mostly the direct responsibility of workers who are manufacturing the
product.
C. quality control programs should be implemented when the cost of quality are deemed
affordable by management.
D. A and B.
E. A and C
ANS: A
146. A line manager who is asked to wear two hats and function as a project manager at the
same time is likely to exercise:
A. Authority
B. Power
C. Influence
D. All of the above]
E. A and B only
ANS: D
147. Including the customer in the process of project planning is:
A. Slow and counterproductive.
B. Essential in the definition and documentation of project goals.
C. Necessary, but of limited value.
D. Unnecessary because project goals are defined in the proposal stage.
ANS: B
148. It is argumentative whether project managers actually control costs. Which of the
following is the most common element over which the
project manager may have some degree of control?
A. Direct labor dollars
B. Direct labor hours.
C. Overhead rates.
D. Procurement costs.
ANS: B
149. Most quality problems:

A. originate in the quality department where the ultimate responsibility for quality rests.
B. originate on the shop floor because of waste and product rework.
C. are the results of management inattention to potential quality improvement ideas.
D. could be eliminated if shop supervisors monitored their work more closely.
E. A and B
ANS: C
150. The "buy or make" decision is usually made during the:

A. acquisition cycle
B. contract evaluation cycle
C. requirements cycle
D. pre-award cycle
E. at any time that is convenient for the project manager
ANS: C
151. The logical relationship that communicates a delay between the start/finish of one activity
and the start/finish of another activity is referred to
as:
A. Slack
B. Free float.
C. Restricted float.
D. Level float.
E. Lag
ANS: E
152. Which of the following actions is an example of risk response:
A. adjust project parameters (scope, time, quality ...)
B. reduce the probability of potential project risk events
C. reduce the consequences of potential project risk events
D. wait until a problem actually happens, then deal with it in the most effective and efficient
manner.
E. A, B and C only
ANS: E
153. A comparison of completion status to baseline is referred to as _____.

A. Earned value measurement.
B. Percent complete.
C. ACWP.
D. BCWS
E. None of above.
ANS: A
154. An example of coercive power would be:

A. Demotion
B. Reduction in wages
C. Disciplinary layoff
D. Reprimand
E. All of the above
ANS: E
155. Job descriptions are examples of ______communications.

A. upward
B. downward
C. horizontal
D. diagonal
ANS: E
156. Monte Carlo simulation:

A. Was originally developed by Dr. Carlo
B. Is a European technique for assessing project risks
C. assumes the future risk events will occur at random according to predetermined probability
distributions
D. is a technique to stimulate create risk event resolution
E. A, B and C only
ANS: C
157. The Pareto Principle is a technique used to determine which quality control problems in a
particular process should be corrected. Which of
the following statements best represents the philosophy employed by this principle?
A. In order to minimize financial losses from quality control problems, all problems which have
a measureable cost should be corrected
B. the majority of defects are caused by a small percentage of the identifiable problems.
Improvement efforts should be reserved for these vital
problems.
C. in order to achieve zero defects, all quality control problems, including those which do not
have a direct financial cost should be corrected.
D. generally, 80% of the quality control problems are justifiable for correction via cost-benefit
analysis. The remaining 20% are not financially
worthy of improvement efforts.
E. A and D
ANS: B
158. The WBS is:

A. An organization oriented family tree of the project.
B. A task oriented family tree of the project.
C. A cost centered structure of the project.
D. Only required on large complex projects where separately identifiable work packages are
difficult to construct.
ANS: B
159. Which of the following processes allow an unsuccessful bidder to seek remedy for contract
award to another bidder.
A. bid protest
B. bid review
C. award Protest
D. award review
E. any of the above processes can be used
ANS: A
160. A project team member submits a suggestion on how to improve the corporate
procurement process. This is an example of _____
communication
A. upward
B. downward
C. horizontal
D. diagonal
ANS: A
161. Financial compensation is the primary motivational tool for which of the following
management theories of programs.
A. Zero-defects program.
B. theory X management.
C. theory Y management.
D. Quality control circles.
E. A and C
ANS: B
162. In which of the following contract types is it easier to change the scope of the contract:
A. firm fixed price
B. fixed price plus incentive fee
C. cost plus percentage of cost
D. letter contract
ANS: C
163. Planning activities such that predetermined resource availability pools are not exceeded is
called:
A. Resource leveling.
B. Manpower leveling.
C. Resource limited planning.
D. Manpower planning.
E. Manpower contingency planning.
ANS: C
164. The project charter:

A. Expresses upper management commitment to the project.
B. Provides that authority by which the project will be run.
C. Establishes that organizational structure with the project.
D. Specifies overall objectives and timeframe of the project.
ANS: E
165. Which of the following areas are addressed in risk identification:

A. environmental
B. technical
C. legal
E. A and B only
ANS: D
166. Which of the following types of power comes through the organizational hierarchy
A. Coercive
B. Reward
C. Referent
D. Legitimate
E. Expert
ANS: D
167. A calendar that identifies when a project may be performed on an activity is called a:
A. Project calendar.
B. Resource calendar.
C. Milestone point.
D. Key point.
E. Work unit.
ANS: A
168. Charisma would be an example of _____ power.

A. Legitimate
B. Reward
C. Coercive
D. Expert
E. Referent
ANS: E
169. For every situation, several methods usually exist for effective communication to take
place. Which of the following is least likely to be used
for explaining to the team project planning guidelines?
A. project office memo
B. project office directive
C. project team meeting
D. formal report
E. counseling sessions
ANS: D
170. In the project environment, the individual ultimately responsible for quality control is:
A. The line workers who must strive "to do things right the first time" to avoid quality
problems.
B. the company's quality control manager who must work with the project members to ensure
the quality control program is effective.
C. The head of the production department who retains ultimate quality control responsibility for
all the company's projects.
D. The project manager who has ultimate responsibility for the entire project.
E. the customer who must ensure that he is receiving a quality product from the vendor.
ANS: D
171. In which of the following types of contracts is it most important for the contractor to
maintain control of cost, schedule and scope changes.
A. unit price
B. cost plus incentive fee
C. cost plus fixed fee
D. firm fixed price
E. B and D only
ANS: D
172. Middle (functional) managers have the greatest influence in the direction of the project in
which type of organizational structure?
A. Project.
B. Strong matrix.
C. Weak matrix.
D. Project coordinator.
E. Project expeditor.
ANS: C
173. Which of the following risks are generally considered unpredictable:

A. business risk
B. financial risk
C. inflation
D. natural hazards
E. taxes
ANS: C
174. A clear definition of the user's needs serves as the direct basis for the:
A. Work breakdown structure.
B. Functional requirements.
C. Project cost estimate.
D. Selection of personnel.
E. Termination decision.
ANS: B
175. R & D project managers in high-tech companies most often motivate using _____ power.
A. Expert
B. Reward
C. Referent
D. Identification
ANS: A
176. The major difference between PERT and CPM networks is:
A. PERT requires three time estimates whereas CPM requires one time estimate.
B. PERT is used for construction projects whereas CPM is used for R & D.
C. PERT addresses only time whereas CPM also includes cost and resource availability.
D. PERT requires computer solutions whereas CPM is a manual technique.
E. PERT is measured in days whereas CPM uses weeks or months.
ANS: A
177. The majority of product defects could be prevented in most processes if manufactures
would do the following:
A. Increase the use of acceptance control charts instead of standard three-sigma control charts.
B. Make a concerted effort to eliminate the potential for product defects in the design stage.
C. Create a quality control department.
D. A and B.
E. A and C
ANS: B
178. Which of the following diagrams is most useful in impact analysis:

A. arrow diagrams
B. precedence diagrams
C. decision trees
D. Pareto diagrams
E. cause and effects diagrams
ANS: C
179. Which of the following is least likely to be used in explaining to a team member why you
consider his/her performance substandard?
A. Project office memo
B. counseling session
C. project team meeting
D. formal letter
E. individual conversation
ANS: C
180. Which of the following types of contracts allows the owner to transfer risk to the
contractor:
A. cost plus incentive fee
B. cost sharing
C. firm fixed price
D. cost plus fixed fee
E. performance guarantees
ANS: C
181. A contractor estimates that a project has a 0.5 probability of 0,000 profit and 0.3
probability of ,000 loss. The expected monetary value
of this project is:
A. 200000
B. 150000
C. 85000
D. 50000
ANS: C
182. A project manager who allows the team to make the majority of the decisions is
demonstrating a(n) ____ leadership style.
A. Laissez-faire
B. Boss-centered
C. Subordinate centered
D. Autocratic
E. Demographic
ANS: C
183. Historical records during close-out are useful to _____ and _____ for future projects.
A. Predict trends, highlight problems.
B. Analyze successes, shortfalls.
C. Analyze strengths, document results.
D. Support litigation, defend claims.
E. Justify results, set standards.
ANS: A
184. In a fishbone diagram, the effect you are concerned about is placed:
A. at the right-hand end of the spine.
B. at the end of the diagonal line (i.e. "fin").
C. on a branch of a fin.
D. at the left-hand end of the spine.
ANS: A
185. Sound, prudent, but often unsophisticated judgement is called:

A. common sense
B. rational management
C. smoothing
D. confrontation
ANS: A
186. Which of the following types of specifications gives measurable capabilities of the
product:
A. functional specifications
B. performance specifications
C. conformance specifications
D. technical specifications
E. process capability specification
ANS: B
187. A graphical display of accumulated costs and labor hours for both budgeted and actual
costs, plotted against time, is called a(n) _____.
A. Trend line.
B. Trend analysis.
C. S curve.
D. Percent completion report.
E. Earned value report.
ANS: C
188. By using Project Risk Management techniques, project managers can develop strategies
that do all but which of the following:
A. Significantly reduce project risks
B. eliminate project risks
C. provide a rational basis for better decision making
D. identify risks, their impact(s), and any appropriate responses
ANS: B
189. In a flowchart, the diamond form is used to represent:

A. a starting point.
B. an operation.
C. a written report.
D. a decision point.
E. an end point.
ANS: D
190. In small companies, project managers and line managers are:

A. Never the same person
B. Always the same person
C. Sometimes the same person
D. Always in disagreement with each other
E. Forced to act as their own sponsors
ANS: C
191. Make or buy decisions are usually made during the _____ phase of a project.
A. Conceptual
B. Development.
C. Implementation
D. Execution
E. Close-out
ANS: B
192. Managers who adopt a sound, but prudent managerial style are called
A. authorization
B. conciliatory
C. ethical
D. judicial
E. promotional
ANS: D
193. The critical path in a network is the path that:

A. Has the greatest degree of risk.
B. Will elongate the project if the activities on this path take longer than anticipated.
C. Must be completed before all other paths.
E. A and B only.
ANS: B
194. There are four general classes of products that the purchasing department seeks to obtain
for production. Which is not one of these
categories:
A. Raw materials
B. Standard production items
C. Special items
D. Items of small value
E. Semi-precious materials
ANS: E
195. A good team leader must be concerned not only with _____ but also with _____ .
A. Long term goals; short term goals
B. Organizational goals; personal goals
C. Legitimate power; referent power
D. Group efficiency; power and authority
E. Tasks to be accomplished; needs of the team members
ANS: E
196. The project stakeholders should be actively involved with the _____ phase(s) of the life
cycle.
A. Conceptual
B. Development.
C. Execution
D. Finish
ANS: E
197. The starting point in the development of a top-down PERT/CPM chart is the _____ .
A. Project specification tree.
B. Customer's deliverable list.
C. Customer's milestone dates.
D. Work breakdown structure.
E. Listing of customer team meeting dates.
ANS: D
198. The use of quality circles:

A. has proven ineffective in both Japan and the U.S.
B. is particularly effective in overcoming labor/management conflicts.
C. provides a quick fix for most quality problems.
D. allows workers the opportunity to generate solutions for chronic quality problems.
E. A and B only
ANS: D
199. Which phase of the project life cycle typically has the highest uncertainty and risk
associated with it?
A. concept
B. development
C. execution
D. conclusion
ANS: A
200. Your sponsor announce to you and your team that his/her door is open to everyone wishing
to discuss project problems. Yet, the sponsor
seems to be annoyed whenever someone does stop by, even when discussing a serious
problems. This is an example of.
A. semantics
B. credibility
C. inconsistent signals
D. perceptual differences
E. misunderstood role
ANS: C
201. _____ is associated with a buyer's request for materials or equipment to meet a particular
need or accomplish a specific purpose.
A. Express warranty
B. Implied warranty of merchantability
C. Implied warranty of fitness for a particular purpose
D. Prescribed warranty
ANS: C
202. ADM is an activity-on-arrow method. In this method, a dummy activity:
A. Denotes a critical path relationship.
B. Denotes any dependency relationship.
C. Shows slack.
D. Identifies customer deliverables dates.
E. Identifies customer team meeting dates.
ANS: B
203. An informal communication network on a project and within an organization is called a(n):
A. free upward flow
B. free horizontal flow
C. unrestricted communication flow
D. grapevine
E. open network
ANS: D
204. By which process may an unsuccessful supplier seek remedy for unjust awards?
A. Contract dispute
B. Stop work order
C. Bid protest
D. Coffective action
ANS: C
205. Risk classified as unknown unknowns (i.e., those which cannot be identified or evaluated):
A. should be deflected to the contracting officer
B. should be handled via contingency allowances
C. should be ignored, since they cannot be identified
D. should be ignored, since they are not covered in the Project Risk Assessment
E. C and D
ANS: B
206. The "zero defect" concept was proposed by:

A. Deming
B. Juran
C. Crosby
D. Tagushi
E. A and D only
ANS: C
207. The major difference between project and line management is that the project manager
may not have any control over which basic
management function?
A. Decision-making
B. Staffing
C. Rewarding
D. Tracking/monitoring
E. Reviewing
ANS: B
208. Which of the following planning considerations is often overlooked?

A. Planning for project termination.
B. Qualified project manager assignment.
C. Insuring top management support.
D. Clearly defined tasks.
ANS: A
209. A recurring communication pattern within the project organization or company is called a:
A. free-form matrix
B. structured matrix
C. network
D. rigid channel
ANS: C
210. During a project review meeting, you discover that your 0,000 project has a negative
schedule variance of ,000 which equates to 12%
of the work scheduled to this point of time. You can therefore conclude that:
A. The project will be completed late.
B. The critical path has been lengthened.
C. the costs are being overrun.
D. Overtime will be required to maintain the original critical path.
ANS: E
211. Once the logic of a network is laid out, the project manager will conduct a forward pass
and backward pass through the network. This will
provide information on the _____ and identification of the _____ .
A. Slack for each activity, critical path.
B. Slack for each activity, high risk activities.
C. Manpower shortages, high risk activities.
D. High risk activities, non-critical paths.
E. Manpower availability, contingency plans.
ANS: A
212. Project managers need exceptionally good communication and negotiation skills primarily
because:
A. They may be leading a team over which they have no direct control
B. Procurement activities mandate this
C. They are expected to be technical experts
D. They must provide executive/customer/sponsor briefings
E. All of the above
ANS: A
213. Risk can be divided into two basic types; business risk and pure (or insurable risk). Of the
following, which one(s) fall(s) under business risk?
A. liability loss
B. direct property loss
C. profit loss
D. personnel-related loss
E. B and C
ANS: C
214. The purpose of project Risk Management is to:

A. Identify those factors that will adversely impact project objectives.
B. Assess the impact of adverse project factors.
C. Assess the probability of adverse project factors.
D. A and C
ANS: E
215. Which of the following factors has historically been the greatest contributor to project
failure?
A. Planning performed by a planning group.
B. Poor financial estimates.
C. Lack of sufficient management reserve.
D. Lack of management support.
E. Not using an automated tracking tool.
ANS: D
216. Which type of process involves the agency holding discussions with each of the offerors,
after receipt of their proposals, in the process of
arriving at an agreement prior to the award of a contract?
A. Sealed bidding
B. Competitive proposals
C. Noncompetitive proposals
D. Formal bid
E. Verbal bid
ANS: B
217. A non-critical path activity is completed in half the time. Then,

A. The critical path is also reduced.
B. The slack in the path containing this activity will increase.
C. The total cost for this activity has decreased.
D. Manpower from this activity can be assigned to other activities.
ANS: B
218. An element in the WBS was estimated to require 1 month for completion with 1000 hours
of labor and a burdened cost of K. The task was
completed in 1000 hours but a burdened cost of K. The most likely reason for the increase
would be:
A. Higher salaried employees were assigned.
B. Overtime was required.
C. The overhead rate increased.
D. Employee salaries had increased.
E. Any of the above
ANS: E
219. In the past, most project managers have come from _____ fields without proper _____
training or education in skills
A. Technical; accounting/finance
B. Technical; management
C. Technical; psychological
D. Marketing; technology-oriented
E. Business; manufacturing know-how
ANS: B
220. The Risk of NOT meeting project quality objectives:

A. can be minimized through continuous monitoring.
B. considered a long term risk.
C. will be reflected in the "in-service" life of the product or service.
D. B and C
ANS: E
221. The main player in project communication is the

A. sponsor
B. project manager
C. functional manager
D. functional team
ANS: B
222. The type of contract (payment mechanism) chosen for a project is often a reflection of the
degree of risk associated with completing that
project. For a firm fixed price contract, payment for risk _____ .
A. Is accomplished by paying the actual costs to the contractor.
B. Is accomplished by paying the contractor for his costs plus a fixed fee (profit).
C. Is an undisclosed contingency in the contractor's bid.
D. Is accomplished by paying for the budgeted costs of dealing with risks, as predicted in the
project risk assessment.
E. B and C
ANS: C
223. Which is not an element of procurement management?

A. Purchasing
B. Expenditure
C. Marketing
D. Inspection
E. B and D
ANS: C
224. Which percent of the total project labor hours are typically expended by the end of the
second phase of the project life cycle?
A. 0.05
B. 0.1
C. 0.15
D. 0.25
E. 0.5
ANS: D
225. Bar charts are most appropriate for:

A. Comparing actual to planned performance to each activity.
B. Showing slack time.
C. Showing critical path dependencies.
D. Showing which activities can be rearranged in parallel.
ANS: A
226. Formal authority is often referred to as legitimate power. Which two other forms of power
are also considered to be legitimate power?
A. Reward and penalty
B. Reward and referent
C. Referent and expert
D. Expert and reward
E. Penalty and referent
ANS: A
227. Power games, withholding information, and hidden agendas are examples of-.
A. noise
B. communication barriers
C. indirect communication
D. mixed messages
E. All of the above
ANS: B
228. Scope management is:

A. a project control function.
B. employs change control.
C. a work authorization process.
D. considers Cost, Quality and Schedule.
ANS: E
229. The most common method for pricing out non-burdened labor hours for a three year
project would be to:
A. Price out the hours at the actual salary of the people to be assigned.
B. Price out the work using a company-wide average labor rate.
C. Price out the work using a functional group average labor rate.
E. A and B only.
ANS: C
230. The principles of risk management should be followed only for:

A. complex projects
B. simple projects
C. large projects
D. A and C
ANS: E
231. Utility Theory:

A. considers the risk propensity of the decision makers.
B. is based on proven statistical methods.
C. deals with the usefulness of the end product.
D. is a key element of ISO 9000
E. B and C
ANS: A
232. Which is not part of the purchasing cycle?

A. Defined need
B. Transmit need
C. Inspection
D. Prepare and issue purchase order
E. A and D
ANS: C
233. A network has been developed with resources from six different departments. One of the
six departments has just informed you that they can
increase the number of employees from 5 to 8. This will result in:
A. A shortening of the critical path.
B. A shortening of the noncritical path.
C. A decrease in the total cost of the project.
D. An increase in the cost of the project.
E. A through D are possible based upon where the resources are deployed.
ANS: E
234. Conflict management requires problem-solving. Which of the following is often referred to
as a problem-solving technique and used
extensively in conflict resolution?
A. Confrontation
B. Compromise
C. Smoothing
D. Forcing
E. Withdrawal
ANS: A
235. Cost Reimbursable contracts are equivalent to:

A. Cost plus contracts
B. Fixed plus contracts
C. Progress payment contracts
D. Back charge contracts
ANS: A
236. In project-driven companies, costs are usually billed againest the project based upon:
A. The burdened labor rate of the actual employees who performed the work.
B. The burdened labor rate of the line organization average salary.
C. The burdened labor rate of the company average salary.
D. The burdened labor rate of the average salary of the project team members.
ANS: A
237. Project Risk Management is based on which of the following premises:

A. the future is unknown.
B. unknowns can result in risks or opportunities.
C. we cannot control risk events.
D. project risk impact can be measured and controlled
ANS: E
238. The project manager that allows and supports group discussions and decision making is
called a(n) _____ manager.
A. autocratic
B. consultant autocratic
C. consensus
D. shareholder
ANS: C
239. What is the purpose of the Project Plan?

A. To document the Preliminary estimates.
B. To document the Definitive estimates.
C. To document the Budgetary estimates.
D. To document Parametric estimates.
E. To document Order of Magnitude estimates.
ANS: C
240. Management has decided to "crash" a project in order to avoid penalty payments for late
deliveries. To crash the project, either overtime or
additional resources should be assigned to:
A. All activities.
B. Only those activities with the longest time durations.
C. Those activities on the critical path begining with the longest time duration activities.
D. Those activities with the greatest degree of risk.
ANS: C
241. Of the following, who has the ultimate responsibility for meeting project quality
objectives?
A. Project Engineer
B. Project Manager
C. Functional Manager
D. Quality Assurance Manager
E. Project Owner
ANS: B
242. Risk mitigation involves all but which of the following:

A. developing system standards (policies, procedure, responsibility standards)
B. obtaining insurance against loss
C. identification of project risks
D. performing contingent planning
E. developing planning alternatives
ANS: C
243. The cost of corrective action taken by the purchaser and chargeable to the supplier under
the terms of the contract is:
A. Payment authorization
B. Bid cost considerations
C. Release payment
D. Back charge
ANS: D
244. The sequential steps that define the process for successfully completing a project is:
A. Implementation Plan
B. a life cycle
C. Development Plan
D. a critical path
E. Management Plan
ANS: B
245. Which of the following time robbers end up creating additional work for the project
manager and the project office?
A. Failure to delegate
B. Changes without notification or direction
C. Unreasonable time constraints
D. Over directing people
E. All of the above
ANS: E
246. You are giving your team instructions on how to perform a new test which is different
from the way that the team had performed it previously.
The best way to verify that the learn understands what you want is to:
A. obtain feedback
B. analyze the team's perceptions barriers
C. uses gestures in presenting the instructions
D. analyze the team's decoding skills
E. analyze the team's encoding skills
ANS: A
247. A common way by which executives provide the project manager with written authority is
through:
A. A common job description for all project managers
B. An appointment letter
C. A project charter
D. All of the above
E. B and C only
ANS: E
248. Surveys have shown that the primary skill needed to be a project manager is
communication skill. The typical project manager spends
approximately ______percent of his or her time communicating.
A. 40-50
B. 50-60
C. 60-75
D. 75-90
E. 90-95
ANS: D
249. The Work Breakdown Structure (WBS) is the basis for communicating:
A. Project scope, cost control, schedule, quality
B. Project objectives, dependencies, plan, cost control
C. Project scope, schedule, staffing, cost control
D. Project scope, quality, schedule, dependencies
E. Project budget, schedule, risk factors, work assignments.
ANS: A
250. The quality objectives are approved in the conceptual stage of the project by the:
A. Project Engineer
B. Project Manager
C. Functional Manager
D. Quality Assurance Manager
E. Project Owner
ANS: E
251. Total Project Risk:

A. should not be calculated for small projects
B. is the probability of each project risk event times the sum of the consequences of individual
project risk events which could occur during the
project.
C. Is the cumulative sum of the probability of each individual project risk event times the
consequences of occurrence of that risk event.
D. A and B
E. A and C
ANS: C
252. _____ is a narrative description of the work to be accomplished or resource to be supplied.

A. Purchase order
B. Level of effort work
C. Scope of work
D. Contract stipulation
ANS: C
253. A line manager provides you with three estimates for his activity in your PERT network.
His estimates are 2 weeks optimistically, 4 weeks
most likely, and 12 weeks pessimistically. The expected time which would appear on the chart
would be:
A. 4 weeks
B. 5 weeks
C. 6 weeks
D. 7 weeks
ANS: B
254. In Project Risk Management, Risk Response may include actions to:
A. reduce the probability of risk events
B. change the scope, budget, schedule or quality specifications of the project
C. reduce the consequences or severity of impacts of a potential risk event
D. A and C
ANS: E
255. Researching, organizing and recording pertinent information is called:

A. Alternative analysis
B. Information gathering
C. Configuration management
D. Post project analysis
E. All of the above
ANS: B
256. The budget associated with scope changes that have been approved but not planned for
yet, is referred to a(n) _____ budget.
A. Unauditable.
B. Undistributed.
C. Preauthorized.
D. Contingency.
E. In-process.
ANS: B
257. The project manager must be concerned with building a closely knit team. During the
project kickoff meeting, the project manager can get a
good start at team building by providing the team with:
A. Proposed salary increases if the project is successful
B. Bonuses for early completion date
C. A promise of future assignments
D. Well-defined project objectives
E. Linear responsibility charts
ANS: D
258. To determine whether or not the employee correctly understands the message, the project
manager needs to:
A. reduce the filtering
B. eliminate barriers
C. obtain feedback
D. use more than one medium
E. use all of the above.
ANS: C
259. What is the relative priority of project Cost, Schedule and Quality?
A. 1)Cost - 2)Schedule - 3)Quality
B. 1)Quality - 2)Schedule - 3)Cost
C. 1)Quality - 2)Cost - 3)Schedule
D. 1)Schedule - 2)Quality - 3)Cost
E. All are of equal priority
ANS: E
260. _____ is a method of procurement where a contract results from a bid which may be
changed through bargaining.
A. Acquisition
B. Contract negotiation
C. Procurement
D. Purchase negotiation
ANS: B
261. A proven effective means to insure quality conformance is to:

A. delegate accountability to subordinates
B. revise quality specifications to match quality measurements
C. train workers in proper quality methods
D. inspect quality into the product
E. make quality a higher priority than cost or schedule
ANS: C
262. Communication management is best described as conducting or supervising

A. the way we listen
B. the way we speak
C. the way we feel
D. the exchange of information
E. perfect documentation activities
ANS: D
263. Good project objectives must be:

A. General rather than specific
B. Established without considering resource bounds
C. Realistic and attainable
D. Overly complex
E. Measurable, intangible and verifiable
ANS: C
264. Increasing resources on the critical path activities may not always shorten the length of the
project because:
A. Certain activities are time-dependent rather than resource-dependent (i.e., using three ovens
rather than one to bake a cake).
B. Safety, OSHA and EPA may have placed restrictions on the number of people used on
certain activities or in the physical location of the
project.
C. The skill level of the added resources might not be appropriate for the activities to be
performed.
D. Adding more resources may create additional work and produce inefficiencies (i.e.,
additional people may need training and supervision.)
ANS: E
265. Universal characteristics of effective project managers include such skills as

communication, decision-making, planning, ability to identify
problems and:
A. Performing feasibility studies
B. Proposal preparation
C. being close to the customer
D. Maturity
E. None of the above are universal characteristics
ANS: E
266. Which of the following is not a measure of the profitability of a project or program?
A. Return on original investment.
B. Net present value.
C. Depreciation.
D. Discounted cash flow.
ANS: C
267. _____ is a formal invitation containing a scope of work which seeks a formal response
(proposal) describing both methodology and
compensation to form the basis of a contract.
A. Request for proposal
B. Invitation to bid
C. Request for quotation
D. Intention for bid
ANS: A
268. By which means is a contractor able to control cost overruns due to changing
requirements?
A. Project data review
B. Change order
C. Purchase order amendment
D. Change control
ANS: D
269. Douglas McGregor's Theory Y advocates that the average worker:

A. Dislikes work and avoids it whenever possible
B. Must be closely supervised and even threatened with punishment
C. Avoids increased responsibility
D. Wants self-respect
ANS: D
270. Feasibility studies occur in which life cycle phase (s)?

A. Conceptual
B. Conceptual or Development
C. Execution
D. Preliminary planning
E. any life cycle phase
ANS: A
271. Project managers must know:

A. What kind of message to send
B. to whom to send the message
C. how to translate the message into a language that everyone can understand
D. All of the above
E. A and B only
ANS: D
272. Quality attributes

A. are used to determine how effectively the organization accomplishes its goals
B. can be objective or subjective in nature
C. are specific quality characteristics for which a product is designed, built, and tested.
D. A and B.
E. B and C
ANS: E
273. Risk event probability is defined as:

A. the total number of possible events divided into the expectations or frequency of the risk
event
B. the number of times the risk event may occur
C. the fraction of the total project tasks which may be affected by the risk event
D. the total number of possible events divided into the consequences of the risk event.
E. A and B
ANS: A
274. Scheduling systems such as PERT, ADM, and PDM are project management tools to be
used by:
A. The project manager and project office personnel.
B. The project team and functional managers.
C. The project sponsor.
E. A and B only.
ANS: E
275. The planned cost for the total project at its inception is called the _____.
A. Cost of goods sold.
B. Depreciable value.
C. Budgeted cost.
E. B and C only.
ANS: C
276. A process characteristic has a true mean of 150 and a true standard deviation of 20. A
sample of 25 items is taken from this process. The
standard error of the estimate is:
A. 0.2
B. 0.8
C. 4
D. 5
E. 7.5
ANS: C
277. Network schedules are prepared during the _____ phase and updated during the _____
phase.
A. Conceptual, execution.
B. Development, implementation.
C. Development, close-out.
D. Implementation, close-out.
E. Planning, finishing.
ANS: B
278. Scope Management:

A. entails managing the project's work content.
B. is a subset of configuration management and as such is performed by CM specialists.
C. is concerned with naming all activities performed, the end products which results and the
resources consumed.
D. is not a concern of the project manager.
ANS: C
279. The methods and techniques for determining the economic costs, the environmental
impact, the economic returns, and the probability for
success are called:
A. Feasibility studies.
B. Bills of materials.
C. Pert charts.
D. Managerial reserves.
ANS: A
280. The traditional organizational form has the disadvantage of:

A. Complex functional budgeting
B. Poorly established communication channels
C. No single focal point for clients/sponsors
D. Slow reaction capability
E. Inflexible use of manpower
ANS: C
280. The traditional organizational form has the disadvantage of:

A. Complex functional budgeting
B. Poorly established communication channels
C. No single focal point for clients/sponsors
D. Slow reaction capability
E. Inflexible use of manpower
ANS: C
281. Things that distort, distract, or muddle the communication process are called:
A. noise
B. selective filtering
C. selective perception
D. medium problems
ANS: A
282. Which is not a consideration in a make or buy decision?

A. Cost factors (least cost alternatives)
B. Competitors' method of sourcing
C. Existence of sufficient administration/technical personnel
D. Political and social factors
ANS: B
283. A Work Breakdown Structure:

A. assures all work is identified
B. subdivides the project into manageable segments
C. provides the project sponsor with a time-phase task summary
D. both A and B
ANS: D
284. A project manager can exchange information with the project team using which media?
A. tactile
B. audio
C. olfactory
D. visual
ANS: E
285. During project execution, the customer authorizes and funds a scope change which
requires a major change in the schedule. The baseline
schedule:
A. Now becomes the new schedule, including the changes, and the original baseline is
disregarded.
B. Is still the original baseline but annotated to reflect that a change has taken place.
C. Is amended to reflect the scope change, but the original baseline is still maintained for post-
project review.
D. Is meaningless since every schedule update changes the baseline (i.e., a rubber baseline.)
E. Is the same since baseline schedules cannot change once the development phase is
completed.
ANS: C
286. Sensitivity analysis can be used in risk analysis to:

A. Substitute for uncertainty analysis in risk quantification
B. estimate the level of risk aversion adopted by management
C. estimate the effect of change of one project variable on the overall project
D. A and B
ANS: C
287. The Pareto Principle is a technique used by quality managers to determine which quality
control problems of a particular service or
manufacturing process should be corrected. Which of the following statements represents the
philosophy of the principle?
A. In order to minimize financial losses from quality control problems, all problems which have
a measurable cost associated with them should be
corrected.
B. the majority of defects are caused by a small percentage of the identifiable problems.
Improvements efforts should be reserved for these vital
few problems.
C. in order to achieve zero defects, all quality control problems, including those which do not
have a direct financial cost should be corrected.
D. generally, 80 % of the quality control problems are justifiable for correction via cost-benefit
analysis. The remaining 20% are not financially
worthy of improvement efforts.
E. A and D
ANS: B
288. The budgeted cost of the work performed (BCWP) for a task that has just been completed
can be calculated by:
A. Multiplying the actual hours worked on the project by the budgeted labor rate.
B. Multiplying the budgeted hours to complete the task by the budgeted labor rate.
C. Dividing the actual hours required to complete the task by the budgeted labor rate.
D. Cannot be determined.
ANS: B
289. The project manager has, as a prime responsibility, to assure proper integration of
activities. In which organizational form does the project
manager probably have the easiest time in integrating work?
A. Matrix
B. Classical
C. Expediter
D. Coordinator
E. Pure project
ANS: E
290. There are four methods of government procurement. Which is not one of these methods?
A. Assistance
B. Sealed bidding
C. Competitive proposals
D. Acquisition
E. Small purchases
ANS: D
291. A scientist is informing techs. about a new product which is starting and the type of work
that the lab techs. will be expected to do. The
barriers which could hinder the lab techs. ability to filter the information include all of the
following except:
A. language and semantics
B. culture and ethics
C. intelligence and knowledge base
D. reputation, authority, organizational status and position
E. relative location of the lab to the scientist's office
ANS: E
292. Many companies self insure against some risk. Problems which can arise from self-
insurance include:
A. failure to reserve funds to handle worst case scenarios (low probability events) resulting in
severe financial damage to the company
B. stiff competition from insurance companies
C. confusion of business risks with insurable risks.
D. A and C
ANS: D
293. Perhaps the biggest problem facing the project manager during integration activities within
a matrix structure is:
A. Coping with employees who report to multiple bosses
B. Too much sponsorship involvement
C. Unclear functional understanding of the technical requirements
D. Escalating project costs
E. All of the above
ANS: A
294. The Japanese Quality Control (QC) Circle movement motivated its participants in many
ways. Which of the following represents the most
important motivation for the QC circle participants?
A. improving the performance of the company
B. self-improvement
C. financial incentives
D. recognition among co-workers
E. strengthening of relationships between co-workers
ANS: A
295. The _____ specification delineates specific measurable capabilities or parameters for
which a product can be tested as part of the
acceptance procedure.
A. Performance
B. Functional
C. Technical
D. Base Line
ANS: A
296. The project life-cycle can be described as:

A. project concept, project planning, project execution, and project close-out.
B. project planning, work authorization, and project reporting.
C. project planning, project control, project definition, WBS development, and project
termination.
D. project concept, project execution, and project reporting.
ANS: A
297. The salvage value of an asset is:

A. The value of the scrap metal if a new asset were taken to a scrap yard.
B. The value that an asset has on the books after one year of depreciation.
C. The costs that have been sunk into the project to date.
D. The expected cash value at the end of an assets useful life.
E. A and D only.
ANS: D
298. Your team has prepared a CPM schedule for your review. You notice that one node has six
inputs (including two dummy activities) and four
outputs (which include one dummy activity). Select the correct statement from the following:
A. This is a valid representation if the logic is correct.
B. This is invalid because a node can have a maximum of one dummy input representation if
the logic is correct.
C. This is invalid because nodes cannot have both dummy inputs and dummy outputs.
D. This is a invalid because the number of outputs must equal the number of inputs.
E. This is invalid because a maximum of two inputs and two outputs are allowed using the
critical path method.
ANS: A
299. Assume that you have a network where an activity on the critical path can be crashed by
two weeks. If the activity is actually crashed by two
weeks, then:
A. The project's schedule will be reduced by 2 weeks.
B. The available slack on the noncritical paths will increase.
C. A new critical path may appear after the crash.
E. A and B only.
ANS: C
300. Documented work authorization provide:

A. a means of effective internal coordination of the project's activities.
B. an audit trail of all work authorized from project initiation to completion.
C. a means for communication of work activity between the project manager and the
performing activities.
D. All of the above
E. A and B only.
ANS: D
301. Fixed-price and incentive-type contracts place responsibility for performance and financial
risks associated with delay or non-performance on
the:
A. Buyer
B. Third party
C. Contractor
D. All of the above
ANS: C
302. In a contract, the point of total assumption refers to the point where:
A. The customer incurs the total financial responsibility for each additional dollar spent.
B. The contractor incurs the total financial responsiblity for each dollar spent.
C. The schedule and cost variance are zero.
D. The customer will incur no further costs for the work the contractor performs in the
completion of the contract.
E. B and D only.
ANS: E
303. In a matrix organizational form, MBO may be difficult to implement:

A. If the functional employees are supervised closely by the line manager rather than the project
manager
B. Unless the project manager has an input into the employee's performance review
C. Unless the project and line managers agree on the ultimate objective
D. Unless the project and line managers agree to the duration of the task
E. None of the above are correct answers
ANS: E
304. Quality assurance

A. refers to the prevention of product defects
B. is an auditing function that provides feedback to the project team and client about the quality
of output being produced.
C. is the technical process that include the construction of control charts which specify
acceptability limits for conforming output.
D. A and B.
E. B and C
ANS: B
305. Which of the following communication media is least accepted by organizations?

A. tactile
B. audio
C. extrasensory
D. visual
E. olfactory
ANS: C
306. Formal written communication is mandated for which of the following?

A. scope changes not part of the original project
B. taking exception to a specification
C. procurement of raw materials
E. A and B only
ANS: D
307. In performing an impact analysis, the most effective tool to ensure all risks are identified
on large projects is the:
A. Work breakdown structure
B. milestone review and schedule technique
C. cost/schedule control system
D. planning programming budget system
E. program and evaluation review technique
ANS: A
308. In the project environment, the individual ultimately responsible for quality control is:
A. The line workers who must strive "to do things right the first time" to avoid quality
problems.
B. the company's quality control manager who must work with the project members to ensure
the quality control program is effective.
C. The head of the production department who retains ultimate quality control responsibility for
all the company's projects.
D. The project manager who has ultimate responsibility for the entire project.
E. the customer who must ensure that he is receiving a quality product from the vendor.
ANS: D
309. In which organizational form do project managers usually get to know the employees well
enough to provide an input into their performance
review?
A. Expediter
B. Coordinator
C. Pure project
D. Matrix
E. Line-staff
ANS: C
310. The critical path in a schedule network is the path that:

A. Takes the longest time to complete
B. Must be done before any other tasks
C. Allows some flexibility in scheduling a start time.
D. Is not affected by schedule slippage
ANS: A
311. The use of the project reports:

A. are not necessary on small projects
B. provides a means whereby various levels of authority can judge project performance
C. provides insight into project areas and the effectiveness of the control systems
D. All of the above
E. B and C
ANS: E
312. You must produce 27 widgets. You can only produce 9 widgets per production run. Each
production line setup costs 00. Each widget
consumes worth of material and worth of labor. What is the total fixed cost for producing the
widgets.
A. 3000
B. 27000
C. 27270
D. 1335
E. 1000
ANS: E
313. _____ is based on information gathered and analyzed about demand and supply. This
forecast provides a prediction of short and long term
prices and the underlying reasons for those trends.
A. Demand forecast
B. Price forecast
C. Supply forecast
D. Production forecast
ANS: B
314. A project is defined as:

A. a coordinated undertaking of interrelated activities directed toward a specific goal that has a
finite period of performance.
B. a large, complex undertaking with many objectives, multiple sources of funding, and a not
discernible end point.
C. an undertaking of interrelated activities directed toward a specific goal that can be
accomplished in less than one year.
D. a group of activities headed by a project manager who has cradle-to-grave cycle
responsibility for the end product.
ANS: A
315. An acceptance control chart has limits that are based on the spec. limits for the product
rather than limits which differentiate between random
and assignable causes. Under which of the following circumstances should a QC manager
consider this type chart
A. When the engineering tolerance on a dimension greatly exceeds the natural dispersion of the
manufacturing process
B. When the number of samples outside the current control chart limits become too costly and
cumbersome to investigate.
C. When a process is subject to constant but stable tool wear.
D. A and B.
E. A and C
ANS: E
316. Budgeted contingencies can be detemined by:

A. past experience
B. applying standard allowances
C. detemining the sum total of the most probable variances of the various risk items properly
identified.
ANS: D
317. It is a generally acceptable practice that if one of your clients makes an informal request of
you, then you should respond:
A. formally in writing
B. with a memo
C. informally
D. nonverbally
E. All of the above
ANS: C
318. Ouchi's Theory Z relates more to _____ whereas Theory X / Theory Y relates to _____ .
A. Project managers; team members
B. Company management philosophy in treating employees; the average worker
C. Project sponsors; project managers
D. The functional team; project sponsors
E. Recruitment policy; wage and salary administration
ANS: B
319. The first step in building a PERT/CPM network is to:

A. Create a flow chart
B. Determine the critical path
C. Show task relationships
D. Create a work breakdown structure
ANS: D
320. Which is not one of the five classifications of work found in a purchasing operafion?
A. Management
B. Buying
C. Follow-up and expediting
D. Marketing
E. Clerical
ANS: D
321. You must produce 27 widgets. You can only produce 9 widgets per production run. Each
production line setup costs 00. Each widget
consumes worth of material and worth of labor. What is total variable cost for producing one
widget.
A. 1020
B. 1010
C. 1015
D. 20
ANS: E
322. Creation of project objectives:

A. allows for data collection and analysis and progress reporting against which standards of
performance can be measured.
B. is accomplished by selection of measurable variables against which performance can be
judged.
C. is required before funding of the project by the project sponsor.
D. all of the above.
E. A and B only
ANS: E
323. During which phase of the project life cycle is the amount at stake lowest?
A. concept
B. development
C. execution
D. conclusion
E. C and D
ANS: A
324. Techniques that can improve communication include:

A. establishing a single, one-way communications channel
B. avoiding face-to-face communication
C. using redundancy (i.e. saying it two different ways) whenever possible
D. disregarding the sensitivity of your receiver
ANS: C
325. The Delphi Method is well-suited for:

A. Decision-making
B. Forecasting
C. Overhead rate estimating
D. All of the above
E. A and B only
ANS: E
326. The zero defects concept

A. is a performance standard for management
B. is a motivational technique that promotes "doing it right the first time".
C. is used by management to communicate to all employees that everyone should do things
right the first time.
D. A and C.
E. B and C
ANS: D
327. What tool have project managers come to use to identify all of the costs associated with a
project.
A. A bill of materials
B. A Gantt chart
C. An arrow diagram network.
D. A work breakdown structure.
E. B and C only.
ANS: D
328. _____ is a receipt issued by a carrier for merchandise to be delivered to a party at some
destination.
A. Proforma invoice
B. Inspection certificate
C. Packing list
D. Bill of lading
ANS: D
329. A program is characterized as:

A. a grouping or related tasks lasting one year or less.
B. a unique undertaking having a definite time period.
C. a grouping of similar projects having no definite end that supports the product(s) from cradle
to grave.
D. a project with a cost over million.
ANS: C
330. Contingency planning should include all but which of the following?
A. The development of a contingency allowance determined by combining (layering) various
estimate segments to form larger estimate segments.
B. the development of schedule alternatives and work-around
C. the management of a contingency budget
D. an assessment of project shut-down liabilities.
E. A and C
ANS: A
331. From an operating or functional perspective, there are various objectives of purchasing and
materials management. Which is not one of these
objectives?
A. To buy competitively
B. To support company operations with an uninterrupted flow of materials and services
C. To develop reliable and effective sources of supply
D. To achieve maximum integration with the other departments of the firm
E. To attain approval from each department of every purchase
ANS: E
332. In order to achieve long-term quality improvements, management must do the following:
A. Motivate the employees with seminars, contests, and institute programs such as "Quality
Improvement' day.
B. Create a quality control department and give the head of the department ultimate
responsibility for quality improvement.
C. Implement of a formal quality control program with worker and management involvement.
D. Establish financial incentive packages for worker.
E. A and D
ANS: C
333. Team members want to work for a project manager that can provide them with career path
planning. In which organizational form is career
path planning difficult for project employees?
A. Matrix
B. Pure project
C. Project coordinator
D. Project expediter
E. Classical/traditional
ANS: B
334. The swiftest and most effective communications take place among people with
A. common points of view
B. dissimilar interests
C. advanced degrees
D. the ability to reduce perception barriers
E. good encoding skills
ANS: A
335. Typically, during which phase in a project life cycle are most of the project expenses
incurred.
A. Concept phase
B. Development of design phase
C. Execution phase.
D. Termination phase.
ANS: C
336. Communication always makes use of.

A. symbols
B. words
C. language
D. gestures
ANS: E
337. Fixed-price contracts place more risk on the _____ .

A. owner
B. contractor
C. seller
D. B and C
ANS: D
338. The best way to insure quality conformance is to _____.

A. distribute the responsibility to subordinates.
B. maintain total control.
C. train each worker to implement the work.
D. inspect quality into the project.
ANS: C
339. The project charter is developed by:

A. senior management
B. the customer
C. the project manager
D. both A and C
ANS: D
340. When a project manager is running over the budgeted costs, the project manager can
typically _____ to attempt to get the project back on
budget.
A. Reduce features and/or functionality
B. Increase risk.
C. Incur a schedule slippage (to obtain more favorable pricing due to lengthened delivery times)
E. A and B only
ANS: D
341. Which of the following fall(s) under the responsibilities of a project manager?
A. Labor relations with project personnel
B. Affirmative action
C. Personnel training
D. Discrimination and equal employment opportunity
E. All of the above
ANS: E
342. A legally binding document offered unilaterally is a _____ .

A. purchase order
B. scope of work description
C. contract stipulation
D. level of effort proposal
E. request for proposal
ANS: A
343. A technical requirement has which of the following characteristics:

A. easy to understand
B. a communication tool between the user and the design team
C. written in non-technical language
D. developed in cooperation with the user
E. typically describe physical dimensions and performance requirements
ANS: E
344. If a project manager communicates a verbal message to a subordinate, and the subordinate
leaves without saying a word, the project
manager should assume:
A. the message was understood
B. the message was not understood
C. the subordinate discarded the information
D. the information was not appropriate
ANS: E
345. Inspection of a complex project according to specifications is accomplished by _____.

A. inspection by attributes.
B. cyclical inspection
C. quality conformance inspection
D. original inspection
ANS: C
346. The behavioral responsibilities of a project manager may also include dealing with:
A. The public
B. Regulatory personnel
C. The legal environment
D. Environmental issues
E. All of the above
ANS: E
347. The difference between the BCWS and the BCWP is referred to as the:
A. Schedule variance
B. Cost variance.
C. Estimate of completion
D. Actual cost of the work performed
ANS: A
348. "Paraphrasing" is most closely associated with which part of the communication process?
A. encoding
B. decoding
C. barriers
D. feedback
ANS: D
349. A Gantt chart is useful in determining:

A. the level of effort for a task
B. when a task starts and stops
C. how tasks are related to each other
D. who is assigned to do a task
ANS: B
350. A contract originated bilaterally may be developed by _____ .

A. quotation request from suppliers
B. proposal request
C. bid invitation release
D. B and C
ANS: E
351. In a matrix organizational form, which factor(s) make it difficult for a project manager to
provide a valid input into the employee's performance
review?
A. Not working directly with the assigned functional employees
B. Employees spend only a short amount of time assigned to the project
C. Not being knowledgeable enough to evaluate employees on technical judgment
D. All of the above
E. A and B only
ANS: D
352. Upon completion of 75% of the project, the original schedules and cost estimates that were
submitted at the inception of the project are
referred to as the:
A. Baseline costs
B. Budgeted costs.
C. Estimates upon completion costs
D. Scheduled costs
ANS: A
353. Which of the following is not a definition to determine a product's ability to operate as
intended?
A. distance
B. performance
C. function
D. condition
E. All are definitions
ANS: E
354. A work breakdown structure is most useful for:

A. identifying individual tasks for a project
B. scheduling the start of tasks
C. developing a cost estimate
D. determining potential delays
E. A and C
ANS: E
355. Reaching an understanding of concessions is accomplished in the _____ stage of

negotiations.
A. protocol
B. probing
C. scratch bargaining
D. closure
E. agreement
ANS: D
356. The primary consideration of product management is to know the _____.

A. probability of product's performance with specified parameters
B. ability the product has to perform its intended function
C. ability of a product to be produced within existing parameters
D. functionality the product will provide over its useful life
E. All of the above
ANS: D
357. The reason that cost management is so difficult in project management is that:
A. Projects by definition and nature are non-recurring events and are therefore difficult to
predict.
B. There are no tools for identifying project tasks.
C. Project managers do not care about tracking costs, as only schedules are important to all
project managers.
D. A and B only
E. B and C only
ANS: A
358. Using visual aids during management/customer presentations will:

A. hold the interest of the audience
B. strengthen the learning process by adding a visual dimension to the auditory dimension
C. stay in view longer, thus bringing back listeners who may have strayed
E. A and B only
ANS: D
359. Which of the following organizational forms would be likely to have an individual with
the title of Vice President for Project Management?
A. Classical / traditional
B. Pure project
C. Matrix
D. Project coordinator
ANS: C
360. A contract is legally binding and must comprise all but one of the following:
A. legal capacity
B. mutual assent
C. approved negotiations
D. consideration
E. legality
ANS: C
361. History has shown that project managers can be trained in a combination of ways. Which
method is usually preferred by most companies?
A. Experiential learning, on-the-job
B. Formal education and special course (degreed programs)
C. Professional activities, seminars
D. Individual readings
ANS: A
362. The purpose of configuration management is to:

A. insure drawings are updated
B. control change throughout the project
C. control change during the production only
D. generate engineering change proposals
E. inform the project manager of changes
ANS: B
363. Three types of written media used in organizations are _____, _____, and ______.
A. manual, letters, guidelines
B. individually-oriented, legally-oriented, organizationally oriented
C. guidelines, forms, procedures
D. letters, guidelines, brochures
E. letters, contracts, policies.
ANS: D
364. Which of the following is considered a direct cost for producing a widget?
A. The cost of the materials used to produce a widget.
B. The labor costs of the workers who actually produced the widget.
C. The rent for the building in which the widget was manufactured
D. The salary of senior management and the project sponsor
E. A and B only
ANS: E
365. _____ best describes the goal of a project in its relationship with the customer, from initial
contact through delivery.
A. fitness for use
B. customer satisfaction
C. conformance to requirements
D. fitness for purpose
ANS: B
366. A communicator can present information using the following media except:
A. Visual
B. Audio
C. Tactile
D. Performal
E. Both A and B
ANS: D
367. Advantages of the functional (hierarchical) form of organization include _____ and
creation of technical competence.
A. Ease of horizontal coordination
B. Clearly defined authority
C. High information processing capability
D. Single voice to customers
E.
ANS: B
368. Quality and _____ are directly related.

A. productivity
B. cost overruns
C. scope control
D. Pareto diagram
ANS: A
369. Resource leveling will often affect the project by making it:
A. Shorter.
B. Longer
C. More responsive to customer needs.
D. A and C
E. B and C.
ANS: B
370. Selection criteria for project selection include:

A. cost versus benefit
B. risk
C. contribution towards organizational goals
D. rate of return
ANS: E
371. The Statement of Work (SOW) is developed during the _____ cycle.
A. Award
B. Solicitations
C. requirements
D. contractual
E. requisitions
ANS: C
372. Which of the following depreciation methods provides for accelerated depreciation of an
asset:
A. Double declining balance.
B. Straight line.
C. Exponential depreciation
D. Double sum of the years digits
E. Double increasing balance
ANS: A
373. A plan has budgeted three weeks of effort for consultants, but the job was done in only two
weeks. Calculate the variance:
A. 0.015
B. 0.33
C. 0.75
D. 0.67
ANS: B
374. A warranty may not be a remedy for products delivered unfit when _____ .
A. the PM has knowledge of the product, inspected it without relying on the seller's skill
B. the products delivered comply with the plans and specifications of the client
C. the plans and specifications produced by the seller match the completed product.
D. A and B
ANS: D
375. Graphical displays of accumulated cost and labor hours, plotted as a function of time, are
called:
A. Variance reports
B. S curves
C. Trend analysis
D. Earned value reporting
E. Baseline control
ANS: B
376. Quality control is normally performed by the _____ .

A. QA personnel
B. project team
C. operating personnel
D. project management
ANS: C
377. Situations calling for a matrix organization include outside pressure for dual focus, _____
and pressure for high information processing
capability.
A. Pressure for clear accountability
B. Pressure for reduced duplication of effort
C. Pressure for shared resources
D. Pressure for formalized communication
E.
ANS: C
378. The net present value of 0 one year from now at 10% is:
A. 100
B. 120
C. 121
D. 0 less taxes
E. 0 less taxes and interest
ANS: A
379. The receiver filters messages based on all but the following:
A. Language
B. Distance
C. Culture
D. Knowledge
E. Authority/Reputation
ANS: B
380. Going from Level 2 to Level 4 in the work breakdown structure will result in
A. Less estimating accuracy
B. Better control of the project
C. Lower status reporting costs
D. A greater likelihood that something will fall through the cracks
ANS: E
381. On November 1, 00 worth of work on task A was supposed to have been done (BCWS);
however, the BCWP was 0. Calculate the
schedule variance:
A. -100
B. 100
C. -150
D. 150
E. 0.85
ANS: C
382. The Quality Risk _____ .

A. is minimized through continuous monitoring.
B. is considered a long term risk.
C. will be reflected in the in-service life of the project result.
D. B and C
ANS: E
383. The act of conducting or supervising the exchange of information is:

A. Consulting
B. Project Management
C. Communications Management
D. Communications Enhancement
ANS: C
384. The core function of the project manager is

A. Systems design
B. Client interfacing
C. Quality assurance
D. integration
E.
ANS: D
385. The future value of an annual income flow of 00 for 2 years at 10% is:
A. 2200
B. 2280
C. 2300
D. 2310
ANS: D
386. The initial cost of a product and the product's operation and maintenance costs _____ .
A. increases perceived value when balanced.
B. are incidental to each other because initial costs are "sunk"
C. decreases design costs as operation periods increase
D. provides perceived function value and product social dysfunction
E. are integrally related with each other because initial costs are "sunk".
ANS: A
387. All of the following may hinder a person's ability to transmit/receive a message except:
A. Unfamiliarity with topic
B. Withholding information
C. Assuming
D. Noise
E. Preoccupation
ANS: A
388. Quality Improvement Programs are normally associated with which two of the following?
A. Juran and Crosby
B. Juran and Deming
C. Crosby and Deming
D. Deming and the Japanese
E. Crosby and the Japanese
ANS: D
389. The Utility Theory _____ .

A. considers risk propensity of the decision maker.
B. attempts to formalize management's risk considerations.
C. works well with decision tree analysis.
D. is considered highly theoretical.
ANS: B
390. The document authorizing functional areas to charge against the project is the:
A. Work authorization form
B. Scope baseline
C. Project charter
D. Management plan
E. Linear responsibility chart
ANS: A
391. The purpose of a dummy activity in an activity-on-arrow diagram is to:

A. Identify a task that could be replaced by another.
B. Take the slack time into account.
C. Show a task that is not necessarily needed.
D. Denote a milestone.
E. Show a dependency relationship.
ANS: E
392. When planning, organizing, coordinating, and controlling a project an important human
resources skill or ability would be
A. Building multi-disciplinary teams
B. Managing conflict
C. Communicating orally and in writing with all levels of personnel
D. Involving senior management
E. All are important
ANS: E
393. Which is not a negotiation tactic?

A. Imposing deadlines
B. surprises
C. person with authority is absent
D. reasoning together
E. all are negotiations tactics
ANS: E
394. Which of the following is referred to as sunk cost:
A. management reserve
B. contingency fund
C. cost budgeted for construction under water
D. expended funds over which there is no further control
E. forecasted budget over-runs
ANS: D
395. A project manager believes that modifying the scope of the project may provide added
value for the customer. The project manager should:
A. Change the scope baseline
B. Prepare a variance report
C. Call a meeting of the configuration control board
D. Change the project's objectives
E. Postpone the modification until a separate enhancement project is funded after this project is
completed according to the original baseline
ANS: E
396. As a project is carried out and slack time is consumed on individual tasks, the slack left
over for the remaining tasks is:
A. Insignificant.
B. Reduced.
C. Unchanged.
D. Increased.
E. Doubled.
ANS: C
397. Group brainstorming encourages all of the following except:

A. Team building
B. Uninhibited verbalization
C. Decision making
D. Analysis of alternatives
E. Convergent thinking
ANS: E
398. Non-conformance penalties are a form of _____.

A. quality incentive
B. risk sharing
C. contract negotiations
D. quality assurance programs
ANS: C
399. Risk Event Status is defined as _____ .

A. Risk Probability x Amount At Stake.
B. the severity of the consequences.
C. how likely the event is to occur with risk.
D. (Cost + Benefit + Business Risk) / Insurable Risk.
E. B and C
ANS: A
400. There are hard causes of conflict (e.g. conflicting schedules) and soft causes. Soft causes
are as important as hard causes. Soft causes
include diversity of disciplinary expertise, _____, and the project manager's power of reward
and punishment.
A. Performance tradeoffs
B. Ambiguity of roles
C. Administrative procedures
D. Determining earned value
E.
ANS: B
401. Which of the following is referred to as payback period:

A. the number of periods required to recover the initial investment
B. the rate of return on the investment
C. the number of periods required to bring project cost back to the original budget, based on
current performance
D. loan payment schedule
ANS: A
402. Which one of the following is not an acquisition method?

A. advertising
B. invitation
C. negotiation
D. purchase
E. all are acquisition methods
ANS: A
403. At least _____of the cost of quality are the direct responsibility of management.
A. 0.25
B. 0.85
C. 0.5
D. 1
E. 0.33
ANS: B
404. Fast tracking means to:

A. Speed up a project through parallel tasks.
B. Swap one task for another.
C. Reduce the number of tasks if possible.
D. B and C.
ANS: A
405. Formal written correspondence is mandated in which of the following situations:

A. Product undergoes casual in-house testing
B. Client requests additional work not covered under contract
C. Project manager calls a meeting
D. B and C only
ANS: B
406. The Delphi Method is _____ .

A. used to derive a consensus arriving at a convergent solution
B. useful in determining probability relating to future events.
C. used with questionnaires based on established scenarios.
D. continued as an iterative process until a solution is reached.
ANS: E
407. The positive value of conflict is underestimated. Properly managed, conflict is a valuable
tool, particularly when
A. A diversion is needed
B. Conflictive situations are in their early stages and emotional involvement is low
C. Conflictive situations are in their late stages and emotional involvement is high
D. Conflict may cause a loss of status or position power
E.
ANS: B
408. Under the terms of 2/10 net 30, the buyer may:
A. deduct 10% of the invoice amount for payment within 30 days
B. deduct 2% of the invoice for payment within 10 days
C. incurs a penalty on 10% for payments more than 30 days late
D. settle the invoice with 2 equal payments; one within 10 days and the other within 30 days
ANS: B
409. Which of the following can result in misinterpretation of the statement of work?
A. Using imprecise language (i.e. nearly, approximately)
B. Mixing tasks, specifications, special instructions and approvals
C. No pattern, structure or chronological order
D. Wide variation in the size of tasks or details of work
E. All of the above
ANS: E
410. Amount at Stake is the _____ .

A. function of planned time/real time project costs.
B. risk identified in successful project completions.
C. (Standard Project Deviation + Expected Costs)/6
D. cost of investment loss + least cost to restore status quo.
E. inherent risk at conception altered by standard project deviations.
ANS: D
411. In communications management, to assimilate through the mind or senses (as in new
ideas) is the process of
A. Understanding
B. Communicating
C. Receiving
D. Decoding
E. Comprehending
ANS: C
412. In general, the best long-lasting approach to settling project conflict is the _____
approach .
A. Problem solving
B. Compromise
C. Withdrawal
D. Smoothing
E. Forcing
ANS: A
413. In which of the following cost estimating techniques are statistics models used:
A. nonparametric cost estimating
B. parametric cost estimating
C. life cycle cost estimating
D. bottom-up estimating
ANS: B
414. The _____ specification delineates specific end use capabilities which can be tested in the
acceptance procedure.
A. performance
B. functional
C. technical
D. base line
E. operational
ANS: B
415. The contractual statement of work (CSOW)

A. Must be the same as the proposal statement of work
B. Does not identify reporting requirements
C. Can be at a different level of detail (i.e. WBS level) than the proposal statement of work
D. Identifies the contractor's organizational structure for the project
E. All of the above
ANS: C
416. The key ingredient to a successful quality management program are _____.
A. management's quality philosophy, operational quality assurance and operational quality
control.
B. quality evaluation methods and functional quality integrators.
C. technical quality administration, the technical quality specifications, and the quality process
review.
D. quality evaluation methods, quality progress reviews and the technical quality specifications.
ANS: A
417. The key purpose of project control is to:

A. Plan ahead for uncertainties.
B. Generate status reports.
C. Keep the project on track.
D. Develop the project road map.
ANS: C
418. CIP embodies which of the following principals?

A. constancy of purpose
B. customer focus and involvement
C. total involvement
D. teamwork
ANS: E
419. Excessive flexibility in specifying requirements will _____ the likelihood of time
overruns.
A. Reduce.
B. Eliminate.
C. Double
D. Increase
E. Not affect
ANS: D
420. Listening involves more than hearing sounds. The good listener
A. Repeats some of the things said
B. Finishes the speaker's sentences
C. Writes everything down
D. Nods his head frequently
E.
ANS: A
421. Project life cycles provide a better means of measurement of progress and control. The
four phases of a project are conceptual development,
_____, _____, and _____.
A. Preliminary planning, detail planning, closeout
B. Implementation, reporting, termination
C. Development, implementation, termination
D. Execution, reporting, finishing
E. Implementation, termination, post-audit review
ANS: C
422. Response Planning is the responsibility of the functional areas and considers
A. mitigation.
B. deflection.
C. contingency planning.
D. unforeseen occurrences.
ANS: E
423. The definitive terms of a contract are written during which of the following contract
phases?
A. Contract Phase
B. Post-Award Phase
C. Award Phase
D. Pre-Award Phase
E. Requirement Phase
ANS: C
424. The sending or conveying of information from one place to another is the process of
A. Networking
B. Transmitting
C. Interacting
D. Promoting
E. Interfacing
ANS: B
425. Which of the following types of cost are relevant to making financial decisions:
A. sunk cost
B. opportunity cost
C. material cost
D. A and C only
E. B and C only
ANS: E
426. In preparing a good project definition, experienced project managers will:

A. Concentrate mainly on the end product rather than costs or benefits. These come later.
B. Realize that only the "tip of the iceberg" may be showing. As a project manager, you must
get beneath it.
C. Understand that a project definition/plan is a dynamic rather than static tool, and thus subject
to change.
D. Try to convert objectives into quantifiable terms.
E. All of the above
ANS: E
427. In which of the following is the cost of risk hidden by the contractor?
A. Firm Fixed Price Contract
B. Fixed Price Plus Incentive
C. Cost Plus Fixed Price
D. Cost Plus Percentage of Cost
E. A and B
ANS: D
428. Management of a certain building was receiving complaints about slow elevator service.
The solution adopted was to add mirrors in the
lobbies to reduce boredom while passengers waited. This is an example of _____ .
A. Kepner-Tregoe method
B. Potential problem analysis
C. Decision analysis
D. Creative problem solving
ANS: D
429. Pure Risk differs from Business Risks because Pure Risk's _____ .
A. include chances of both profit or loss associated with the business.
B. include chances of loss and no chances for profit associated with the business.
C. must incur personal loss with business liability.
D. must incur business liability associated with loss of pure profit.
E. B and C
ANS: B
430. The actual configuration of a PERT/CPM network _____ the amount of resources that can
be devoted to the project.
A. Increases.
B. Is not affected by
C. Does not require
D. Is heavily dependent upon
E. Is the only means of determining
ANS: D
431. The following types of costs are relevant to making a financial decision except:
A. opportunity costs
B. direct costs
C. sunk cost
D. unavoidable costs
ANS: C
432. The standard types of communication include all but

A. Written
B. Verbal
C. Telepathic
D. Nonverbal
ANS: C
433. _____ of the extra costs of the project can often be attributed to a lack of quality.
A. 0.12
B. 0.15
C. 0.2
D. 0.25
E. less than 10%
ANS: C
434. A budget estimate should give the manager cost data accurate to within:
A. -5 to +10 percent of actual cost
B. -25 to +75 percent of actual cost
C. -30 to +75 percent of actual cost
D. -10 to +25 percent of actual cost
ANS: D
435. All of the following are categories of a milestone in a schedule except:

A. End date.
B. Contract dates.
C. Key events scheduled.
D. Imposed dates.
E. Task duration.
ANS: E
436. How much time does the typical project manager spend communicating (formal and
informal)?
A. 40% - 60%
B. 30% - 70%
C. 60% - 80%
D. 75% - 90%
E. 25% - 55 %
ANS: D
437. In which type of organization is team building likely to be most difficult?

A. Functional
B. Projectized
C. Matrixed
D. Project expediter
E. Project coordinator
ANS: C
438. Problems can occur in properly defining a project because:

A. Project goals may not be agreeable to all parties
B. The plan was "too loose," thus allowing priorities to change
C. Low turnover of project personnel
D. Too much communication between the client and project personnel
E. The project objectives were quantified
ANS: A
439. The cost of a quality program should be budgeted at _____ of the total project.
A. 10-12%
B. 2-3 %
C. 6-8%
D. 3-5%
E. more than 15 %
ANS: D
440. The review for the specification completeness is performed during which of the following
cycles.
A. Award cycles
B. requirements cycle
C. requisition cycle
D. solicitation cycle
E. contractual cycle
ANS: C
441. The schedule risk is the _____ .
A. the accumulated "expected' durations which maintain project completion.
B. Critical Path adjusted by "high-risk" activity float.
C. highest risk path that maintains quality.
D. Critical Path when calculated with "most likely" duration.
E. highest risk path that contributes the most risk toward the project completion.
ANS: B
442. Screening of risk events for potential risk is known as _____ .

A. problem structuring.
B. risk identification
C. risk quantification
D. risk modeling
E. risk mitigation
ANS: B
443. The Cost Performance Index is computed as:

A. budget cost of work performed divided by actual cost of work performed
B. budget cost of work performed minus actual cost of work performed
C. budget cost of work performed minus budget cost of work scheduled
D. budget cost of work scheduled divided by budget cost of work performed
E. actual cost of work scheduled divided by budget cost of work performed
ANS: A
444. Typical characteristics of a work package include:

A. Representation of units of work at a level where work is performed
B. Clearly distinguishes one work package from all others assigned to a single functional group
C. Limits the work to be performed to relatively short periods of time
D. All of the above
E. A and B only
ANS: E
445. Which of the following is not a cost of non-conformance?

A. maintenance and calibration
B. warranty repairs
C. scrap
D. rework
ANS: A
446. Which of the following is not a method of government procurement.

A. Assistance
B. sealed bidding
C. competitive proposals
D. acquisition
E. small purchases
ANS: D
447. Which of the following would most likely not be an essential objective of a project team
kick-off meeting
A. Create a project technology master plan
B. Get team members to know one another
C. Identify project problem areas
D. Obtain individual and group commitments
E. Identify the project coordinator
ANS: A
448. You are in a meeting with someone who just ate a slice of garlic bread. Your are distracted
by his pungent breath. Which of the following
communication barriers describe these distractions?
A. Sign Detection
B. Sensory Limitations
C. Selective Perception
D. Varying Alertness of Perception
ANS: A
449. Arbitration is a _____ approach to conflict management in resolving conflict disputes.

A. lose-lose
B. win-win
C. win-lose
D. lose-win
E. closed door
ANS: A
450. As project manager, you wish to impose a standard method by which subordinates
calculate project costs. Which level of communication
should be required for this effort?
A. Face-to-face
B. Telephone
C. Written
D. Non-verbal
E. All of the above should be required.
ANS: C
451. In general, groups will ____ the average individual problem solver on problems with
multiple stages.
A. Perform better than
B. Perform worse than
C. Take less time than
D. Do about as well as
E.
ANS: A
452. The scope baseline/project charter is prepared by the:

A. Project manager
B. Project manager and project office
C. Project manager, project office and functional team
D. Project manager, project office, functional team and project sponsor
E. Project manager, project sponsor and customer/user
ANS: E
453. Warranty cost is an example of an _____ .

A. internal failure cost
B. appraisal cost
C. external failure cost
D. customer satisfaction cost
ANS: C
454. Which of the following does not contribute to increased Schedule Risk?
A. labor shortage
B. contractor claims
C. lack of access
D. sponsor scope changes
E. all may increase schedule risk
ANS: E
455. Which of the following is considered a method of accelerated depreciation:

A. sum-of-the-years digit
B. straight-line
C. double-declining-balance
D. A and C
ANS: D
456. Cost management includes processes that are required to maintain financial control of
projects. These processes may include:
A. economic evaluation
B. cost estimating
C. cost forecasting
D. B and C
ANS: E
457. In crashing a task, you would focus on:

A. As many tasks as possible.
B. Non critical tasks.
C. Accelerating performance of tasks on critical path.
D. Accelerate performance by minimizing cost.
E. A and D.
ANS: C
458. Inspection processes are considered _____.

A. an investment in the future
B. an effective corrective process
C. a necessary control process
D. insults to production line employees
ANS: C
459. Standard deviation of project completion is _____ .

A. a relationship of the uncertainty of critical path activities.
B. an indicator of project end date target confidence
C. a function of critical path, leveling and project costs.
D. A and B
ANS: D
460. The project team form of organization confers both advantages and disadvantages.
Disadvantages of the project form include:
A. Conflict in authority between project manager and functional managers
B. Dual allegiance on part of team members
C. Complex prioritization of resources
D. Loss of developed procedures on project dissolution
E. All of the above
ANS: E
461. Which of the following contract types has the highest risk to the contractor:
A. Firm fixed price (FFP)
B. Time and material (T&M)
C. Cost plus fixed fee (CPFF)
D. Cost plus incentive fee (CPIF)
E. A and B only
ANS: A
462. Work authorization forms are needed in order to:

A. Authorize line organizations to charge against the project
B. Establish an audit trail
C. Develop a structured methodology for release of funds
D. All of the above
E. A and C only
ANS: D
463. Your client, with which you have good relations, wants you to provide him with office
supplies. This task is not supported under your contract.
You respond to your client's informal request using which medium?
A. Speech
B. Written
C. Oral
D. A and C
E. Form letter
ANS: C
464. A project manager wants to transmit a complex message to several subordinates. What is
the best medium by which the manager can get his
message across?
A. Oral
B. Written
C. Nonverbal
D. A and B only
E. A, B, and C.
ANS: E
465. A technique that can be used to measure the total income of a project compared to the total
moneys expended at any period of time is:
A. return on investment (ROI)
B. net present value (NPV)
C. discounted cash flow (DCF)
D. B and C
ANS: E
466. Range estimating in determining cost risk probabilities requires _____ .

A. an amount of financial exposure.
B. risks and opportunities ranked in order of bottom line importance
C. contingency requirements for expected level of confidence
D. probability of cost overrun occurrences
ANS: E
467. Satisfaction of the functional requirements of a product is called _____ .

A. usability
B. reliability
C. maintainability
D. producibility
ANS: E
468. The project charter is a document designed to tell _____ exactly what the project entails.
A. The project manager
B. The project office
C. The project team
D. The project sponsor
E. Anyone associated with the project
ANS: E
469. Which of the following control types has the highest risk to the owner:
A. Firm fixed price (FFP)
B. Time and material (T&M)
C. Cost plus fixed fee (CPFF)
D. Cost plus incentive fee (CPIF)
E. A and B only
ANS: B
470. Which of the following statements is in agreement with McGregor's concepts concerning
Theory X and Theory Y managers?
A. Theory X managers view subordinates as being lazy, irresponsible, and resistant to change
B. Theory Y managers view subordinates as being imaginative, creative, and willing to accept
responsibility
C. Theory X managers tend to be autocratic whereas Theory Y managers are more likely to
delegate responsibility
D. A and B.
E. All of the above
ANS: E
471. Ensuring that all work is both authorized and funded by contractual documentation is the
responsibility of:
A. The project manager
B. The functional manager
C. The project sponsor
D. The client
E. All of the above
ANS: A
472. Forecasting human resource requirements necessitates making predictions about both the
supply and demand of human resources. Which of
the following is not a method used to forecast the demand for human resources?
A. Delphi Method
B. Regression Analysis
C. PERT Charts
D. Staffing Tables
E. Time Series Analysis
ANS: C
473. Free float is the amount of time that an activity may be delayed with out affecting the
_____.
A. Early start of the succeeding activities.
B. Late start of the succeeding activities.
C. Project finish.
D. Cost of the project.
ANS: A
474. Risks that cannot be identified or evaluated _____ .

A. should be deflected to the contracting officer.
B. should be handled via contingency allowances.
C. should be ignored, since they cannot be identified.
D. should be ignored, since they are not covered in the Risk Assessment.
E. C and D
ANS: B
475. The five major cost categories of quality are _____ .

A. prevention, appraisal, internal failures, external failures, and equipment (measurement and
test).
B. specifications, QA programs, QC programs, parts rejected and parts returned
C. Staffing, Training, reviews, equipment and rejected goods
D. sampling, design considerations, manufacturing considerations, training and rework.
ANS: A
476. The process of interpreting a message is:

A. Decoding
B. Receiving
C. Encoding
D. Feedback
E. A and C
ANS: A
477. Which of the following is a formal invitation that requests a formal response that describes
the method of work and associated compensation.
A. Request for quotation (RFQ)
B. Request for proposal (RFP)
C. Request for bids (RFB)
D. Invitation for bids (IFB)
E. Letter of intent (LOI)
ANS: B
478. A program can best be described as:

A. A grouping of related activities which last two years or more
B. The first major subdivision of a project
C. A grouping of projects, similar in nature, which support a product or product line and have
no definable end point
D. A product line
E. Another name for a project
ANS: C
479. Cost of quality includes:

A. Appraisal cost
B. detection cost
C. prevention cost
D. maintenance cost
E. A, B, and C only
ANS: E
480. Flextime and compressed workweeks are two popular alternative work schedules used by
employers to improve the quality of work life of
their employers. Which of the following statements concerning these alternative work schedules
is not true?
A. Flextime schedules alter the employee's working hours but not the number of hours worked
each day
B. Both flextime and compressed workweek schedules make scheduling more complex for the
employer
C. Both flextime and compressed workweek schedules can complicate compliance with
overtime regulations
D. Fatigue is a disadvantage of compressed workweek schedules because employees must work
longer than the traditional eight hour work day
E. Under flextime schedules, the working hours are established by the employer
ANS: E
481. The formalization of management's attitude toward risk is called _____ .
A. Decision Theory.
B. Utility Theory.
C. Decision Tree Analysis.
D. Sensitivity Analysis.
E. Probability Analysis.
ANS: B
482. The range of time allowed for an activity to be completed in is the _____.
A. Planned time (Duration).
B. Float time (LS - ES, or LF - EF).
C. Critical time (when ES = LS, or EF = LF).
D. Scheduled time (LF - ES).
E. Event.
ANS: D
483. When items to be purchased for a project are specified by performance characteristics:
A. paperwork is greatly reduced
B. the supplier is held liable for the operation of the item
C. the supplier is held liable for the maintenance of the item
D. the supplier is held liable for that the item meets the design, dimensions, and tolerance
specifications.
E. B and D only
ANS: B
484. You have assembled your thoughts into a message. As you pass this information to a
second party, you are giving this person your:
A. Input
B. Output
C. Data
D. Feedback
E. A and C
ANS: B
485. Deflection involves the transfer of risk by:

A. Contracting out to another party
B. Developing schedule alternative.
C. Establishing functions under the project manager to handle risk events.
D. Disaster planning and responses.
ANS: A
486. Filling vacant positions by recruiting within the organization

A. Is exempt from equal employment opportunity laws
B. Is less expensive than recruiting externally
C. Can help provide new and innovative ideas to the organization
D. Is more time consuming than recruiting externally
E. A and B
ANS: B
487. The accounting head asks an assistant to cut the payroll checks today. The head later
arrives to sign the checks, only to find that the
assistant shredded (cut) the blank check forms. Which phrase best describes this lack of
communication.
A. Bypass instruction
B. Faulty perception of reality
C. Bad attitude of listener
D. Lazy listening
E. Emotionalism
ANS: A
488. Which of the following are among Phil Crosby's "absolutes of quality'.
A. the performance of standard is zero defects
B. do everything right the first time, each time
C. constantly improve each product and each service
D. the measurement system is the cost of nonconformance
E. A and D only
ANS: E
489. Which of the following impacts the critical path?

A. Changing the task duration.
B. Reduce the free float of an activity.
C. Executing a backward pass
D. A or B
ANS: A
490. A(n) _____ is defined as a specified accomplishment in a particular instant in time which
does not consume time or resources.
A. Activity
B. Event.
C. Correlation
D. Constant
E. Event constrained within planned effort.
ANS: B
491. According to labor law, which of the following management actions are prohibited during
a union organizing drive?
A. Forbidding employees from distributing union literature in working areas
B. Implementing previously scheduled pay raises
C. Forbidding unions from soliciting workers during working hours
D. Circulating anti-union petitions
E. All of the above
ANS: D
492. All of the following statements define the role of a meeting chairperson except:
A. Initiates and concludes discussion
B. Controls irrelevant discussion
C. Resolves strong disagreements
D. Produces meeting agenda
E. Consolidates agreements.
ANS: D
493. Attributes quality data are:

A. quantitative or qualitative data
B. quality data for which the products or services is designed and built.
C. reflect measurements on a continuous scale of a characteristic of the product or service
D. indicate management's understanding of the concept of variability
E. A and B only
ANS: E
494. Lessons learned are most often based upon project historical records. Lessons learned can
be used to:
A. See what mistakes others have made
B. See how others have solved problems
C. Predict trends, highlight problems and identify alternatives
D. All of the above
E. A and B only
ANS: D
495. Risk mitigation includes all but which of the following:

A. Developing system (policies, procedures, responsibilities)
B. Obtaining insurance against loss
C. performing contingent planning
D. developing planning alternatives
E. identification of project risks.
ANS: E
496. All the techniques described below can be used to keep a meeting focused except:
A. Recall agenda items/purpose of meeting
B. Summarize discussion periodically
C. Encourage pursuit of interesting new ideas
D. Rephrase unclear ideas presented by group members
E. All are acceptable techniques
ANS: C
497. Approval to proceed is normally made at the end of the _____ phase of a typical project.
A. conceptual
B. development
C. implementation
D. execution
E. close-out
ANS: A
498. Management by Objectives (MBO)

A. is a method used to evaluate personnel by objectively comparing them to common
performance standards
B. requires a supervisor and a subordinate to jointly establish performance objectives
C. should be the responsibility of the organization's personnel department
D. should always involve the establishment of objectives that are quantifiable
E. B and D
ANS: B
499. Project Risk _____ .

A. should not be calculated for small projects.
B. is the probability of each risk event minus the sum of the consequences of potential risk
events.
C. is the cumulative effect of uncertain occurrences which will adversely affect project
objectives.
D. cannot be quantified for first time projects.
E. B or D
ANS: C
500. Resource leveling _____.

A. Allocates resources to activities to find shortest schedule within fixed resource limits.
B. Smoothes out resource requirements by rescheduling activities within their float time.
C. Smooths out resource requirements by substituting activities with unassigned resources.
D. Attempts to reduce resource requirements within a constraint on project duration
E. B or D
ANS: E
501. Variables quality data are:

A. quantitative or qualitative data
B. quality data for which the product or service is designed and built
C. reflect measurements on a continuous scale of a characteristic of the produce or service.
D. Indicate management's understanding of the concept of variability
E. B and C only
ANS: E
502. Five people are involved on a project that requires significant communication between all
project participants. How many lines of
communication exist on this project?
A. 5
B. 6
C. 8
D. 10
E. 9
ANS: D
503. A project may be defined as _____

A. an integrated approach to managing projects
B. a coordinated undertaking of interrelated activities.
C. a group of activities directed by a project manger over a life cycle
D. an undertaking with a defined starting point and defined objectives
ANS: D
504. Quality control charts show a characteristic of the product or service against:
A. the specification limits
B. customer requirements
C. control limits based on three standard deviations in each direction
D. control limits based on six standard deviations in each direction
E. A and D only
ANS: C
505. The performance review interview is a vital component of any personnel evaluation
system. Which of the following is not a characteristic of an
effective personnel evaluation interview?
A. Performed by a supervisor who has adequately prepared for the interview
B. Discusses the employee's future performance goals
C. Discusses the employee's undesirable personality traits
D. Completed during a single, uninterrupted block of time
E. Focuses on a limited number of topics so that each topic can be discussed in detail
ANS: C
506. Which may be employed to shorten a schedule without changing the scope of the task?
A. Fast tracking.
B. Crashing
C. Releasing resources earlier from tasks which were scheduled with a late start.
D. Alter to task priorities.
E. A or B
ANS: A
507. "Fast-tracked" projects awarded and begun before all planning and risk assessment
information is complete and available may _____ .
A. be completed in reduced overall time than other projects.
B. be in a higher risk category than other projects.
C. not be compatible with project risk and assessment
D. A and B
ANS: D
508. 100 % inspection of output is:

A. the best proven method to ensure quality
B. is expensive, ineffective approach to quality management
C. can never be, justified
D. can still leave some defects undetected
E. B and D only
ANS: E
509. A summary WBS is usually developed in the

A. Conceptual phase
B. implementation phase
C. planning phase
D. close-out phase
E. All of the above phases
ANS: A
510. Management by objectives assumes that the team

A. is receptive to an unstructured environment.
B. does not require close supervision
C. possesses a self-fulfillment philosophy
D. all of the above
E. A and C
ANS: C
511. Achieving effective upward communications in an organization requires that the sender
consider which of the following:
A. entropy
B. position
C. the medium
D. A and B.
ANS: E
512. Configuration (baseline) control monitors performance against the
A. scope baseline
B. original schedule
C. original budget
ANS: A
513. Japanese resource management models exhibit.
A. a cooperative spirit of goal settings
B. non-specialized career paths
C. frequent changes on team assignments
D. A and B.
ANS: E
514. Life Cycle Costing:
A. is the concept of including all costs within the total life of a project.
B. is an activity devoted to optimizing cost/performance
C. is an activity of appraising the cost and technical performance of a completed project.
D. is a process of predicting the life of a project.
ANS: A
515. Risk management requires an understanding that _____ .
A. the degree of greatest uncertainty occurs in the Conceptual Phase of the Life Cycle.
B. risk identification must be directly aligned with the Work Breakdown Structure.
C. it is merely advanced preparation for possible adverse future events.
D. it does not imply complete control of events
ANS: E
516. The centerline of a standard "Shewhart' control chart represents:
A. the process target
B. the nominal dimension specified by the customer
C. the nominal dimension specified by the designer
D. the true process average or mean
E. the process sample average or mean
ANS: E
517. The critical path is calculated by
A. subtracting the end date of task one from the start date of task two.
B. determining which tasks have the least amount of total slack.
C. totaling the time for all activities.
D. determining the shortest path through the network.
E. Determining which tasks have the most slack
ANS: B
518. Delegation may
A. defer the decision on type of approach to be used.
B. be interpreted as passive and uncaring
C. tend to emphasize the task over the people involved.
D. be frequently utilized by a project manager.
ANS: E
519. Final risk quantification considers total risk impacts and _____ .
A. translates the impacts into economic terms for analysis.
B. concentrates on schedule impacts
C. may not consider safety and environmental impacts
D. A and B
E. A and C
ANS: E
520. Managerial Reserves are:
A. allowances to account for price changes that can occur over the life of a project.
B. incentive fees paid to managers for good performance.
C. funds used to offset poor cost or schedule estimates.
D. accounts to allocate and maintain funds for contingency programs
ANS: D
521. Project management provides organizations with a methodology to:

A. Become more efficient and effective in accomplishing goals that cannot be handled well by
the traditional structure
B. Manage high risk repetitive work
C. Provide clients with multiple points of contact
D. Provide guidance in accomplishing repetitive activities
E. All of the above
ANS: A
522. Random cause or system variation is:

A. generally present in every process
B. the responsibility of the inspection of the process
C. the responsibility of the workers of the process
D. the responsibility of management
E. A and D only
ANS: E
523. The most frequently used construct in Precedent Diagramming Method is:
A. Start to Start.
B. Finish to Finish.
C. Start to Finish.
D. Finish to Start.
E. Dummy activity.
ANS: D
524. The person sending a message is NOT influenced by which of the following
A. sender's credibility
B. receiver's assumptions
C. receiver's evaluative and tendency
D. receiver's attitude and needs
E. sender's knowledge
ANS: C
525. A common mistake in communications is to _____ of the receiver.

A. overestimate the knowledge
B. underestimate the knowledge
C. underestimate the intelligence
D. overestimate the intelligence
ANS: A
526. A key to successful Management by Objectives (MBO) is

A. insuring that employees have clearly defined objectives
B. involving employees in decision meetings
C. permitting employees to set their own objectives
D. allowing employees to perform their own evaluations
E. A or C.
ANS: E
527. Sunk costs are:

A. future costs held in reserve.
B. costs invested in commodities.
C. expended costs over which we have no control.
D. expended costs over which we have no more control
E. tax credits
ANS: D
528. The degree to which a company accepts and utilizes project management is often
dependent upon the _____ and _____ of the project.
A. Competition, dollar value
B. Type of industry, manpower requirements
C. Size, nature
D. Quality requirements, manpower requirement
E. Type of industry, risk
ANS: C
529. The specification for a particular part is 10" + or - 0.015". The standard associated process
produces parts with a means of 10" and standard
deviation of 0.002'. The process capability index is:
A. 0.002
B. 1.0
C. 2.5
D. 7.5
ANS: C
530. Which of the following is indicative of negative float?

A. The late start date is earlier than the early start date.
B. The critical path supports the imposed end date.
C. The early finish date is equal to the late finish date.
D. When leads are employed in the schedule.
E. The project is sinking.
ANS: A
531. Line of balance charts are used most frequently in:

A. Engineering
B. Marketing
C. Manufacturing
D. Accounting
E. Contracts and procurement
ANS: C
532. Project tradeoffs are usually made by comparing _____ and constraints.
A. Time, cost, and quality
B. Time, risk, and quality
C. Risk, quality, and manpower availability
D. Cost, quality, and technical performance
E. Cost, quality, and risk
ANS: D
533. Standard "Shewhart" control charts assume that the distribution of sample means is:
A. uniform
B. normal
C. discrete
D. symmetrical
E. B and D only
ANS: E
534. The type of power most infrequently used by the PM is
A. formal authority
B. reward power
C. referent power
D. expert power
E. penalty
ANS: A
535. Which of the following is NOT a characteristic of message filtering?
A. semantics
B. media
C. ethics
D. organizational status
E. reputation
ANS: C
536. Feasibility studies evaluate alternatives in terms of
A. Cost-effectiveness
B. Ease of performance
C. Risk
D. Safety
E. All or part of A through D
ANS: E
537. Present value measures
A. the value to us today of future cash flows.
B. the rate of return on an investment when we take account of cash inflows and outflows
C. the current estimates of our project budget
D. the dollars worth of work accomplished as of today
ANS: A
538. The Project Manager has the responsibility of knowing what kind of message to send
because his _____ may avoid communications barriers.
A. business interfaces
B. output
C. technical experience
D. priorities
E. training methods
ANS: B
539. The ability to reduce risk is _____ to how far you have progressed through the project life
cycle.
A. inversely proportional
B. directly proportional
C. not related
D. the responsibility of the risk executive
E. is directly proportional to the amount at stake.
ANS: A
540. The risk of accepting a lot of poor quality, in acceptance sampling, is referred to as:
A. buyer's risk
B. consumer's risk
C. producer's risk
D. type I error
E. B and D only
ANS: B
541. Which influence reflects an informal organization?
A. formal authority
B. reward power
C. referent power
D. expert power
E. penalty
ANS: C
542. A life cycle project manager tends to have the following characteristics:
A. balanced training
B. stronger administrative skills than technical skills
C. stronger technical skills than administrative skills
D. stronger human resource skills
ANS: B
543. In acceptance sampling, if the sample size is kept the same but the acceptance number is
increased, which of the following will be true:
A. buyer's risk will decrease
B. vendor's risk will decrease
C. producer's risk will decrease
D. consumer's risk will increase
E. C and D only
ANS: E
544. Risks include the following types:
A. Business risk
B. pure risk
C. Insurable risk
D. A and B
ANS: E
545. Traits of a participative manager include:
A. being accessible
B. being an effective delegator
C. holding social gatherings
E. A and C
ANS: D
546. All of the following statements about acceptance sampling are true except:
A. Acceptance sampling plans are beneficial when the cost of inspection is high and the
resulting loss of passing nonconforming units is not great.
B. Acceptance sampling plans are necessary when destructive inspections are required.
C. Acceptance sampling plans are never effective at rejecting nonconforming units as 100
percent inspection, even when the inspection process is
very tedious.
D. Acceptance sampling plans do not directly control the quality of a series of lots; they instead
specify the risk of accepting lots of given quality.
E. Acceptance sampling plans are not very effective for inspecting small lots of custom-made
products.
ANS: C
547. Interfacing with the customer after project go-ahead is the responsibility of:
A. Project sponsor
B. Project team
C. Project manager
D. Functional manager
E. All of the above are possible, based upon the size and complexity of the project
ANS: C
548. Parametric cost estimating involves
A. using the WBS to do bottom up estimates
B. defining the perimeters of the life-cycle
C. calculating the individual estimates of work packages
D. using a statistical model to estimate costs
E. A and C
ANS: D
549. Risk exposure refers to _____ .
A. the amount at stake.
B. what might happen.
C. the likelihood of something
D. who is going to be held accountable
ANS: A
550. The compromise conflict resolution technique
A. is necessary when both participants must win.
B. results in both sides losing
C. is used when resolution is more important than relationships
D. B and C
ANS: B
551. When a majority of team members must agree before a decision is reached _____.
A. some team members may become alienated
B. future group effectiveness may become damaged.
C. the PM may lose credibility
D. the project manager will most likely have to utilize a conflict resolution technique
ANS: E
552. You are managing an internal project where a vice president from the user group is acting
as the sponsor. You have just been informed by
your team that the critical path has slipped by three weeks. You should:
A. Immediately inform the sponsor and ask for advice
B. Do nothing until the slippage occurs
C. See the sponsor after you have evaluated alternatives, recommendations, and performed an
impact analysis
D. Look for someone to blame before you see the sponsor
E. Inform your senior management of the problem and tell them that you will get back to them
after you assessed the situation
ANS: C
553. A quality control manager decides to increase his daily sample size from three to six. The
size of the control band will:
A. increase
B. decrease
C. remain unchanged
D. not determinable from given data
ANS: B
554. Obtaining team commitment depends on:

A. clear and interesting job assignments
B. consensus on project goals
C. involvement in developing task objectives
E. B and C
ANS: E
555. Risk mitigation is the process of _____ .

A. transferring risk to another party.
B. reducing uncertainty on the project
C. identifying all possible risk events
D. monitoring status and making adjustments
ANS: B
556. The "rolling wave" or "moving window" concept is used most frequently on projects
where:
A. The baseline is frozen for the duration of the project and no scope changes are permitted
B. Marketing is unsure of what the customer actually wants and reserves the right to make
major scope changes
C. The low levels of the work breakdown structure are known with certainty for the next three
to six months, but the remaining tasks are based
upon the results of the first three to six months of work
D. Networking techniques are not appropriate
E. All of the above
ANS: C
557. The Cost Performance Index (CPI) measures

A. total costs
B. performance over a period of time
C. costs at a point of time
D. variable costs
ANS: C
558. All of the following statements about control charts are true except:
A. Control charts can be used to establish as well as maintain process control
B. control charts are used to detemine acceptance limits when no limits are stipulated by the
product specification; otherwise, one should use the
limits dictated by the specification.
C. all data points outside the control chart limits are variations explained by assignable causes.
D. A and B.
E. B and C
ANS: E
559. As a control tool, the bar chart (Gantt) methods is most beneficial for:
A. rearranging conflicting tasks
B. depicting actual versus planned tasks
C. showing the outer dependencies of tasks
D. A and C.
E. A and D
ANS: B
560. Cost forecasting calculations include:

A. EAC = ACWP + (BAC - BCWP)
B. EAC = BAC/CPI
C. EAC = ACWP + (BAC/CPI)
E. A and B
ANS: E
561. The appointment or selection of a project sponsor is often based upon:

A. The strategic importance of the project
B. Who the customer is
C. Whether the organization is project or non-project-driven
D. The profitability of the project
E. All of the above
ANS: E
562. The strong matrix versus a weak matrix.
A. team members are more likely to be assigned to the project office in a strong matrix
B. strong matrix is more difficult to manage.
C. the balance of power has shifted away from the PM.
D. functional managers no longer has control over the technical processes.
ANS: A
563. When all members must unanimously agree before a decision is reached
A. all members become committed
B. decisions are reached slowly
C. integrity is developed
D. future decision making ability is enhanced
ANS: E
564. A team may not be fully functional until each member
A. seeks consensus in decision making
B. feels personal acceptance
C. depends on the team leader for direction
D. A and B.
ANS: D
565. Quality management deals with all of the following except:
A. conformance to requirements/specifications
B. satisfying the needs of the customer
C. making products more desirable and luxurious
D. A and C.
E. B and C
ANS: C
566. The difference between a project and a program is that:
A. A program is made up of multiple projects
B. A program requires at least three times longer to plan than a project
C. A project is a one-shot deal while a program is on-going
D. A and C
E. B and C
ANS: D
567. The functional organization is effective with a mature product or single product line.
A. true
B. false
C.
D.
E.
ANS: A
568. The most common non-behavioral reason for projects being completed behind schedule
and over budget is:
A. Selecting the wrong person as the project manager
B. Selecting the wrong person as the sponsor
C. Accepting a high-risk project
D. Ill-defined requirements
E. All of the above
ANS: D
569. You have summarized the project and note that 28,000 hours have been scheduled, 25,000
hours have been earned and 26,000 hours paid.
The correct conclusion is:
A. The project is operating at a favorable cost efficiency ratio.
B. the project is spending more than planned
C. the project is behind schedule
D. the project is ahead of schedule
E. B and C
ANS: C
570. Considering alternate suppliers is a form of _____.
A. Value engineering.
B. Risk Analysis
C. Contract Management
D. Project integration
ANS: A
571. The scope of a project can be expected to change if:

A. The project manager must provide cost estimates without having a design concept
B. Oversimplification (underestimating) of the nature of the work occurs
C. The project manager is assigned after the project is defined, and the cost and schedule are
approved
D. A clear objective is not provided
E. All of the above are possible based upon the situation
ANS: E
572. Which of the following organizations has the best technical project control?
A. matrix
B. functional
C. projectized
D. B and C
E. A and B
ANS: D
573. Clearly defined group goals are important because they _____.
A. motivate team behavior
B. cause inner tension within team members until they are met
C. encourage member interaction
E. A and C
ANS: D
574. The estimated cost to complete (ETC) is _____.
A. BCWP/ACWP
B. the forecasted and final cost - cost to date
C. (ACWP-BCWP)/BCWP * 100
D. Total estimate - ACWP
ANS: B
575. The most common definition of project success is:
A. Within time
B. Within time and cost
C. Within time, cost and technical performance requirements
D. Within time, cost, performance and accepted by the customer/user
ANS: D
576. Which of the following results are Win/Win conflict resolution?
A. compromising
B. forcing
C. problem solving
D. smoothly
E. withdraw
ANS: C
577. During the planning phase of a project, you realize that more than one functional
department possesses the skill and technical know-how to
perform a given task. The best way for the project manager to handle this would be to:
A. Make the decision, document it in the linear responsibility chart, and distribute the chart to
all departments.
B. Let the affected line groups decide among themselves who will perform the work
C. Ask the executive sponsor to make the decision
D. Allow each line group to perform part of the task
E. All of the above
ANS: B
578. The ability to achieve cost savings is inversely proportional to _____.
A. the earned value achieved to date
B. the estimated costs to complete
C. empowerment to the P.M.
D. productivity
ANS: A
579. The most effective team motivator is:
A. the visibility of the team's contribution
B. the satisfaction of meeting a challenge
C. understanding the importance of the project
D. the individual's professional challenge
ANS: A
580. Which of the following is based on an individual identification with a more powerful
person.
A. expert power
B. reward power
C. referent power
D. A and B.
E. A and C
ANS: C
581. One of the most common pitfalls in effective communication is:

A. not selecting the correct medium
B. nor considering the position of the receiver
C. assuming that because a message is sent, it has been received
E. A and B
ANS: C
582. The core function of the PM is

A. client interfacing
B. project integration
C. quality assurance
D. personal administration
ANS: B
583. Value engineering/Analysis is the systematic use of techniques which does not include
_____.
A. establishing values for required functions
B. provide the required functions at the lowest overall cost.
C. identifies the required function of an item
D. seeks to trade performance for cost
ANS: D
584. You have been assigned as a project leader and must first review the statement of work
provided by the customer. Which of the following is
most often overlooked?
A. Data item deliverables
B. Customer-furnished equipment and facilities
C. Long-lead procurement items
D. Customer-imposed milestones
E. Other subcontractor interface requirements
ANS: A
585. Project team building is most difficult in which type of environment?

A. weak matrix organization
B. strong matrix organization
C. projectized organization
D. functional organization
E. expediter organization
ANS: A
586. The role of the _____ can be invaluable in problem solving.

A. recognition seeker
B. devils advocate
C. dominator
D. topic jumper
E. A or C
ANS: B
587. Which of the following are types of status reports?

A. document, variance, trend and exception
B. cost, trend, schedule and acquisition
C. cost, schedule, technical performance
D. analysis, cost, performance and schedule
ANS: C
588. Continually measuring and monitoring the actual cost versus the budget is done to _____.
A. analyze the reasons for variances
B. establish the variances
C. identify the problems
ANS: D
589. Using "I" or "My' instead of "most people" or "our group" ______ message credibility.
A. decreases
B. increases
C. has no effect on
D. distorts
E. A and B
ANS: B
590. Which of the following can be tracked using the WBS?

A. time
B. cost
C. performance
D. scope
ANS: D
591. Cost and schedule data are usually integrated because:

A. optimized project cash flow can affect financial requirements
B. they provide MIS with an integrated system to produce reports
C. they control escalation allowances
D. they account for omissions in the definitive estimate
E. they predict future performance
ANS: E
592. In which of the following organization(s) does the Functional Manager have the LEAST
authority?
A. coordinator
B. weak matrix
C. strong matrix
D. functional
E. expediter
ANS: C
593. When a project incorporates an Organizational Breakdown Structure (OBS), it is

integrated with the WBS at the
A. task
B. level of effort
C. sub-task
D. project
E. work package
ANS: E
594. An effective Project Manager does not share project _____ with the team members.
A. Vision
B. responsibility
C. solution to problems
D. accountability
E. status
ANS: D
595. Parametric estimates are based on variables such as:

A. Detailed planning and cost restraints.
B. Physical characteristics and historical data.
C. The WBS and similar projects.
D. Project objectives and manpower allocations.
E. Precise measurements and multiple inputs.
ANS: B
596. The time necessary to complete a project is called the _______ of a project.
A. Implementation Time
B. Life Cycle
C. Operation Time
D. Critical Path
E. Completion Phase
ANS: B
597. The Communications Management Plan should contain the following:

A. Communications policy
B. Communications media
C. Reporting channels
D. Selection of appropriate media to meet specific needs
E. All of the above
ANS: E
598. The Cost Performance Index (CPI) measures:

A. cost of work performed vs planned costs.
B. work performed vs cost of work performed.
C. work performed vs planned work.
D. direct costs vs indirect costs.
E. floating costs vs. sunk costs.
ANS: B
599. The extent of project management techniques to be used on a project are determined
mainly by the _____ and _____ of the project.
A. budget, schedule
B. quality requirements, schedule
C. size, type of industry
D. nature, size
E. project manager, sponsor
ANS: D
600. Which theory(s) prescribes a form of participative management?

A. theory X
B. theory Y
C. theory Z
D. A or B
E. B or C
ANS: B
601. Most project management leadership theories focus on all of the following except:
A. Personal characteristics of the project manager
B. The situation at hand
C. Personal traits of the subordinates
D. Behavioral styles of the project manager
E. Usefulness of authority and power in leadership
ANS: C
602. Project trade-offs vary between

A. risk, cost and schedule.
B. direct cost, indirect cost, and resource availability
C. quality, schedule and time
D. cost, quality and schedule
E. contract terms, scope and budget
ANS: D
603. The following individuals are responsible for determining the content of the
Communications Management Plan.
A. Project Sponsor
B. Task Manager(s)
C. Director of Communications
D. Project Manager
E.
ANS: D
604. When comparing the cost of competing projects, which of the following is typically NOT
considered?
A. Opportunity costs.
B. Direct costs.
C. Sunk costs.
D. Indirect costs.
E. Burden rates.
ANS: C
605. Input into the Communications Management Plan includes the following information from
the stakeholder analysis:
A. Information needs
B. Information content
C. Frequency of distribution
D. Method of distribution
E. All of the above
ANS: E
606. The computation for Cost Performance Index is:
A. BCWP/ACWP
B. BCWP-ACWP
C. BCWP-BCWS
D. ACWP/BCWP
E. ACWP-BCWS
ANS: A
607. We assign human and non-human resources in the _____ phase of the budget.
A. conceptual
B. planning
C. development
D. implementation
E. close-out
ANS: D
608. Which of the following can the project manager use as a means of measuring project team
effectiveness?
A. Absenteeism
B. Sponsor-approved salary increases
C. Efficiency of the team
D. Turnover of personnel
E. Grievances
ANS: C
609. Project alternatives are examined during the _____ phase of the project
A. conceptual
B. finish
C. development
D. implementation
E. A and C
ANS: E
610. Project leadership requires that the project manager pay attention simultaneously to the:
A. Tasks to be performed and needs of the team
B. Quantity and quality of the work to be performed
C. Efficiency and effectiveness of the team
D. Time, cost and performance deliverables
E. All of the above
ANS: E
611. A project manager believes that the best way to manage is to form a good, harmonious
working relationship with the team, and high
performance will follow. The project manager could be defined as a _____ manager.
A. 1,9
B. 9,1
C. 1,1
D. 9,9
E. 5,5
ANS: A
612. Which of the following are included in the Acquisition phase(s) of the project life cycle.
A. concept and development
B. development and planning
C. execution and phase-out
D. planning and implementation
E. concept and planning
ANS: C
613. Budgetary estimates are the output of the _____ phase(s) of the project.
A. conceptual
B. development
C. implementation
D. finish
ANS: B
614. The capacity to get an individual or group to perform a given task is described as:
A. Authority
B. Power
C. Influence
D. Leadership
E. Motivation
ANS: E
615. A team that is just forming needs:

A. An organization chart
B. Alternatives and choices
C. Structure and specificity
D. Orientation and organization
E. Opportunities for dialogue and conflict resolution
ANS: C
616. A work breakdown structure:

A. assures all work is identified.
B. subdivides the project into manageable segments.
C. provides the project sponsor with a time-phase task summary.
D. both A and B.
ANS: D
617. For effective communication, the message should be oriented to the _____.
A. Initiator
B. Receiver
C. Media
D. Management style
E. Corporate culture
ANS: B
618. The scope statement provides

A. A basis for future decisions about a project.
B. A baseline to accomplish verification measures.
C. A baseline to evaluate potential scope changes.
D. All of the above
E. B and C only
ANS: D
619. A Work Berakdown Structure is most useful for:

A. Identifying individual tasks for a project.
B. Scheduling the start of tasks.
C. Developing a cost estimate.
D. Determining potential delays.
E. A and C.
ANS: E
620. Communication plays a major role in:

A. Planning
B. Organizing
C. Controlling
D. Directing
E. All of the above
ANS: E
621. The LEAST effective form of communication for complex situations is:
A. verbal - face to face
B. written
C. formal
D. informal
E. A and C
ANS: E
622. The most common form of organizational communication is

A. Upward to management
B. Downward to subordinates
C. Horizontal to peers
D. Horizontal to customers
E. All of the above
ANS: E
623. The most common form of project communication is:

A. Upward to executive sponsor
B. Downward to subordinates
C. Lateral to the team and line organizations
D. Lateral to customers
E. Diagonally to the client's senior management
ANS: C
624. The primary source document for establishing the content of the Project Status Report is:
A. The project charter
B. The Project Plan
C. The ASTM Project Document Guide
D. The summary work breakdown structure
E.
ANS: B
625. A Project Status Report would include all of the following except:
A. Cost and schedule reports
B. Changes to scope. cost or schedule
C. Narrative explanation of variances
D. Personnel problems on the project
E. Upcoming activities
ANS: D
626. A negative cost variance and positive schedule variance means:

A. The project is under budget and ahead of schedule
B. The project is over budget and behind schedule
C. The project is over budget and ahead of schedule
D. The project will be overrun but ahead of schedule at completion
E.
ANS: C
627. The following reports are normally developed during the project closure phase?
A. Communications Management Plan and Lessons Learned
B. Records Archive, Closure Report, lessons learned & Formal Acceptance Report
C. Records Archive, Closure Report, & Specifications Document
D. Communications Management Plan and Closure report
ANS: B
628. Which of the following tools and techniques can be used to collect information for the
project closure reports?
A. Customer Surveys
B. Brainstorming
C. Document and Performance Analysis
D. Lessons Learned
E. All of the above
ANS: E
629. A project manager who, in a deference of opinion with the project controls engineer on
how costs are to be reported, dictates the format of
the cost report may be said to have a conflict management style.
A. Withdrawing
B. Forcing
C. Confrontational
D. Authoritarian
E. Combative
ANS: B
630. Using the situation the the Special window:

A. Productivity will increase
B. His decisions will promote high satisfaction among his team
C. His decisions will require less time
D. All of the above
E. A and C only
ANS: B
631. Using the situation stated in the Special window, which WBS element is behind schedule
but under budget?
A. Element P
B. Element Q
C. Element R
D. Element S
ANS: D
632. Using the situation stated in the Special window, which WBS element has a favorable cost
variance of 0?
A. Element P
B. Element Q
C. Element R
D. Element S
ANS: C
633. Using the situation stated in the Special window, the cost performance index (CPI) for
WBS Element R is:
A. 0.875
B. 1.14
C. 0.952
D. 0.833
E. 1.20
ANS: B
634. Using the situation stated in the Special window, the schedule performance index (SPI) for
WBS Element P is:
A. 1.10
B. 0.90
C. 0.956
D. 1.15
E. 0.869
ANS: A
635. Using the situation stated in the Special window, WBS Element Q is _____ budget by
_____ percent.
A. Over, 16.66
B. Under, 16.66
C. Over, 10.0
D. Under, 10.0
ANS: A
636. Using the situation stated in the Special window, a comparison of the cost schedule of
August as compared to July shows that the magnitude
($ value) of the variance has _____ and the percentage change has _____.
A. Become worse, become worse
B. Become worse, improved
C. Improved, increased
D. Improved, become worse
E. None of the above are correct
ANS: E
637. Using the situation stated in the Special window, the total price variance of direct material
is:
A. ,245
B. -36
C. -79
D. %content%.69
E. ,994
ANS: C
638. Using the situation stated in the Special window, the labor rate cost variance is:
A. ,927
B. ,329
C. 6
D. -%content%.22
E. .36
ANS: D
639. Using the situation stated in the Special window, what is the total fixed costs for
manufacturing the widgets?
A. ,000
B. ,000
C. ,270
D. ,335
E. ,000
ANS: E
640. Using the figure in the Special window, The critical path is:
A. A-B-G
B. C-G
C. C-D
D. E-F
E. A-B-G and C-D
ANS: B
641. Using the figure in the Special window, By how many weeks can activity "F" slip without
extending the end date of the project?
A. 0
B. 1
C. 2
D. 3
E. 4
ANS: D
642. Using the data shown in the Special window, Activities P, Q, and T are critical path
activities. In order to shorten the time duration of the
project, which activity should be "crashed" first?
A. P
B. Q
C. R
D. S
E. T
ANS: A
643. Using the possible profit and loss outcomes shown in the Special window, find the
expected profit (loss)
A. (00)
B. 00
C. 00
D. 00
ANS: D
644. Using the figure in the Special window, The Critical path is _____ weeks.
A. 21
B. 22
C. 23
D. 24
E. 25
ANS: D
645. Using the possible loss outcomes shown in the Special window, find the expected (loss)
A. %content%
B. (00)
C. (00)
D. ($ 3000)
ANS: B
646. Using the diagram in the Special window, what is the probability that Alternative I will be
adopted and completed below budget:
A. 1.4
B. 0.8
C. 0.2
D. 0.12
ANS: D
647. Using the figure in the Special window, Activity "L" has an early start time of _____
weeks and an early finish time of _____ weeks.
A. 11, 13
B. 12, 14
C. 13, 15
D. 14, 16
E. 15, 17
ANS: E
648. Using the figure in the Special Window, what is the probability of success for Project B?
A. 0.30
B. 0.20
C. 0.35
D. 0.15
E. 0.12
ANS: C
649. Using the figure in the Special window, Activity "D" has a latest start time of _____ weeks
and a latest finish time of _____ weeks.
A. 2, 10
B. 4, 12
C. 6, 14
D. 7, 15
E. 9, 17
ANS: A
650. Using the figure in the Special window, The slacktime in Activity "G" is _____ weeks.
A. 2
B. 3
C. 4
D. 5
E. 7
ANS: C
651. Using the WBS in the Special window, an instance of a work package is:
A. Build house
B. Excavate
C. Prepare Foundation
D. B and C
ANS: E
652. Using the problem stated in the Special window, Calculate the expected value of duration
(in days) using the PERT concept of the expected
duration of a task
A. 8.0
B. 8.8
C. 9.1
D. 9.7
E. 10.5
ANS: B
653. Using the problem stated in the Special window, Calculate the deviation of duration for the
task, using the PERT concept of standard
deviation of task duration.
A. 0.5
B. 1.0
C. 1.8
D. 2.2
E. 2.8
ANS: C
654. Using the situation stated in the Special window, what is the total variable costs for
producing one widget?
A. ,020
B. ,010
C. ,015
D. .00
ANS: E
655. Using the situation stated in the Special window, what is the total price variance for direct
material?
A. 0.00
B. 6.00
C. %content%.02
D. -0.00
E. 50.00
ANS: B
656. Using the situation stated in the Special window, what is the labor rate cost variance?
A. 00.00
B. 00.00
C. -0.00
D. -%content%.10
E. 00.00
ANS: D
657. Using the situation stated in the Special window, what is net present value of an annual
income flow of 00 at 14% over the next three
years?
A. 13.60
B. %content%.68
C. 80.00
D. 6.19
E. .32
ANS: A
658. Using the situation stated in the Special window, what is present value of 00 at 12% at the
end of 5 years?
A. 05.00
B. %content%.57
C. 7.00
D. 2.86
E. .61
ANS: C
659. Using the situation stated in the Special window, what is the cost variance for Case #9?
A. -00
B. 1000
C. -2000
D. 2000
E. 0
ANS: B
660. Using the situation stated in the Special window, what is the schedule variance for Case
#8?
A. 1000
B. 2000
C. -1000
D. -2000
E. 0
ANS: C
661. Using the table in the Special window, Which task is completed?
A. dig hole
B. remove debris
C. survey
D. set forms
E. place concrete
ANS: B
662. Using the situation stated in the Special window, what is the cost performance index for
Case #9?
A. 1.10
B. 1.91
C. 0.83
D. 1.20
ANS: A
663. Using the WBS shown in the Special window, a typical work package would be:
A. Software development
B. Systems design
C. Coding
D. A, B, and C
ANS: E
664. Which of the statements regarding benefit-cost analysis in the Special window are true?
A. 1 and 2
B. 2 and 3
C. 1 and 3
D. 1, 2 and 3
ANS: C
665. Using the cumulative cost curve in the special window, height B represents
A. actual cost to date
B. total budgeted costs for the project
C. planned cost for month 6
D. cost variance
E. earned value
ANS: B
666. Using the situation stated in the Special window, a comparison of the cost variance of
August as compared to July shows that the magnitude
($ value) of the variance has _____ and the percentage change has _____.
A. Become worse, become worse
B. Become worse, improved
C. Improved, increased
D. Improved, become worse
E. None of the above are correct
ANS: B
667. Using the situation shown in the Special window and assuming continues efficiency for
work-in-progress and fixed price contract for task four.
The estimate at completion is:
A. K
B. K
C. K
D. K
E. indeterminate
ANS: C
668. Using the scenario in the special window, the project manager appears to be a _____
manager.
A. 1, 9
B. 9, 1
C. 1, 1
D. 9, 9
E. 5, 5
ANS: E
669. Using the scenario in the special window, the project manager:
A. will probably spend the weekend reviewing the data.
B. Won't ask for the report again.
C. Has a preference for written communication.
D. Has chosen an inappropriate medium.
E. Is experiencing communication overload.
ANS: E
670. In which of the following scope management processes are subject matter experts used?
A. Initiation
B. Scope planning
C. Scope Definition
D. Scope change control
E. Scope verification
ANS: A
671. The work breakdown structure (WBS) is first developed in which scope management
process?
A. Initiation
B. Scope planning
C. Scope change control
D. Scope Definition
ANS: D
672. The project charter is prepared in which scope management process?

A. Initiation
B. Scope planning
C. Scope Definition
ANS: A
673. In which of the following scope management processes is the scope management plan
prepared?
A. Initiation
B. Scope planning
C. Scope Definition
ANS: B
674. Which of the following is not a scope management process?

A. Initiation
B. Scope planning
C. Scope Definition
ANS: D
675. The initial document that formally recognizes the existence of a project is the _____ .
A. Scope baseline
B. Management plan
C. Project charter
D. Configuration control report
ANS: C
676. Which of the following are included as part of a scope statement?

A. Project justification
B. Project deliverables
C. Project objectives
D. All of the above
E. B and C
ANS: D
677. Project life cycles are very useful for _____ and _____ .
A. Configuration management, termination
B. Objective setting, information gathering
C. Standardization, control
D. Configuration management, weekly status updates
E. Approval, termination
ANS: C
678. Work packages are used to:

A. Represent units of work at a level where work is performed.
B. Clearly distinguish one work package from all others assigned to a single functional group.
C. Limit the work to be performed to relatively short periods of time.
E. A and B only
ANS: D
679. "Hard logic" in the preparation of a network refers to:

A. Discretionay dependencies
B. External depenencies
C. Mandatory dependencies
D. All of the above
E. A abd B only
ANS: C
680. The erection of foundation formwork before the placement of foundation concrete would
be an example of a _____ dependency.
A. Discretionary
B. Mandatory
C. External
D. Soft logic
E. Subcontracted
ANS: B
681. Sources for data on activity durations and resource requirements can be gathered from
which of the following:
A. Past project records (historical data)
B. Commercial techniques (standard practices, rules of thumb)
C. Past project team members knowledge (experience, oldtimers)
D. All of the above
E. A and C only
ANS: D
682. Which of the following can affect network durations?

A. Skills of the resource pool
B. Calendar dates
C. Constraints
D. All of the above
E. A and B only
ANS: E
683. A completion of a local government study resides on your critical path. This would most
likely be referred to as:
A. Soft logic
B. Hard logic
C. An external dependency
D. A mandatory dependency
E. A lost cause
ANS: C

File 38

Uploaded by

Document Information

Original Description:

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

File 38

Uploaded by

Copyright:

Available Formats

1.

1. Communications is best described as:

2. Fixed Price contracts place more risk on the:

4. Management By Objectives assumes that the team:

5. Quality may be defined as:

9. A comprehensive definition of scope management would be:

12. Quality management:

14. Scheduling is the process by which decisions are made concerning:

15. The basic elements of communication include:

18. Cost of quality is:

19. Management plans include all of the following except:

20. The Japanese resource management model exhibits:

23. Which of the following is often overlooked in achieving effective communication?

25. A task-oriented family tree of activities is a:

27. Cost management includes:

28. Participative Management:

31. The major disadvantage of a bar chart is:

34. Standard of purchased material:

36. The utility of network-based schedules:

38. Uncertainty refers to a situation where:

39. Which of the following is closet to Deming's definition of Quality:

40. It is useful to conduct project risk assessment according to the project's

41. Management decision-making includes:

45. Which of the following are part of the purchasing cycle:

46. Which of the following is closest to Juran's definition of Quality:

47. A project element which lies between two events is called:

50. Project management/project planning is most closely aligned with:

52. Which of the following constitute Juran's "quality trilogy":

56. Most project (and non-project) managers prefer _____ communications.

57. On a precedence diagram, the arrow between two boxes is called:

61. Which of the following is an element of procurement management:

63. Assignable cause or special variation is:

65. Management reserve is generally intended to be used to:

68. The scope baseline once established and approved, is used:

70. To calculate the expected value of an outcome:

71. Activities with zero time duration are referred to as:

79. In the PDM, common constraints include:

83. Which of the following is not part of contract administration

85. Expectancy theory as applied to project management implies that:

86. Non-verbal communication includes:

88. The project scope/charter baseline includes:

89. Which of the following is not an input to quality planning?

91. Which of the following utility functions reflects risk-aversion:

94. A project can best be defined as:

95. Guidelines for estimating time durations include:

99. Affinity diagrams are used to:

108. For communication to occur, there must be:

111. The financial closeout of a project dictates that:

115. Risk management methodology should be adhered to in:

116. The most common form of written project communication is

118. The most expensive phase of life cycle costing is:

125. Giving a part of project work to a contractor is an example of:

126. Proper implementation of project management will guarantee that:

131. According to Herzberg, which of the following is a motivational factor?

132. Communication in both project and non-project-driven organizations should occur in

136. The utility of a risk seeker is:

138. Back charges refers to:

140. Job continuity would be an example of _____ in Maslow's hierarchy of needs.

143. The scope management provides:

144. Total project risk can be defined as:

149. Most quality problems:

150. The "buy or make" decision is usually made during the: