PMP Questions Scardo Errors

Question 1

Daniel is managing the development of an ecommerce website for his organization. Daniel enjoys coercive powers and has assigned Julie, a project team member, to facilitate the team meetings. During any team meeting, Julie must?
Influence team members to support the project manager’s decisions
Support the team members to challenge the project manager’s decisions
Negotiate with team members to achieve the project objectives
Remain neutral and facilitate the meetings

Answer 1

D - Since the project manager enjoys coercive powers, it seems likely that he has assigned a neutral facilitator to facilitate the team meetings. Facilitation is a management skill. A good facilitator should always remain neutral in a meeting and help facilitate consensus when required. [PMBOK 5th edition, Page 408] [Project Stakeholder Management]

Question 2

What is the primary risk with including reserves or contingency allowances in your cost estimate?
Cancelling your project
Understating the cost estimate
Overstating the cost estimate
Tracking the funds

Answer 2

C - Contingency funds are used to handle cost uncertainty due to unknown purchases that may be needed during a project. These funds are generally used for items that are likely to occur, but not certain to occur. [PMBOK 5th edition, Page 206] [Project Cost Management]

Question 3

With the establishment of a PMO in an organization, the project management jargon is being adopted by the employees. However, few people are still struggling with the project management terminologies. One of the most common confusion is the difference between a project stakeholder and a key stakeholder. Who are the key stakeholders?
Individuals, groups or organizations in a decision making position.
Individuals, groups or organizations actively involved in the project.
Individuals, groups or organizations affected by the project.
Individuals, groups or organizations carrying out the project work.

Answer 3

A - All of the given choices correctly define the project stakeholders. However, the key stakeholders are the subset of the project stakeholders that are in a decision making position. [PMBOK 5th edition, Page 396] [Project Stakeholder Management]

Question 4

Perform Integrated Change Control includes several configuration management activities. Which of the following is not part of Perform Integrated Change Control?
Change request
Configuration Verification
Configuration Status Accounting
Configuration Identification

Answer 4

A - Change request is not a valid response. The configuration management activities included in the Perform Integrated Change Control process are Configuration Identification, Configuration Status Accounting, Configuration Verification and Auditing. [PMBOK 5th edition, Page 96, 97] [Project Integration Management]

Question 5

The most detailed level of the WBS is called the \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_ .
WBS element
Work package
Project scope
Deliverable

Answer 5

B - The work package is the lowest and most detailed level of the WBS and can be scheduled, cost estimated, monitored, and controlled. [PMBOK 5th edition, Page 126] [Project Scope Management]

Question 6

Which of the following is a tool or technique used in the Monitor and Control Project Work process?
Expert judgment
Rejected change requests
Earned value technique
Change control tools

Answer 6

A - Expert Judgment is a tool or technique used in the Monitor and Control Project Work process. [PMBOK 5th edition, Page 86] [Project Integration Management]

Question 7

Mary is currently focusing on controlling the key stakeholder engagement on her project. The project management plan is an essential input to this process. Which of the following components of the project management plan is least likely to be utilized during this process?
Stakeholder communication needs and expectations
Project management processes selected for the project
Change management process
Human resource requirements

Answer 7

B - All of the given choices are the components of the project management plan that can be utilized during the Control Stakeholder Engagement process. However, the key project stakeholders are usually not interested in the minor details of the project; rather they are more interested in the project’s objectives, the current progress, and the current risks and issues. From the given choices, ‘the selected project management processes for the project’ is the weakest choice. [PMBOK 5th edition, Page 411] [Project Stakeholder Management]

Question 8

The Project Charter formally authorizes a project. Who authorizes the project charter?
The project manager
A project sponsor or initiator internal to the project
The user of the product
A project sponsor or initiator external to the project

Answer 8

D - A project initiator or sponsor external to the project, at a level that is appropriate to funding the project, authorizes the project charter. [PMBOK 5th edition, Page 68] [Project Integration Management]

Question 9

Which of the following is an input to the Develop Project Team process?
Resource Requirements
Resource Conflicts
Resource Calendars
Resource Breakdown Structure

Answer 9

C - Resource calendars are input of the Develop Project Team process. [PMBOK 5th edition, Page 273] [Project Human Resource Management]

Question 10

Which of the following is an enterprise environmental factor?
Configuration management knowledge base
Change control procedures
Historical information
Commercial databases

Answer 10

D - The commercial databases are considered enterprise environmental factors. Rest of the choices are organizational process assets. [PMBOK 5th edition, 29] [Project Framework]

Question 11

Which of the following is a classic organizational structure?
Functional
Projectized
Composite
Matrix

Answer 11

A - A functional organization is a classical organizational structure. [PMBOK 5th edition, Page 22] [Project Framework]

Question 12

If you are developing a Project Management Plan, how should you determine the level of detail to be included in the plan?
Always only provide a summary or high level plan
Include only the details your manager specifically requested
Always provide the maximum level of detail possible
Provide the level of detail based on the project complexity and application area

Answer 12

D - The level of detail required in a Project Management Plan would vary by project and would include only the details necessary for the project. [PMBOK 5th edition, Page 78] [Project Integration Management]

Question 13

In general, Perform Qualitative Risk Analysis is:
not often completed
complete and 100% accurate
in-depth and thorough
quick and cost-effective

Answer 13

D - Perform Qualitative Risk Analysis is quicker than Perform Quantitative Risk Analysis which is sometimes not required by the project. [PMBOK 5th edition, Page 328, 333] [Project Risk Management]

Question 14

During a project update meeting for the key stakeholders, the schedule of some project activities was challenged. The VP Operations challenged that some of the critical path activities cannot be executed as scheduled as they will disturb critical operations. The VP has requested rescheduling of these tasks so that they are carried out during the non-working times of the business. What should the project manager do first?
Analyze the impact of change
Record the issue in the issue log
Send the change request to the change control board for the approval
Produce a change request

Answer 14

B - All of the tasks in the choices need to be carried out. However, the question is asking for the task to be carried out first. The identified issue must be documented in the project’s issue log first. This should be captured and recorded during the meeting. Rest of the tasks can be performed after the meeting. [PMBOK 5th edition, Page 408] [Project Stakeholder Management]

Question 15

Susan is about to review her project stakeholder management plan to make some necessary adjustments. She has got her project management plan, the recent issue log and the work performance data. Which of the following inputs is still missing for this process?
Project charter
Stakeholder management plan
Project documents
Communication management plan

Answer 15

C - Since Susan is planning to adjust her project stakeholder management plan, this implies that she is about to start the Control Stakeholder Engagement process. The stakeholder management plan and the communication management plan are the components of the project management plan, hence these are already included. The project charter is not an input of the Control Stakeholder Engagement process. The missing input to the process is the project documents. [PMBOK 5th edition, Page 410] [Project Stakeholder Management]

Question 16

Which of these items are important to address when determining each person’s role in the project team?
Role, authority, responsibility, and competency
Role, responsibility, and competency
Role and responsibility
Role, authority, and competency

Answer 16

A - All four of these are important to consider when considering someone for a position within the project team: role, authority, responsibility, and competency. [PMBOK 5th edition, Page 261] [Project Human Resource Management]

Question 17

If you want to reduce the number of quality inspections and thus reduce the cost of quality control for your project, which technique should be used?
Run Chart
Defect Repair Review
Statistical Sampling
Pareto Chart

Answer 17

C - Statistical sampling will provide sufficient inspection to ensure a high likelihood of a quality product, while saving money for the project. [PMBOK 5th edition, Page 240] [Project Quality Management]

Question 18

Which of the following is not a general management technique used to generate different approaches to execute and perform the project work?
Lateral thinking
Analysis of alternatives
Map Out
Brainstorming

Answer 18

C - Alternatives Identification concerns itself with identifying techniques to generate different approaches to execute and perform the work of the project. Map-Out is not a valid technique - the other three namely brainstorming, lateral thinking and analysis of alternatives are techniques used to generate ideas for different approaches. [PMBOK 5th edition, Page 123] [Project Scope Management]

Question 19

Where would you find a detailed list and description of specific project assumptions associated with the project?
Project charter
Project scope statement
Project configuration document
Change management plan

Answer 19

B - The Project scope statement lists and describes the specific project assumptions associated with project scope and the potential impact of those assumptions if they prove to be false. The assumptions listed in the detailed project scope statement are typically more numerous and detailed than the project assumptions listed in the project charter. [PMBOK 5th edition, Page 124] [Project Scope Management]

Question 20

The date through which the project has provided actual status and accomplishments is called:
Data Date (DD)
Due Date (DD)
Project Date (PD)
Reporting Date (RD)

Answer 20

A - The date through which the project has provided actual status and accomplishments is called the data date. It is also known as the as-of date or the status date [PMBOK 5th edition, Page 184] [Project Communications Management]

Question 21

A Project Manager's primary professional responsibility is towards:
The performing organization
The project sponsor
All stakeholders
Customers

Answer 21

C - A project manager’s professional responsibilities are not limited to any one of the stakeholders. The other choices are correct but not complete by themselves. Expectations of every project stakeholder need to be managed. [PMBOK 5th edition, Page 391] [Prof. Responsibility]

Question 22

If you have an unresolved issue while working on a project, what is the best way to communicate that issue?
Assume that someone else is already working on it
Write an email describing the issue
Create an issue log
Complain to a fellow colleague

Answer 22

C - An issue log allows you to communicate, track, and resolve project issues. [PMBOK 5th edition, Page 305] [Project Communications Management]

Question 23

11. 
Which of these is not a tool or technique for the Control Procurements process?
Contract change control system
Recommended Corrective Action
Claims administration
Performance reporting

Answer 23

B - Recommended corrective action is not a tool or technique in the Control Procurements process. [PMBOK 5th edition, Page 379] [Project Procurement Management]

Question 24

You are looking at various process improvement models. Which of the following is not a process improvement model?
Malcolm-Baldrige
Organizational Project Management Maturity Model (OPM3)®
Capability Maturity Model Integrated (CMMI®)
Shewhart-Deming

Answer 24

D - Shewhart and Deming were quality management experts. The rest of the choices are process improvement models. [PMBOK 5th edition, Page 229] [Project Quality Management]

Question 25

``` As a project manager of a project, you are analyzing the costs which have incurred. Which of the following costs cannot be classified under 'Cost of non-conformance' Quality Assurance Costs Warranty costs Costs due to loss of reputation Rework costs ```

Answer 25

A - The Quality Assurance Costs are part of the cost of conformance. The cost of non-conformance includes the failure costs. [PMBOK 5th edition, Page 229] [Project Quality Management]

Question 26

You are a consulting project manager with over 15 years experience running software development projects. You have been engaged to manage a finance application project for a new customer. However on the first day onsite at the customer's headquarters you are told the project has been cancelled, but there is a need for a project manager to manage a major infrastructure project to deploy a large number of servers and storage devices. The customer asks if you would be interested in leading this project. You have never managed this type of project before but would be interested in the challenge. Which of the follow is the best response? Do not mention your lack of experience, but ask for more information about the project. After reviewing the information and see that you could probably wing the project, accept the project. Accept the job with the caveat you can bring in any needed resources to work on the project, then hire a project manager you know that works in this area to handle the implementation details. Decline the opportunity, citing your lack of experience and knowledge in this area. Do not mention your lack of experience and accept the job.

Answer 26

C - The best response is to decline the project due to lack of experience or expertise in this area. The PMI code of ethics mandates that project managers only accept assignments that are consistent with their background, experience, skills, and qualifications. Failing to disclose lack of experience and knowingly accepting a job for which you are not qualified is a violation of the code. While not presented as an option in this question, it would be acceptable to indicate your interest in the project following a full disclosure to the customer that you lack experience in this area. [Reference: PMI Code of Ethics and Professional Conduct, Page 2] [Prof. Responsibility]

Question 27

``` The WBS represents all product and project work. The total work at the lowest levels should roll up to the higher levels so that nothing is left out and no extra work is performed. This is also called as: 100% rule 80/20 rule Pareto's rule Ground rule ```

Answer 27

A - The WBS represents all product and project work. The total work at the lowest levels should roll up to the higher levels so that nothing is left out and no extra work is performed. This is also called as 100 percent rule. [PMBOK 5th edition, Page 131] [Project Scope Management]

Question 28

You are at work related social event and a colleague tells you another project manager has just hired her niece's engineering firm for a city public improvement project that you are managing. You know that this company's proposal did not meet the pre-defined selection criteria to be considered for award. What do you do? File a complaint with PMI. Escalate the issue to the appropriate management. Ask the project manager about what you have just heard. If your suspicions are confirmed, escalate the issue to the appropriate management. Do nothing.

Answer 28

C - Project managers must disclose any potential conflict of interest, and avoid both favoritism and discrimination in all situations. However, project managers may not make unfair accusations or file false or inaccurate complaints. You must first respectfully confront the project manager to ensure that you have accurate information about the situation. Doing nothing, or escalating the issue prematurely are behaviors that run counter to the code of ethics. [Reference: PMI Code of Ethics and Professional Conduct, Page 2,4,5] [Prof. Responsibility]

Question 29

You are managing a medium sized construction project, and are reviewing some invoices from the electrical contractor. You see that materials not required for your project have been included on the invoice. After making a few phone calls it becomes clear that one of your project resources asked one of the vendor's staff to add a few extra circuits to one part of the building. This change was never approved through the change management process. What do you do? Notify the manager of your project resource that he failed to follow proper processes. Refuse to pay the charges. Call a team meeting to determine how this will impact the project, then inform stakeholders of the impacts. Immediately inform the project stakeholders of the unauthorized scope change. Then call a team meeting to determine the impact to the project.

Answer 29

D - Immediately inform the stakeholders of the unauthorized scope change, then call team meeting to determine the impact. The code of ethics requires project managers to provide accurate and timely information about their projects, and to report the errors and omissions made by others when they are discovered. [Reference: PMI Code of Ethics and Professional Conduct, Page 2] [Prof. Responsibility]

Question 30

A manager asks you to evaluate four new projects that he has suggested for next year. You review the projects and notice that one is not really a project, but more an operational task. Which of these is not a project? Change the product to enable increased consumer usage Manage a set of people for the next year to deliver the desired productivity results Respond to a customer request for different product packaging Resolve a space constraint issue by building a new addition to the plant

Answer 30

B - Managing an operating team does not meet the project definition because it is not temporary or unique. [PMBOK 5th edition, Page 3] [Project Framework]

Question 31

``` The stakeholders of a project typically have: Positive objectives Negative objectives Conflicting objectives Similar objectives ```

Answer 31

C - Stakeholder expectation management is a key responsibility of a project manager as they often have conflicting objectives. [PMBOK 5th edition, Page 391] [Project Stakeholder Management]

Question 32

``` A project was estimated to cost $ 200,000 with a timeline of 10 months. Due to a shipment delay, the schedule was slightly delayed. This was however made up by receiving the first batch of materials for the project by air. The net result was that there was some additional cost in the project. At the end of the second month, the Project Manager reviews the project and finds that the project is 20% complete and Actual Costs are $ 50,000. The Estimate to complete (ETC) for the project would now be: $160,000 $210,000 $250,000 $200,000 ```

Answer 32

A - The Budget at completion (BAC) = $ 200,000 (given). The Actual Cost (AC) = $ 50,000 (given). The Earned value (EV) = ( 2 /10 ) * 200,000 since 20% of the project is complete i.e. 2 months out of 10. Hence, Earned Value (EV) = $ 40,000. This is an instance of an atypical situation in the project. Late arrival of materials does not mean that all subsequent material will arrive late. Hence, the calculation used for ETC is: ETC = BAC - EV = $200,000 - $40,000 = $160,000. [PMBOK 5th edition, Page 220] [Project Cost Management]

Question 33

You have a team of engineers working on your project. Two of the engineers have frequent disagreements. You ask them to resolve their differences through a discussion. However, that does not yield any results. Subsequently, you get involved and based on an analysis of the situation, suggest some changes in the way they work with each other. This still does not yield results and you find that the project schedule is beginning to suffer. What is you next course of action? Take Disciplinary action, if required, since the needs of the project are not being met. Don't do anything. Differences of opinion amongst the team members is a healthy situation Speak to the two team members and ask them to resolve their conflict amicably. Ensure that they work in different shifts so that they don't clash with each other.

Answer 33

A - After the project manager has tried intervening, it is time to go in for more formal conflict resolution mechanisms, such as disciplinary action. [PMBOK 5th edition, Page 283] [Project Human Resource Management]

Question 34

A project manager found that some of the project work was not done at the right time and was done in an improper sequence. What do you think was the likely issue? This is a project communications breakdown. The project manager needs to re-develop the communication management plan The Project Scope document was not properly updated. The Work Authorization System was not properly established in the project. This is due to poor teamwork.

Answer 34

C - The Work Authorization System is a subsystem of the overall project management system. It is a collection of formal documented procedures that defines how work will be authorized to ensure that work is done by the identified organization at the right time and in the right sequence. It includes the steps, documents, tracking systems and defined approval levels to issue work authorizations. The other responses could be contributory factors, but the most likely reason is that the work authorization procedure was either not properly established, or not properly followed. [PMBOK 5th edition, Page 567] [Project Integration Management]

Question 35

A contract change control system should include: Vendor contact information, tracking systems, and approval levels necessary for authorizing changes Paperwork, tracking systems, dispute resolution procedures, and approval levels necessary for authorizing changes Information database, dispute resolution procedures, and approval levels necessary for authorizing changes Tracking systems, legal ramifications for certain actions, and approval levels necessary for authorizing changes

Answer 35

B - Having a contract change control system will allow you to establish the procedures and process should you need to modify a contract. It contains paperwork, tracking systems, dispute resolution procedures, and approval levels necessary for authorizing changes [PMBOK 5th edition, Page 383] [Project Procurement Management]

Question 36

``` Linda is a project manager in charge of an online banking project. The project has completed phase 1 and is moving into the next phase of the project. Which of the following processes must be carried out first for the phase 2? Define Scope Identify Stakeholders Develop Project Charter Develop Project Management Plan ```

Answer 36

B - Linda needs to initiate the second phase of her project. There is no need to revisit the Develop Project Charter process. However, she needs to revisit the Identify Stakeholders process to determine any change in the stakeholders for the second phase of the project. Stakeholder identification is a continuous process. [PMBOK 5th edition, Page 31] [Project Stakeholder Management]

Question 37

``` The WBS is finalized by establishing control accounts for the work packages and a unique identifier from a code of accounts. This provides a structure for hierarchical summation of: Schedule and requirements information Cost and requirements information Cost and resource information Cost, schedule and resource information ```

Answer 37

D - The WBS is finalized by establishing control accounts for the work packages and a unique identifier from a code of accounts. This provides a structure for hierarchical summation of costs, schedule and resource information.[PMBOK 5th edition, Page 132] [Project Scope Management]

Question 38

``` While managing a project, you have included the product acceptance criteria in the Quality Management Plan. When reviewing your plan, a senior manager asks you look at this closely. You then realize that what you have done is incorrect. Where should you actually place the product acceptance criteria? Project Charter Change control process Project Scope Statement Scope Verification Plan ```

Answer 38

C - The project scope statement documents and addresses the characteristics and boundaries of the project and its associated products and services, as well as product acceptance criteria and scope control. [PMBOK 5th edition, Page 123] [Project Scope Management]

Question 39

``` A project manager wants to use a group decision making technique to generate, classify and prioritize requirements. Which of these is not a valid group decision making technique? Dictatorship Singularity Majority Unanimity ```

Answer 39

B - Singularity is not a valid method to reach a group decision. The other choices are valid methods to reach a group decision. [PMBOK 5th edition, Page 115] [Project Scope Management]

Question 40

``` Which of the following is an output of the Define Activity process? Milestone list Project schedule activity diagrams Resource calendar Activity duration estimates ```

Answer 40

A - A milestone list is a valid output of the Define Activity process. [PMBOK 5th edition, Page 149] [Project Time Management]

Question 41

Which of the following inaccurately describes a prototype? A prototype is tangible and allows stakeholders to fine-tune their expectations. Requirements from a prototype are usually insufficient to move to the design phase. Prototypes support the concept of progressive elaboration. A prototype is a working model of the expected product.

Answer 41

B - Prototypes usually go through multiple feedback cycles after which the requirements obtained from the prototype are sufficiently complete to move to a design or build phase. [PMBOK 5th edition, Page 116] [Project Scope Management]

Question 42

Which of the following is accurate regarding Project Integration Management? Project deliverables are not part of Integration Management It involves the integration of process groups and not individual processes The need for it becomes evident in situations where individual processes interact It involves disregarding trade-offs and focuses on clearly articulating how accomplish all requirements by the deadline

Answer 42

C - Project Integration Management is needed more where individual processes interact. [PMBOK 5th edition, Page 63, 64] [Project Integration Management]

Question 43

``` Which of the following is NOT a tool or technique of the Acquire Project Team process? Negotiation Multi-criteria decision analysis Pre-assignment Conflict management ```

Answer 43

D - Conflict management is not a tool and technique of the Acquire Project Team process. The rest of the choices are valid tools and techniques of this process. [PMBOK 5th edition, Page 267] [Project Human Resource Management]

Question 44

A company you worked for several years ago is bidding on a project your new company will be starting in approximately 6 months. You have been selected to manage the project, and will be participating in the vendor selection processes. What should you do? Notify the stakeholders of your status and excuse yourself from the vendor selection process. Provide the vendor selection committee with as much detail as you can remember about your former company so that the best decision can be reached. Notify the project stakeholders of your status as a former employee of the bidding company, and comply with their preferences for how you participate in the vendor selection process. Do nothing.

Answer 44

C - Notify the project stakeholders of your potential conflict of interest and follow their directives as to how to proceed, whether it is to excuse yourself or to fully participate. The code of ethics requires project managers to fully disclose to all project stakeholders any conflicts of interest or situations where you may unfairly influence a decision. Regardless of the project stakeholders' decision, you are still bound to respect the intellectual property of your former employer. [Reference: PMI Code of Ethics and Professional Conduct, Page 4] [Prof. Responsibility]

Question 45

What are the outputs of the Plan Procurement Management process? Procurement management plan, Procurement statements of Work, Qualified sellers lists. Procurement management plan, Qualified sellers lists, Selected sellers Procurement management plan, Procurement statements of Work, Make-or-buy decisions Procurement management plan, Qualified sellers lists, Resource calendars

Answer 45

C - Procurement management plan, Procurement statements of Work, and Make-or-buy decisions are three for the seven outputs of the Plan Procurements process. [PMBOK 5th edition, Page 358] [Project Procurement Management]

Question 46

Which of the following is accurate regarding the Estimate Activity Resources process? It produces project resource calendars as the output It determines dependencies that may require a lead or lag to define the relationship This process is coordinated independent of the Estimate Cost process It involves determining what and how many resources will be used

Answer 46

D - The Estimate Activity Resources process determines what and how many resources will be used. The resource calendars are inputs to this process and this process is closely coordinated with the Estimate Costs process. Activity leads and lags are not determined during this process. [PMBOK 5th edition, Page 160] [Project Time Management]

Question 47

In a project, Activity A has a duration of 4 days and begins on the morning of Monday the 4th. The successor Activity, B, has a Finish-to-Start (FS) relationship with A. The Finish-to-Start relationship has 2 days of lag, and Activity B has a duration of 3 days. If Saturday and Sunday are non working days, which of the following statements is true? Total elapsed days (completing both activities) is 7 days Activity B will be completed by the end of day on Thursday, 14th Activity B will be completed by the end of day on Friday, 15th. Activity B will be completed by the end of day on Tuesday, 12th

Answer 47

B - Activity A has a duration of 4 days and completes by end of the day on Thursday, 7th. There is a 2 day lag and since Saturday and Sunday are non-working, Activity B can begin only on Tuesday, 12th. Activity B has a duration of 3 days and completes by end of the day on Thursday, 14th. [PMBOK 5th edition, Page 156] [Project Time Management]

Question 48

What is the BEST way to make an accurate forecasting of ETC? EAC - AC BAC – EV Manual forecasting of cost of the remaining work. (BAC – EV)/CPI

Answer 48

C - Manual forecasting of costs for remaining work is generally the best means of generating an accurate forecast. [PMBOK 5th edition, Page 220] [Project Cost Management]

Question 49

``` Which of the following is not a valid instance of Risk Transference? Use of a Cost Reimbursable contract Warranties Fixed Price contracts Performance bonds ```

Answer 49

A - A Cost reimbursable contract does not transfer risk to the seller, rather, the risk is with the buyer. Risk Transference involves shifting the negative impact of a risk, along with the ownership of the response, to a third party. Risk transference nearly always involves payment of a premium to the party taking on the risk. Examples are use of performance bonds, warranties, fixed price contracts. [PMBOK 5th edition, Page 344] [Project Risk Management]

Question 50

``` Bar charts, with bars representing activities, show activity start dates as well as end dates and expected activity durations. For control and management communication, the broader, more comprehensive summary activity that is used between milestones is referred to as: Activity bridge Milestone chart Hammock activity Gantt chart ```

Answer 50

C - The correct response is the Hammock activity. The comprehensive summary activity that is displayed in bar chart reports for control and management communication is called Hammock activity. [PMBOK 5th edition, Page 182] [Project Time Management]

Question 51

``` he critical path method (CPM) calculates the theoretical early start and finish dates; and late start and finish dates. The difference between the late and early start of a task is called: Free float Feeding buffer Danger zone Total float ```

Answer 51

D - The difference between the early and late finish of a task is called the total float for that task. Total float is the amount of time that a schedule activity can be delayed from its early start date without delaying the project finish date. [PMBOK 5th edition, Page 177] [Project Time Management]

Question 52

``` When writing the roles and responsibilities for team members, you should document the role, authority, responsibility and competency for each team member. Where must this information be documented? Human resource management plan RACI chart Resource calendar Resource Breakdown Structure (RBS) ```

Answer 52

A - Information regarding team roles, responsibilities, authorities and competencies are documented in the Human Resource Management Plan. [PMBOK 5th edition, Page 264] [Project Human Resource Management]

Question 53

``` Project stakeholders are individuals and organizations that are actively involved in the project or have an interest in it. Which of the following is not a stakeholder? Customer Project Sponsor Competitor Project Manager ```

Answer 53

C - The competitors are affected by the project but are not actively involved in the project. Competitors are not project stakeholders. [PMBOK 5th edition, Page 30] [Project Framework]

Question 54

You are an expatriate working in a foreign country and have been asked to offer a cash payment gift to the procurement manager at a company you are bidding on work for. How BEST should you interpret this request? Agree to provide the cash payment because the procurement manager controls whether your bid is accepted. Inform the procurement manager that offering such a payment would violate your professional standards. Base your interpretation of the request on an understanding of the norms of the country you are in. Express your anger at the request and inform the procurement manager that this would never happen in your home country.

Answer 54

C - It is important to understand the local customs and standards in the area where your project is taking place. This knowledge will ensure your decisions are considered ethical. Project Managers have a responsibility to not accept or offer inappropriate payments. In some cultures it would be considered inappropriate to offer a cash payment to a company accepting bids, however, in the scenario presented it may be a lawful and accepted practice of the foreign country you are working in. In such a scenario, offering cash payment would not be an inappropriate payment. [Reference: PMI Code of Ethics and Professional Conduct, Page 2, 3] [Prof. Responsibility]

Question 55

``` Jonathan is managing a computer network deployment project at a university campus. Jonathan wants to involve the key project stakeholders in the scheduling of the major work packages. He sends out a meeting invitation to all key stakeholders for this brainstorming session. Which of the following types of communication methods has Jonathan selected for the brainstorming? Push communication Interactive communication Pull communication One-sided communication ```

Answer 55

B - Meetings are examples of interactive communication. They are neither push nor pull. Further if any meeting is one-sided communication, it is more of a lecture than a meeting. [PMBOK 5th edition, Page 295, 407] [Project Stakeholder Management]

Question 56

``` Which of the following is a control tool that helps the project management team quantify and categorize defects according to sources? Scatter chart Pareto diagram Control chart Cause and effect diagram ```

Answer 56

B - A Pareto Diagram helps the management team quantify and categorize defects. [PMBOK 5th edition, Page 237] [Project Quality Management]

Question 57

``` You have successfully passed your PMP exam and are leading a project to replace the storage devices in a data center. In the following week, you and your team of experts will be meeting with a storage device vendor to discuss the status of their deliverables that are due at week's end. What management process do these activities reflect? Plan Procurement Management Control Procurements Conduct Procurements Close Procurements ```

Answer 57

C - The other project manager has failed to follow proper policies and processes. You must report the findings to the appropriate management immediately. Project managers are required by the code of ethics to report errors and omissions to the appropriate management, whether they have been made by themselves or by someone else. [Reference: PMI Code of Ethics and Professional Conduct, Page 2] [Prof. Responsibility]

Question 58

The project management plan can best be described as: A list of tasks, activities, durations and resources in a software program (e.g., Microsoft Project) Coordinating changes across the entire project Integrating and coordinating all project plans to create a consistent, coherent document Integrating and coordinating all project documents and stakeholder expectations

Answer 58

C - The Project Management Plan is the combination of all the other management plans such as: scope management plan, risk management plan, cost management plan, etc. [PMBOK 5th edition, Page 76] [Project Integration Management]

Question 59

``` A project team is required to prepare a monthly project update report for the project key stakeholders. This report must contain the current status of the deliverables, information related to the recently approved change requests, project's health and the forecasted estimates. This report is an example of? Milestone Expert judgment Work performance information Work performance data ```

Answer 59

C - Producing a monthly report by the project team is neither expert judgment nor a milestone. The report being discussed is an information pack for the key stakeholders detailing the project's health. This report is an example of work performance information produced by transforming the work performance data collected by the project team. [PMBOK 5th edition, Page 413] [Project Stakeholder Management]

Question 60

The Risk Register contains details of all identified risks and current status. It is a document containing the results of: Plan Risk Responses Identify Risks Control Risks Perform Qualitative Risk Analysis, Perform Quantitative Risk Analysis and Plan Risk Responses

Answer 60

D - The Risk Register contains the results of the Perform Qualitative Risk Analysis, Perform Quantitative Risk Analysis, and Plan Risk Responses. It details all identified risks, including description, category, cause, probability of occurring, impact(s) on objectives, proposed responses, owners, and current status. [PMBOK 5th edition, Page 333, 341, 347] [Project Risk Management]

Question 61

``` You the project manager responsible for building a 100,000 sq. ft. data center. One of the schedule activities in your plan is to install the Computer Room Air Conditioning (CRAC) units, however in order to start the installation of the units the raised floor in the data center must be completely installed first, so the units have something to be bolted on to. This is an example of what type of dependency? External Optional Discretionary Mandatory ```

Answer 61

D - This is an example of a mandatory dependency, since the units will be bolted to the raised floor. [PMBOK 5th edition, Page 157] [Project Time Management]

Question 62

A Probability and Impact Matrix contains risks prioritized according to their potential implications for meeting the project's objectives. The typical approach is: To use a look-up table or Probability and Impact Matrix with specific combinations of Probability and impact that lead to a risk being rated as "high", "moderate" or "low" importance. The importance for planning responses to the risk are usually set by the organization. To create a Risk Breakdown Structure with the probabilities and Impacts listed on the individual boxes. The higher the risk, the closer it is towards the Start Node. To use a look-up table or Probability and Impact Matrix with specific combinations of Probability and impact that lead to a risk being rated as "high", "moderate" or "low" importance. The importance for planning responses to the risk are usually set by the project manager. To create a matrix with the Cost, Time, Scope and Quality on one axis and probability of occurrence on the other.

Answer 62

A - A look-up table or Probability and Impact Matrix with specific combinations of Probability and impact that lead to a risk being rated as "high", "moderate" or "low" importance is used. The importance for planning responses to the risk are usually set by the organization. The project manager can tailor this to the specific project during the Plan Risk Management process. [PMBOK 5th edition, Page 318] [Project Risk Management]

Question 63

Which of the following is not accurate about the initial phase of a project? The highest uncertainty is at this stage of the project The cost associated at the beginning of the project is highest Stakeholders have maximum influence during this phase Staffing levels are the highest at this stage

Answer 63

B - At the initial stage of a project, the cost is typically not at its highest. [PMBOK 5th edition, Page 40] [Project Framework]

Question 64

``` The paint on the exotic cars that are manufactured in your plant is bubbling after about a year of application. What would be the BEST tool for your team to use to find potential causes of the peeling paint? Defect Repair Review Ishikawa Diagram Control Chart Inspection ```

Answer 64

B - All the choices are tools/techniques in quality control, however the BEST choice would be the Ishikawa or Cause and Effect diagram. [PMBOK 5th edition, Page 236] [Project Quality Management]

Question 65

``` You are meeting with your team, early in the project, and would like to address all the strengths, weakness, opportunities and threats the project is facing. What tool should be used? SWOT Analysis Interviewing Delphi Technique Brainstorming ```

Answer 65

A - A SWOT Analysis chart would be the best choice. SWOT is an acronym for strengths, weakness, opportunities and threats. [PMBOK 5th edition, Page 326] [Project Risk Management]

Question 66

``` Rosemary is the project manager at a pharmaceutical company. She begins her day by analyzing her team's work requirements. She then assigns daily tasks to her team members over a centralized project management information system that then generates automatic task assignment notifications for the team members. Which of the following types of communication methods has been selected by Rosemary? Formal, push communication Informal, pull communication Formal, pull communication Informal, push communication ```

Answer 66

D - According to the PMBOK guide, emails and memos are informal communication. These are created by the author and then pushed on to the readers. [PMBOK 5th edition, Page 287, 407] [Project Stakeholder Management]

Question 67

You have just been assigned a project with an unrealistic deadline. What do you do? Do the best you can to deliver the project on time. Ask for more resources Insist that the deadlines for the project be changed. Ask for a larger budget.

Answer 67

C - It is the project manager's responsibility to push back against any unrealistic project deadlines. The PMI Code of Ethics and Professional Conduct requires project managers to stand up for the project and adhere to all project processes. Failure to do so runs counter to PMI code. [Reference: PMI Code of Ethics and Professional Conduct, Page 2] [Prof. Responsibility]

Question 68

``` You have your project team members record the time they spend on different activities during the day such as: programming, electrical, HVAC, etc. This is an example of a tool and technique in what process? Manage Communications Direct and Manage Project Work Monitor and Control Project Work Manage Project Team ```

Answer 68

C - The Monitor and Control Project Work process tracks and reviews the project's progress. [PMBOK 5th edition, Page 86] [Project Integration Management]

Question 69

``` You are working with your team and are looking at the cost risks in the project. You are your team are currently creating a tornado diagram for the project risks. This is done as a part of which of the following processes? Qualitative Risk Analysis Risk Response Planning Quantitative Risk Analysis Control Risks ```

Answer 69

C - A tornado diagram is a sensitivity analysis tool. This technique is used during the Perform Quantitative Risk Analysis process. [PMBOK 5th edition, Page 338] [Project Risk Management]

Question 70

A project team is currently assessing the project stakeholder management plan for its validity. The project documents are essential inputs to this process. Which of the following project documents must be used by the project team during this process? All project documents prepared during the project so far. Project documents prepared during the project planning. Project documents prepared during the project execution. Project documents prepared during the project initiation.

Answer 70

A - Since the project team is reviewing the project stakeholder management plan for potential adjustments, this relates to the Control Stakeholder Engagement process. Multiple project documents from all phases of the project are considered during this process. [PMBOK 5th edition, Page 411] [Project Stakeholder Management]

Question 71

``` The process of auditing the quality requirements and the results from quality control measurements to ensure appropriate quality standards and operational definitions are used is the definition of: Quality assurance Quality planning Quality control Scope validation ```

Answer 71

A - This is the definition of quality assurance. [PMBOK 5th edition, Page 242] [Project Quality Management]

Question 72

``` You are managing a software development project. The project will involve working with a remote team. One of the requirements is to set up a secure communication link. The lead-time to setup the link is 45 days. Since the initial phase of the project involves requirements gathering, you feel that the link is required only after 3 months and are planning accordingly. You would typically do this planning activity in: The Conduct Procurements process The Define Activities process The Plan Procurement Management process The Control Procurements process ```

Answer 72

C - Determining what, when and how to purchase or acquire is done during the Plan Procurement Management process. [PMBOK 5th edition, Page 358] [Project Procurement Management]

Question 73

``` As a project manager, you periodically do project performance reviews to compare cost performance over time, schedule activities or work packages over-running and under-running budget, milestones due, and milestones met. Which of the following is not a valid analytical technique? Trend Analysis Earned Value Performance Variance Analysis Interpersonal skills ```

Answer 73

D - Interpersonal skills is not a valid choice. The other three choices, namely Variance Analysis, Trend Analysis and Earned Value Performance, are analytical techniques. [PMBOK 5th edition, Page 91, 92] [Project Integration Management]

Question 74

Which of these are not inputs to the Determine Budget process? Cost baseline, requirements traceability matrix Project schedule, agreements Basis of estimates, activity cost estimates Project schedule, resource calendars

Answer 74

A - The cost baseline and the requirements traceability matrix are not inputs to the Determine Budget process. The rest are valid inputs. [PMBOK 5th edition, Page 208] [Project Cost Management]

Question 75

``` Large variations in the periodic expenditure of funds are undesirable for organizational operations. Therefore the expenditure of funds is frequently reconciled with the disbursement of funds for the project. According to the PMBOK, this is known as: Disbursement reconciliation Expenditure Reconciliation Budget Reconciliation Funding Limit Reconciliation ```

Answer 75

D - This is known as Funding Limit reconciliation. This will necessitate the scheduling of work to be adjusted to smooth or regulate those expenditures. [PMBOK 5th edition, Page 212] [Project Cost Management]

Question 76

The Earned Value Management methodology can be used as a means to: Forecast future performance based on past performance Calculate the number of days left in the project Calculate the value provided to the customer Calculate the profitability of the project

Answer 76

A - The Earned Value Management methodology can be used as a means to forecast future performance based on past performance. [PMBOK 5th edition, Page 217] [Project Cost Management]

Question 77

``` A manager asked to see a list of milestones in the project. This would be available as an output from the: Sequence Activities phase Define Scope phase Estimate Activity Durations Define Activities phase ```

Answer 77

D - The list of milestones is available as an output from the Define Activities process. [PMBOK 5th edition, Page 149] [Project Time Management]

Question 78

``` A storm has damaged the manufacturing facility that is being constructed as part of your project. You have just discovered that, although the project risk management plan mandated that the facility be insured against damage and loss, this policy was never acquired and the losses now have to be covered by the project budget. Who is at fault The risk manager The project manager The facilities manager The construction crew. ```

Answer 78

B - The project manager is at fault. It is the project manager's ultimate responsibility to ensure that all project work, policies, and processes are conducted properly. PMI requires that the project manager take ownership for his or her actions or inactions, and the consequences that arise from them. [Reference: PMI Code of Ethics and Professional Conduct, Page 2] [Prof. Responsibility]

Question 79

On a control chart, if six consecutive plot points are above the mean, then what can be established about the process? The process is out of control The process will be out of control after plotting the seventh point. The process is in control Nothing can be established

Answer 79

D - Nothing can be established. The process is out of control if seven consecutive points are either above or below the mean, or any single point is outside of the control limits. [PMBOK 5th edition, Page 238] [Project Quality Management]

Question 80

``` A point in time that a project or project phase is authorized to its completion is called: Project scope Control limit Project threshold Project boundary ```

Answer 80

D - A point in time that a project or project phase is authorized to its completion is called project boundary. [PMBOK 5th edition, Page 54] [Project Framework]

Question 81

Project performance appraisals are different from team performance assessment in that project performance appraisals focus on? Reducing staff turnover A Team building effort How each team member is performing on the project An evaluation of the project team's effectiveness

Answer 81

C - Project performance appraisals deal with how each team member is performing work, rather than how well the team is working together. [PMBOK 5th edition, Page 278, 282] [Project Human Resource Management]

Question 82

``` Costs incurred in one area of a project can offset costs in another area of the same project. However, it is not the best practice to consider only the costs of project execution when making project decisions. What must also be considered? Costs of non-conformance Planning costs Operating costs Initiating costs ```

Answer 82

C - Project Cost Management is primarily concerned with the cost of the resources needed to complete schedule activities. However, Project Cost Management should also consider the effect of project decisions on the cost of using, maintaining, and supporting the product, service or result of the project. [PMBOK 5th edition, Page 195] [Project Cost Management]

Question 83

``` You are setting up your project team and you are looking at a chart that shows that the programming will be performed by Systems Development, the infrastructure will be implemented by Infrastructure Systems, the customer communication will be handled by the Call Center. This is an example of what type of chart? RACI Organizational Breakdown Structure (OBS) Work Breakdown Structure Resource Breakdown Structure (RBS) ```

Answer 83

B - A hierarchically organized depiction of the project organization arranged so as to relate the work packages to performing organizational units is an example of Organizational Breakdown Structure (OBS). [PMBOK 5th edition, Page 261] [Project Human Resource Management]

Question 84

``` As part of the Close Procurements process, the project manager prepared a complete set of indexed contract documentation, including the closed contract, to include with the final project files. This is called a: Procurement file Documentation file Closure report Closure file ```

Answer 84

A - This detailed set of documentation is called a procurement file. [PMBOK 5th edition, Page 389] [Project Procurement Management]

Question 85

``` A summary milestone schedule would normally be part of which document? Project sign-off document Project charter Project requirements document Project scope statement ```

Answer 85

B - The summary milestone schedule is normally included as part of the project charter which documents the business need, understanding of customer's needs and other high-level items. [PMBOK 5th edition, Page 72] [Project Integration Management]

Question 86

Organizational process assets are key inputs to the Manage Stakeholder Engagement process. The key elements of the organizational process assets utilized during this process are organizational communication requirements, issue management procedures and the change control procedures. Which of the following is also a key organizational process asset that must be considered during this process? Process audit procedures Human resource policies Historical information about previous projects Project document templates

Answer 86

C - All of the given choices are organizational process assets. However, the organizational polices and templates are more relevant during the planning phase of the project. For the Manage Stakeholder Engagement process, a process from the executing process group, historical information about previous projects is considered a critical input from the organizational process assets. [PMBOK 5th edition, Page 407] [Project Stakeholder Management]

Question 87

``` Sometimes the broader, more comprehensive summary activity is also referred to as: Critical Activity Hammock Activity Milestone Group Task ```

Answer 87

B - A broader more comprehensive summary activity is sometimes referred to as a hammock activity. [PMBOK 5th edition, Page 182] [Project Time Management]

Question 88

``` A detailed milestone list is created as an output of what process? Sequence Activities Define Activities Develop Project Charter Develop Schedule ```

Answer 88

B - A detailed milestone list is created as an output of the Define Activities process and includes information on whether the milestone is mandatory or optional. Note that the project charter also contains milestone information, but at a higher level. [PMBOK 5th edition, Page 149] [Project Time Management]

Question 89

``` Accounting for the limited resources in the project schedule is called: Forward pass Critical chain method Backward Pass Critical Path Method ```

Answer 89

B - The Critical Chain Method is a schedule network analysis technique that modifies the project schedule to account for limited resources. [PMBOK 5th edition, Page 178] [Project Time Management]

Question 90

During a project status meeting, a new project manager has reported that there is a two week delay in acquiring a key resource for a task on the critical path in her project. She also states that she has built 3 weeks of float into the project schedule. What do you do? Create a proposal for the other project manager for alternate resources. Notify appropriate management that the new project manager has made a scheduling error that could cause an impact to the project outcome. Do nothing. Volunteer a resource from your team.

Answer 90

B - Notify the appropriate management immediately. PMI's code of ethics requires project managers report errors and omissions they observe or commit. Failure to do so is a violation of the code. [Reference: PMI Code of Ethics and Professional Conduct, Page 2] [Prof. Responsibility]

Question 91

``` You have the project management responsibility of a virtual team comprising team members from the same company who live in widespread geographic areas; employees who work from home-offices and employees with mobility handicaps. Virtual teams are formed as a result of which of the following processes? Acquire Project Team Plan Human Resource Management Estimate Activity Resources Develop Schedule ```

Answer 91

A - Virtual teams are formed as a result of the Acquire Project Team process. [PMBOK 5th edition, Page 271] [Project Human Resource Management]

Question 92

``` The Conduct Procurements process receives bids or proposals and applies criteria to select one or more sellers who are both qualified and acceptable as a seller. Which of the following techniques is not a valid technique for this process? Make-or-buy analysis Proposal Evaluation Techniques Advertising Bidder Conference ```

Answer 92

A - The Make-or-Buy analysis is not a valid technique in the Conduct Procurements process. All the other three choices are valid techniques. [PMBOK 5th edition, Page 371] [Project Procurement Management]

Question 93

``` A Work Breakdown Structure is a hierarchical illustration of all the work to be done in a project. A WBS component does not represent: products results services project activities ```

Answer 93

D - Upper level WBS components are decomposed into more easily managed elements, and can be process or product oriented. The lowest level of the WBS are the work packages. The project activities are obtained by further decomposing the work packages. The activities become a part of the project schedule and not the WBS. [PMBOK 5th edition, Page 131] [Project Scope Management]

Question 94

``` Probability distributions are frequently used in Perform Quantitative Risk Analysis. Which of these is not a valid example of such a distribution? Sigma distribution Logarithmic distribution Triangular distribution Beta distribution ```

Answer 94

A - The response 'Sigma distribution' is not a valid distribution. Continuous probability distributions represent the uncertainty in values, such as durations of schedule activities and costs of project components. Triangular, Beta, Logarithmic, Normal and Uniform distributions are other examples of commonly used distributions. [PMBOK 5th edition, Page 337] [Project Risk Management]

Question 95

``` Which of the following tools is used during Trend Analysis? Decision Tree Analysis Scatter Diagram Earned Value Analysis Cause and Effect Diagram ```

Answer 95

C - Earned value analysis is used as a trend analysis technique for monitoring overall project performance. [PMBOK 5th edition, Page 352] [Project Risk Management]

Question 96

You are a non-technical project manager. Two highly skilled and knowledgeable resources on your project are in conflict over the best technical solution to meet a project requirement. It is not impacting the project schedule, however. Who is initially responsible for the conflict resolution? The project sponsor is initially responsible for the conflict resolution. The project manager is initially responsible for the conflict resolution. Both team members are initially responsible for the conflict resolution. Either of team members is responsible for the conflict resolution.

Answer 96

C - Initially both the team members are responsible for the conflict resolution. If the conflict escalates, the project manager should help facilitate a satisfactory resolution. [PMBOK 5th edition, Page 283] [Project Human Resource Management]

Question 97

Which of the following endeavors is unlikely to be a project? A research paper on "The next generation of high-speed internet connectivity" Updating of data in an HR database. A new business function to support production. A new model of a laser printer.

Answer 97

B - The endeavor "Updating of an HR database" is not likely to have been a project. It is part of ongoing operations in the HR department. The other three - writing of a research paper, creation of a new business function and development of a new laser printer, are likely to have been projects. Projects can create a product or artifact, a capability to perform a service or a result such as documents from research. [PMBOK 5th edition, Page 3] [Project Framework]

Question 98

A project manager is trying to plan for a contingency reserve as part of the cost estimates for the project. Which of these would be an incorrect way to plan for contingency reserves? Start the project with a zero value for contingency reserve. Plan for contingency reserve as a fixed number. Plan for contingency reserve as a percentage of the estimated cost. Use quantitative analysis methods to arrive at the contingency reserve.

Answer 98

A - It would be incorrect to start the project with a zero value for contingency reserves. One of the three methods listed could be used to arrive at a contingency reserve number. As more precise information about the project is available, the contingency reserve may be used, reduced or eliminated. [PMBOK 5th edition, Page 206] [Project Cost Management]

Question 99

The development of requirements in the Collect Requirements process begins with an analysis of the information contained in the _________ and _________. Project charter, Stakeholder register Scope baseline, Requirements traceability matrix Scope baseline, Stakeholder register Project charter, Project scope statement

Answer 99

A - Collect Requirements is the process of defining and documenting stakeholders' needs to meet project objectives. The development of requirements begins with an analysis of the information in the project charter and the stakeholder register. [PMBOK 5th edition, Page 111] [Project Scope Management]

Question 100

``` Melissa is managing a hardware deployment project, and is creating a risk management plan. Which of the following would NOT be included in this plan? Templates Roles and responsibilities Budgeting Methodology ```

Answer 100

A - Templates is not a valid response. The rest of the choices are typical components of a Risk Management Plan. [PMBOK 5th edition, Page 316] [Project Risk Management]

Question 101

``` You are decomposing your WBS into smaller pieces of work. What is one item that does NOT describe how far the work should be decomposed? Until it can be realistically estimated Can't be subdivided any further Until a meaningful conclusion Cannot be decomposed more than 10 levels ```

Answer 101

D - WBS components are decomposed until work packages are identified that can be estimated easily. There is no hard and fast rule regarding the number of levels in a WBS. [PMBOK 5th edition, Page 128] [Project Scope Management]

Question 102

Factors that influence conflict resolution methods include EXCEPT: Position taken by persons involved. Relative importance and intensity of the conflict. Political influence of the persons involved. Time pressure for resolving the conflict.

Answer 102

C - The political influence of the persons should not influence the project manager facilitating a resolution. This is against the PMI Code of Ethics and Professional Conduct. The rest of the choices are valid factors that influence conflict resolution methods. [PMBOK 5th edition, Page 283] [Project Human Resource Management]

Question 103

``` A RAM diagram shows the relationship between ______________ and _____________ in a tabular format. Cause and effect Risks and mitigation plans Deliverables and costs Work packages and project team members ```

Answer 103

D - A responsibility assignment matrix (RAM) chart is used to illustrate the connections between work packages and project team members. [PMBOK 5th edition, Page 262] [Project Human Resource Management]

Question 104

You took over a project from an individual who was let go. You are reading the project documentation and found the project charter was signed by five managers. What should be your primary concern at this time? Determining reporting structure Communicating in a matrix organization Getting a single sponsor Identifying who can represent the project for change control

Answer 104

C - A charter should be issued, signed and updated by the project sponsor. Your immediate concern should be find a single sponsor for the project. Note though, that the sponsor can be a single person or group. [PMBOK 5th edition, 68] [Project Integration Management]

Question 105

``` How would you calculate your EAC if the ETC work will be performed at the budgeted rate? EAC = BAC/CPI EAC= BAC-EV EAC = AC + BAC - EV EAC=(BAC-EV)*CPI ```

Answer 105

C - If the remaining project work is expected to be performed at the budgeted rate, the formula for EAC is AC + (BAC - EV). [PMBOK 5th edition, Page 220] [Project Cost Management]

Question 106

A project consists of multiple phases. Which of the following is a valid statement and applies to each phase of the project? Each phase is generally concluded with a review of the work accomplished but is only closed if the next phase has already been started. Each phase of the project is considered complete when the project sponsor signs off on that phase of the project. Each phase of the project is generally concluded with a review of the work accomplished and deliverables to determine acceptance and whether the phase should be considered closed. Each phase is generally concluded with a review of the work accomplished. A phase is never considered complete until the end of the project when the entire project can be deemed complete.

Answer 106

C - A project phase is generally concluded with a review of the work accomplished and the deliverables to determine acceptance, whether extra work is still required and to decide whether the phase should be considered closed. The other options are not valid. [PMBOK 5th edition, Page 41] [Project Framework]

Question 107

``` Your team has built an exotic sports car for a wealthy client. Every deliverable has been verified by the project team against the quality requirements and accepted by the client. Now the Project Manager is reviewing the car to ensure it meets the specifications of the client, as agreed to in the project plan. What project management process is represented here? Closing Monitoring and Controlling Planning Execution ```

Answer 107

A - It must be noted that the car has been built and the Control Quality and Validate Scope processes have been performed for every deliverable. The question is asking about PRODUCT verification, which occurs during the closing process. [PMBOK 5th edition,Page 100] [Project Integration Management]

Question 108

``` Jonathan has recently been hired in a company as a business improvement manager. Jonathan has been asked to reorganize the company's meetings and reporting structure. Jonathan is currently identifying all key project stakeholders. Which of the following enterprise environmental factors is least likely to be used as an input to this process? Organizational culture and structure Existing human resources Project management information system. Industry standards ```

Answer 108

C - All of the given choices are enterprise environmental factors. However the project management information system is not used during the initiating stage of a project. The rest of the choices are important enterprise environmental factors that need to be considered at this stage. [PMBOK 5th edition, Page 395] [Project Stakeholder Management]

Question 109

``` The cost of running a project management office is an example of what type of cost? Reimbursable Fixed Direct Indirect ```

Answer 109

D - Indirect costs are those costs that cannot be directly traced to a specific project. These costs are accumulated and allocated equitably over multiple projects by an approved and documented accounting procedure. [PMBOK 5th edition, Page 202] [Project Cost Management]

Question 110

``` Which of the following enterprise environmental factors is not applicable to the Plan Human Resource Management process? Organizational culture and structure Existing human resources Personnel administration policies Lessons learned ```

Answer 110

D - Lessons learned from historical projects are important inputs to the Plan Human Resource Management process. However, these are classified as organizational process assets. [PMBOK 5th edition, Page 260] [Project Human Resource Management]

Question 111

``` Organizational process assets are an input to all of the following Stakeholder Management processes EXCEPT: Identify Stakeholders Manage Stakeholder Engagement Plan Stakeholder Management Control Stakeholder Engagement ```

Answer 111

D - Organizational process assets are not input to the Control Stakeholder Engagement process. [PMBOK 5th edition, Page 392] [Project Stakeholder Management]

Question 112

After receiving some news about a delay on one of your project tasks, you reviewed the schedule to determine how it will impact the project. While there is a substantial delay on this task, it is not a critical path item and will not impact delivery of any of your milestones. Another project manager advises you to only present the milestone chart during your meeting with the project stakeholders and tell them the project is progressing as planned. What do you do? Present the project as a milestone chart and advise that the progress is tracking according to plan. Present the schedule in a milestone chart and disclose full details of the delay. Present the schedule in a network diagram and advise that the project is tracking according to plan. Present the schedule as a bar chart and advise that the project is tracking according to plan.

Answer 112

B - Present the schedule as a milestone and disclose the details of the delay. Concealing delays is a violation of the PMI Code of Ethics and Professional Conduct. Project Managers must provide accurate and timely information. Providing half-truths about a project's schedule is not permitted. [Reference: PMI Code of Ethics and Professional Conduct, Page 4] [Prof. Responsibility]

Question 113

``` A planning technique used to provide products, services and results that truly reflect customer requirements by translating those customer requirements into the appropriate technical requirements for each phase of project product development is called: Six Sigma PDCA Voice of the Customer ISO ```

Answer 113

C - The correct response is 'Voice of the Customer'. This is one of the non-proprietary approaches to quality management. In this planning technique, the customer's requirements are exactly met in the finished product during each phase of the project. [PMBOK 5th edition, Page 566] [Project Quality Management]

Question 114

``` Statistical sampling involves choosing part of a population for inspection. Appropriate sampling can often ___________the cost of quality control. neutralize reduce increase mitigate ```

Answer 114

B - Appropriate sampling can often reduce the cost of the quality control. In some application areas, it may be necessary for the project management team to be familiar with a variety of sampling techniques. [PMBOK 5th edition, Page 240] [Project Quality Management]

Question 115

``` Predicting future performance based on historical events is called ___________. Historical analysis Trend analysis Parametric analysis Pareto analysis ```

Answer 115

B - Trend analysis is an analytical technique that uses mathematical models to forecast future outcomes based on historical results. It is a method of determining the variance from a baseline of a parameter by using prior progress reporting periods' data and projecting how much that parameter's variance from baseline might be at some future point in the project if no changes are made in executing the project. [PMBOK 5th edition, Page 188] [Project Time Management]

Question 116

``` A project manager is using a Risk Diagramming technique that is a graphical representation of situations showing causal influences, time ordering of events and other relationships among variables and outcomes. This would be: A System flow chart An Influence Diagram Pareto chart Risk flow diagram ```

Answer 116

B - A Diagramming technique that is a graphical representation of situations showing causal influences, time-ordering of events and other relationships among variables and outcomes is known as an Influence Diagram. The Cause-and-effect diagram also identifies the causes of risk, but does not have the time-ordering of events. [PMBOK 5th edition, Page 325] [Project Risk Management]

Question 117

``` You are a project manager for Enormous Co. and are currently engaged in a highly visible project. The company is about to implement an independent review to ensure that the project work is continuing to comply with the project's policies, processes, and procedures. During which process would this review occur? Close Project or Phase Control Quality Control Risks Perform Quality Assurance ```

Answer 117

D - Quality audits are performed during the Perform Quality Assurance process. [PMBOK 5th edition, Page 247] [Project Quality Management]

Question 118

Which option is NOT representative of the inputs, tools and techniques, and outputs of the Direct and Manage Project Work process? PMIS, Project Management Plan, and Deliverables Deliverables, Approved Change Requests, and Project Management Information System Approved Change Requests, Validated Changes, and PMIS Approved Change Requests, Project Management Plan, and Work Performance Data

Answer 118

C - Validated Changes are not input, tools and technique, or output for the Direct and Manage Project Work process. [PMBOK 5th edition, Page 79] [Project Integration Management]

Question 119

``` As part of the Risk Response planning for your project, you are trying to come up with a strategy to deal with negative risks or threats. In order to eliminate the impact of a particular risk, you relax the objective that is in jeopardy by extending the project schedule. This is an example of Transference Mitigation Avoidance Postponement ```

Answer 119

C - This is an example of avoidance. It involves changing the project management plan to eliminate the threat posed by an adverse risk, isolating the project objectives from the risk's impacts or to relax the objective that is in jeopardy, such as extending the schedule or reducing scope. Transference involves shifting the negative impact of a threat along with the ownership of the response. Mitigation implies a reduction in the probability and/or impact of an adverse risk. Postponement is not a valid strategy since it does not address the risk. [PMBOK 5th edition, Page 344] [Project Risk Management]

Question 120

``` Which of the following is NOT considered a method in the Manage Communications process? Change control systems Communication technology Performance reporting Information management systems ```

Answer 120

A - The change control system is not a tool and technique of the Manage Communications process. The rest of the choices are valid tools and techniques of this process. [PMBOK 5th edition, Page 297] [Project Communications Management]

Question 121

Ground rules are established to set clear expectations regarding acceptable behavior by the project team members. Whose responsibility is it to enforce ground rules? The project manager All project team members share the responsibility for enforcing the rules once they are established The HR team The project manager and senior team members

Answer 121

B - All project team members share responsibility for enforcing the rules once they are established. [PMBOK 5th edition, Page 277] [Project Human Resource Management]

Question 122

``` Which of the following is not a tool and technique of the Plan Human Resource Management process? Organizational theory Networking Organization charts Rewards and recognition ```

Answer 122

D - Rewards and Recognition is a tool and technique used in the Develop Project Team process and not in the Plan Human Resource Management process. [PMBOK 5th edition, Page 257] [Project Human Resource Management]

Question 123

``` A team of engineers is reviewing the architecture diagram for a new ERP system being deployed at a large accounting firm. The engineers are discussing the impact of the failure of each node in the diagram on overall availability of the final product. The intent of the discussion is to minimize the likelihood of failure and the effects of any failure. What is this called? SWOT Analysis Quantitative Analysis Failure Mode and Effect Analysis Deming Cycle ```

Answer 123

C - Failure Mode and Effect Analysis is an analytical procedure in which each potential failure mode in every component of a product is analyzed to determine its effect on the reliability of that component and the reliability of the product or system as a whole. [PMBOK 5th edition, Page 540] [Project Risk Management]

Question 124

A key output of Plan Human Resource Management is a list of project roles and responsibilities. What should this document include? Work packages, Effort, Authority, Duties Role, Responsibility, Authority, Risk Role, Title, Resource Cost, Responsibility Role, Authority, Responsibility, Competency

Answer 124

D - The following items should be addressed when listing the roles and responsibilities of team members needed to complete the project: role, authority, responsibility, competency. [PMBOK 5th edition, Page 264] [Project Human Resource Management]

Question 125

``` What is the best way to show, at a glance, all the work packages or project activities assigned to a specific organizational department? Organizational Breakdown Structure RACI chart Work Breakdown Structure Roles and Responsibilities Chart ```

Answer 125

A - The organizational breakdown structure (OBS) looks similar to the WBS, but instead of being arranged according to a breakdown of project deliverables, it is arranged according to an organization's existing departments, units, or teams. [PMBOK 5th edition, Page 261] [Project Human Resource Management]

Question 126

``` All of the following are components of an effective change control, EXCEPT: Variance analysis Expert judgment Change control tools Meetings ```

Answer 126

A - Variance analysis is not a tool and technique of the Perform Integrated Change Control process; the rest of the choices are valid tools and techniques of this process. [PMBOK 5th edition, Page 94] [Project Integration Management]

Question 127

A first-time project manager was assigned to a project that had a duration of 3 months. In order to gain a head start in the project, she took an older, completed project and incorporated all the tools, techniques and checklists from that project in their entirety into the current one. The older project had been completed in 14 months' time and was very similar in nature. The most appropriate comment on this would be: This is an excellent example of reuse of artifacts from prior projects. This may be unnecessary. The project management team needs to decide what is appropriate for the project. This is not the correct procedure. The project manager should always create processes and documents afresh for new projects. This is not correct. The project manager is violating copyright and intellectual property rights of the organization's prior customers.

Answer 127

B - The correct response is that this may be unnecessary. The project management team needs to decide what is appropriate for the project. Since the prior project had a duration of 14 months and the current one is of 3 months' duration, it is unlikely that the current project will have exactly the same processes applied. Some amount of tailoring will be required. The other responses are not valid. It cannot be said with certainty that the project manager will not be violating copyright and intellectual property rights of prior customers. Most organizations have very clear guidelines on what information can go into their organizational assets' database. [PMBOK 5th edition, Page 47] [Project Framework]

Question 128

``` A project is contracted as a Cost-Plus-Fixed-Fee (CPFF) type of contract. The targeted cost is US$ 200,000 with a fee of US$ 30,000. If the project comes in at US$ 170,000, what would be the cost of the total contract? US$ 195,500 US$ 230,000 US$ 200,000 US$ 170,000 ```

Answer 128

C - In a Cost-Plus-Fixed-Fee (CPFF) type of contract, the seller is reimbursed for allowable costs and receives a fixed fee payment calculated as a percentage of the estimated project costs. The fixed fee does not vary with actual costs unless the project scope changes. In the current scenario, the fixed fee is fixed up as US$ 30,000. Although the actual project comes in at 170,000, the fixed fee remains the same. Hence the total cost to the project will be 170,000 + 30,000 = 200,000. [PMBOK 5th edition, Page 364] [Project Procurement Management]

Question 129

``` A project is contracted as a Cost-Plus-Incentive-Fee (CPIF) type of contract. The project is negotiated such that if the final costs are less than expected costs, the sharing formula for cost savings is 80:20. The targeted cost is US$ 500,000 with a 10% fee. If the project comes in at US$ 450,000, what would be the cost of the total contract? US$ 495,000 US$ 510,000 US$ 505,000 US$ 550,000 ```

Answer 129

B - In a Cost-Plus-Incentive-Fee (CPIF) type of contract, the seller is reimbursed for allowable costs for performing the contract work and receives a predetermined fee. In some cases, if the final costs are less than the expected costs, then both the buyer and the seller benefit from the cost savings based on a pre-negotiated sharing formula. In the current situation, the predetermined fee is 10% of US$ 500,000 = US$ 50,000. Since the project came in at US$ 450,000, the savings is 500,000 - 450,000 = 50,000. The sharing formula is 80:20, hence the additional payout to the seller = (20/100) * 50,000 = 10,000. Hence the value of the total contract = 450,000 + 50,000 + 10,000 = US$ 510,000. [PMBOK 5th edition, Page 364] [Project Procurement Management]

Question 130

``` A project is contracted as a Cost-Plus-Fixed-Fee (CPFF) type of contract with a fee of 10% of estimated costs. The estimated cost is US$ 50,000. If the project comes in at US$ 75,000 with no changes in project scope, what would be the total cost of the contract? US$ 55,000 US$ 125,000 US$ 75,000 US$ 80,000 ```

Answer 130

D - In the Cost-Plus-Fixed-Fee (CPFF) type of contract, the seller is reimbursed for allowable costs for performing the contract work and receives a fee calculated as an agreed-upon percentage of the costs. The costs vary depending on the actual cost. The fee is based on estimated costs unless the scope of the project changes. For the current project, the agree-upon percentage of costs is 10%. The actual cost is US$ 75,000 even though the initial estimate was US$ 50,000. However, the fee is calculated as 10% of 50,000 = (10/100) × 50,000 = 5,000. The total cost of the contract is 75,000 + 5,000 = US$ 80,000. [PMBOK 5th edition, Page 364] [Project Procurement Management]

Question 131

``` You have been asked by your project manager to help them create a chart that illustrates the project resources that will be working on each work package. What would be the best type of chart to use? Milestone chart RACI chart Project organization chart WBS ```

Answer 131

B - RACI stands for responsible, accountable, consult, and inform. This is a type of responsibility assignment matrix that is used to illustrate the relationship between work that needs to be completed and team members. In a RACI chart, a matrix is created with work packages making up the rows, and team member roles in the columns. Typically, a RACI chart assumes that one person will be accountable for a work package and more than one person may be responsible for completing the work package. [PMBOK 5th edition, Page 262] [Project Human Resource Management]

Question 132

You are managing a project for your company constructing an office complex in another country. The construction work on 2 of the buildings is complete and is ready for move-in. However, the construction foreman informs you that a fee must be paid to a local government agency in order to be issued an occupancy permit for all new construction in that country. What should you do? Pay the fee. Ask your legal department if this is legal. Notify project stakeholders that you have been asked to pay a bribe. Do not pay the fee.

Answer 132

A - Pay the fee to the local agency. Because it is a standard fee for a permit that is required of all new construction permits, it is not a bribe. PMI's Code of Ethics and Professional Conduct prohibit accepting or paying bribes. [Reference: PMI Code of Ethics and Professional Conduct, Page 2] [Prof. Responsibility]

Question 133

``` You are the Project Manager for JT's Lumber Yard. You are trying to forecast estimates for the last phase of the project you are currently working on. Based on the performance of the project to date, which formula can be used to estimate the total value of the project when completed assuming similar variances will not occur? ETC = (BAC - EV)/CPI SV = EV - PV CPI = EV/AC EAC = AC + BAC - EV ```

Answer 133

D - The formula EAC = AC + BAC - EV is used to determine the total value of the project when completed assuming similar variances will not occur for the uncompleted project activities. [PMBOK 5th edition, Page 220] [Project Cost Management]

Question 134

``` A measure taken to bring future results in line with the project plan BEST describes? Change request Preventive action Corrective action Defect repair ```

Answer 134

C - A corrective action is anything that needs to be done to bring the project back on track. [PMBOK 5th edition, Page 81] [Project Integration Management]

Question 135

Stacy is producing a documentary on African wildlife. Although the project key stakeholders are very supportive of the project, Stacy believes that there are some stakeholders' concerns that might become major problems in the future. What should Stacy do? Treat them as project issues and address them immediately. Wait till these concerns become a problem. Request the stakeholders if they can resolve these concerns by themselves. Add these concerns to the risks watch list.

Answer 135

A - It's the project manager's duty to manage the project stakeholders' expectations. Stacy must not wait till the concerns become a problem. Rather, she needs to treat them as project issues and immediately address them. A risks watch list records low probability risks, transferring this risk to the watch list is not a good idea. [PMBOK 5th edition, Page 405] [Project Stakeholder Management]

Question 136

``` The manager of a project, that your company is running in another country, is at the corporate headquarters for a company-wide project management meeting. During a break, you overhear the project manager discussing payments made to local municipal governments for construction permits for his project. Your company has a strict policy about paying or taking bribes. What should you do? Report him to PMI. Report him to his manager. Notify his project stakeholders. Do nothing. ```

Answer 136

D - Do nothing. Fees paid to government organizations to cover the administrative costs associated with issuing various type of permits is a common practice in many parts of the world. These payments are not considered bribes. PMI's code prohibits project managers from engaging in bribery, and to report others who do to the appropriate management. In this case, however, there is nothing to report. [Reference: PMI Code of Ethics and Professional Conduct, Page 4] [Prof. Responsibility]

Question 137

``` A project has several teams. Team C has repeatedly missed deadlines in the past. This has caused team D to have to crash the critical path several times. As the team leader for team D, you receive word that the next deadline may also be missed. You should meet with the: Project Manager alone Project manager and Management Manager of Team D Project Manager and the leader of team C ```

Answer 137

D - Those having the problem should resolve the problem. Having had to crash the critical path several times implies that team D has already dealt with these problems. In this case, the two team leaders need to meet. The extent of this situation requires the project manager's involvement as well. [PMBOK 5th edition, Page 283] [Project Human Resource Management]

Question 138

``` A project manager would find team development to be the MOST difficult in which type of organization? Functional organization Projectized organization Weak matrix organization Balanced matrix organization ```

Answer 138

A - A project manager has the least authority in a functional organization. Hence, managing team building activities is difficult in such organizations in contrast to other organizational types. [PMBOK 5th edition, Page 22] [Project Framework]

Question 139

``` The project sponsor asks you to increase budget estimates by 25% to ensure that enough funds are budgeted for the project. What should you do? Add 25% to your contingency reserves. Fast track the project. Add 25% to all costs across the board. Ask for additional information ```

Answer 139

D - Ask for additional information on the risks that would cause the original budget estimates to be too low. Simply increasing the project budget by 25% without identifying the underlying reasons means you are providing inaccurate information. PMI's Code of Ethics requires project managers to provide accurate information at all times. [Reference: PMI Code of Ethics and Professional Conduct, Page 4] [Prof. Responsibility]

Question 140

You are a Project Manager creating the final project file. Which information would you NOT include in this file? Project calendars Lessons learned from previous similar projects Risk response actions Scope management plan

Answer 140

B - The lessons learned from the previous similar projects are used throughout the project. These are already part of the organizational process assets, and are not recorded in the final project file. [PMBOK 5th edition, Page 104] [Project Integration Management]

Question 141

Which statement is NOT true about the configuration management system? The configuration management system doesn't include change tracking system. It documents the functional and physical characteristics of a product. The configuration management system is a sub-component of the overall project management system. The configuration management system will define procedures to control any changes.

Answer 141

A - The configuration management system includes a change tracking system. [PMBOK 5th edition, Page 532] [Project Integration Management]

Question 142

You are a PMP who is nearing the end of an important project. You have spent considerable energy on this project nurturing a cooperative relationship between your organization and the customer. What is the customer's MOST important role in bringing the project to a close? The customer is delivered the last shipment of the product, service, or result The customer acknowledges the delivery of the last shipment of the product, service, or result The customer provides formal acceptance of the product, service, or result The customer makes a final payment for the work completed on the project

Answer 142

C - It is important that the customer provides formal acceptance of the product, service, or result of the project. This should include a written statement that identifies that the company has fulfilled all the project requirements. This protects the organization and customer over confusion whether all terms within the project have been satisfactorily met. The project cannot be closed if a formal acceptance is not made. [PMBOK 5th edition, Page 134] [Project Scope Management]

Question 143

All of the following statements are true about the cause and effect diagram EXCEPT? A maximum of six causes are listed on the cause and effect diagram. Ishikawa is another name for the cause and effect diagram. The effect being studied is normally stated at the head of the diagram. The cause and effect diagram is one tool that can be used for problem solving.

Answer 143

A - While listing six causes is possible, there is no rule that states a maximum of six causes can be listed. You could list four or eight for example. [PMBOK 5th edition, Page 236] [Project Quality Management]

Question 144

You are a Project Manager for Groceries R' US, a supermarket chain, and are currently working on a project to build a new outlet. The planned values (PV) for the foundation and the frame are $150,000 and $500,000. After five months, you do a performance measurement analysis. You are currently not ahead of schedule. The actual costs for the foundation and frame were $175,000 and $650,000 up to this point where 100% of the foundation is complete and only 80% of the frame is complete. Which value represents the cost performance index (CPI) to two decimal places at this point in the project? 0. 84 1. 5 0. 67 1. 19

Answer 144

C - Get the total for the actual costs by adding the $175,000 and $650,000 for the foundation and frame. The total is $825,000. Now calculate earned value. We need to identify all of the activities that have been completed or partially completed as of the measurement date. If partially completed, we calculate the fractional value of the budgeted cost for the activity by the percent completion. Add together the budgeted cost for completed or partially completed work activities, INCLUDING any work that has been performed ahead of schedule. We are told that we are not ahead of schedule. So there is nothing to include for the ahead of schedule category. 100% of the foundation is complete and only 80% of the frame is complete. So we add 100% of $150,000 and 80% of 500,000, which is $400,000, together to get a total earned value of $550,000. Now find the CPI by taking the total for EV $550,000 up to this point and dividing it by the total of the actual cost $825,000 for the same time period. The result for CPI is 0.67. [PMBOK 5th edition, Page 219] [Project Cost Management]

Question 145

You are a Project Manager for a company that has a composite organization structure. The current project you are managing is coming to an end. There are a number of activities that need to be completed including releasing project resources. All of the following statements are examples or true statements related to releasing project resources in this company EXCEPT? Documenting the release date for project resources in the project management plan Transferring project equipment to the regular operations of the company Reassigning project team members to a new project within the company Transferring the documented lessons learned into the lessons learned database

Answer 145

D - Transferring the documented lessons learned into the lessons learned database is not linked with reassigning of project team members or transferring of project equipment at the end of the project. Lessons learned track project successes and failures, which would include factors that led to the project being cancelled. It's important to archive or transfer these records to a lessons learned knowledgebase for reference on future projects. [PMBOK 5th edition, Page 266] [Project Human Resource Management]

Question 146

``` You have been asked to determine the logical relationships, leads, and lags for the activities that make up a project. What would be the BEST technique to use? Resource Smoothing Critical Path Method What-If scenario analysis. Resource Leveling ```

Answer 146

B - The critical path method is a technique that calculates the earliest and latest possible start and finish times for work activities in a project. [PMBOK 5th edition, Page 176, 177] [Project Time Management]

Question 147

``` A communications management plan should include all of the following, EXCEPT: Glossary of Common Terminology Escalation List/Contacts Person that will issue weekly reports Risk Register ```

Answer 147

D - The Risk Register is part of Risk Management and is not included in the Communications Management Plan. [PMBOK 5th edition, Page 296] [Project Communications Management]

Question 148

``` You are the Project Manager and are responsible for the development of a mall. As with any construction project, there will be multiple iterations of blueprints and engineering drawings, so you have decided to create an online database that can be used to query the documents by name, type, date, etc. This is an example of what type of communication tool? Project Management Information System Lessons Learned Project Records Configuration Management System ```

Answer 148

A - The online database is an example of a Project Management Information System. [PMBOK 5th edition, Page 554] [Project Communications Management]

Question 149

``` You are working on a project where all the team members are located in geographically different areas, therefore all the communication is done via e-mail and chat. It is sometimes hard to get the true meaning of these messages because you can't see facial expression or hear tone of voice, this is an example of? Encoding Medium Decoding Noise ```

Answer 149

D - Anything that interferes with the meaning of a message is considered noise. [PMBOK 5th edition, Page 293] [Project Communications Management]

Question 150

You are reviewing a project with Tom, a new project manager. While discussing the communication requirements with Tom, you find that he has an impression that a project with 'n' number of stakeholders has 'n' communication channels. You are aware that this is wrong. What is the right answer? No of channels = n(n+1)/2 where n = number of stakeholders No of channels = (n+1)*(n-1)/2 where n = number of stakeholders No of channels = n(n-1)/2n where n = number of stakeholders No of channels = n(n-1)/2 where n = number of stakeholders

Answer 150

D - The correct response is n(n-1)/2 where n = number of stakeholders. [PMBOK 5th edition, Page 292] [Project Communications Management]

Question 151

``` An external auditor is auditing the quality of your project's management processes. Which of the following processes this activity relates to? Control Quality Perform Quality Assurance Validate Scope Control Procurements ```

Answer 151

B - This is an example of a quality audit by an external auditor. This is a tool and technique of the Perform Quality Assurance process. [PMBOK 5th edition, Page 247] [Project Quality Management]

Question 152

You have completed your estimates for your project and determined that it will take 10 months to complete. However, your project sponsor insists that it be completed in 9 months. How do you handle this? Increase the budget by 10% Inform the sponsor you will have to explore the options before committing to that timeline. Reduce scope Add resources

Answer 152

B - Inform the sponsor you must explore other options before committing to that timeline. Changing the budget, reducing scope, or adding resources are activities that must be agreed upon by the project stakeholders before you can proceed. PMI requires project managers to provide timely and accurate information, and to follow all decision making processes and policies. [Reference: PMI Code of Ethics and Professional Conduct, Page 2,4] [Prof. Responsibility]

Question 153

``` Lois is a project manager managing a town-development project. She has set up a series of interviews with various stakeholders to gather some experiential and historical information on risks. Which phase is this likely to happen in? Perform Qualitative Risk Analysis Plan Risk Responses Understand Risks Perform Quantitative Risk Analysis ```

Answer 153

A - This is an example of obtaining Expert Judgment during the Perform Qualitative Risk Analysis process. The Perform Quantitative Risk analysis process numerically analyzes the prioritized project risks obtained through the Perform Qualitative Risks Analysis process. [PMBOK 5th edition, Page 333] [Project Risk Management]

Question 154

``` Which of the following models describes stakeholders based on their power, urgency and legitimacy? Influence / Impact grid Power / influence grid Power / Interest grid Salience model ```

Answer 154

D - The Salience model describes stakeholders based on their power (ability to impose their will), urgency (need for immediate attention) and legitimacy (their involvement is appropriate). Based on this classification, the potential impact of each stakeholder is then assessed. [PMBOK 5th edition, Page 396] [Project Stakeholder Management]

Question 155

As part of the procurement process, the procuring organization elected to have an estimate of costs prepared by an outside professional estimator. The estimator came up with an estimate of $ 500,000. However, the cost estimates prepared by prospective sellers were in the range of $ 200,000. How can this be best interpreted? The procurement statement of work was deficient and ambiguous. The professional estimator has inflated the estimate of costs. The prospective sellers do not have the required skills to do the project. Prospective sellers are trying to underbid and win the project.

Answer 155

A - When prospective bids are significantly different from the estimates prepared by a professional estimator, it likely means that the procurement statement of work (SOW) was deficient or that the prospective sellers have misunderstood the procurement SOW. The other choices jump to conclusions without relevant data. It is possible that prospective sellers do not have the skills or are trying to underbid, but in this case, all of them are off by a large percentage. Hence it points to a deficient statement of work. [PMBOK 5th edition, Page 376] [Project Procurement Management]

Question 156

Mark is managing a water distribution network design project. The project is currently in the planning phase. During the Plan Stakeholder Management process, Mark feels the need to update the project stakeholder register. What should Mark do? Mark should update the stakeholder register; the stakeholder register can be updated during the Plan Stakeholder Management process. Mark does not have to update the stakeholder register; he can capture all the required updates in the stakeholder management plan. Mark cannot update the stakeholder register during the planning phase of the project. Mark needs to issue a change request in order to update the stakeholder register.

Answer 156

A - Project document update is the output of the Plan Stakeholder Management process. The stakeholder register can be updated during this process. Further, the stakeholder register is not a part of the project management plan; updates to the stakeholder register do not require a formal change control. [PMBOK 5th edition, Page 404] [Project Stakeholder Management]

Question 157

Lena is managing the construction of a new office facility for her company. The project is half way through the execution. The project sponsor has asked Lena to ensure that all they key project stakeholders are still committed to the project. How can Lena assess the stakeholders' current engagement levels? By analyzing the most recent issue register By reviewing the Stakeholders Engagement Assessment Matrix last updated during the planning phase of the project By requesting the key stakeholders to submit a signed declaration of commitment By communicating and interacting with the key stakeholders

Answer 157

D - The stakeholders' current engagement levels can be determined by communicating and interacting with them. Reviewing the Stakeholders Engagement Assessment Matrix developed during the planning phase of the project won't help much if it hasn't been reviewed since then. Analyzing the issue register can indicate stakeholder engagement levels but this document alone is not sufficient to determine the current engagement levels. Asking the stakeholders to sign a declaration of commitment is ridiculous. [PMBOK 5th edition, Page 405] [Project Stakeholder Management]

Question 158

``` A number of identified risks occurred early in a project. As a result, most of the project objectives ended up in jeopardy. The project manager decided to present a case to management that the project be closed down. This is an example of: Risk Acceptance Risk Mitigation Risk Avoidance Risk Transfer ```

Answer 158

C - Risk avoidance involves changing the project management plan to eliminate the risk entirely. Although an extreme situation, entirely shutting down a project constitutes a radical avoidance strategy. [PMBOK 5th edition, Page 344] [Project Risk Management]

Question 159

You have just been hired by a waste management company to start a solid waste management program in an under-developed country. The project will be on a build-operate-transfer basis and have a duration of 2 years. At close of the project, the program will be run by local authorities. The project has been sponsored by the World Bank and has been awarded to a large international consortium. Your company has been subcontracted to do this project along with 2 more contractor companies. After the project scope was finalized, you developed a cost estimate of USD $5.5 million. The sponsor reviews your detailed costing sheets, and is concerned about the total cost figure. He tells you that the maximum allowable budget he can allocate for this project is USD $5 million. What should you do? Ask for a reduction in scope. Evaluate ways that can result in cost savings and re-estimate the project. Advise the sponsor that the project cannot be completed within the available budget. Begin the project with the intention of requesting a budget increase at a later point in time.

Answer 159

B - You should evaluate ways that can result in cost savings and re-estimate the project. Requesting a change in budget or scope without fully analyzing the options, or simply moving ahead with plans to request additional funds in the future are violations of the PMI Code of Ethics. This code requires project managers to provide accurate, timely, and truthful project information at all times. [Reference: PMI Code of Ethics and Professional Conduct, Page 2, 4, 5] [Prof. Responsibility]

Question 160

The total planned value (PV) for a project was $ 150,000. During the course of the project, the actual cost incurred turned out to be $ 275,000. What is the limit that the project manager usually imposes on the actual cost (AC)? The AC is usually limited to twice the planned value. The AC will not have an upper limit. The AC is usually limited to thrice the planned value. The AC is usually limited to 1.5 times the planned value.

Answer 160

B - The actual cost will not have an upper limit. Whatever is spent to achieve the earned value will be measured. [PMBOK 5th edition, Page 218] [Project Cost Management]

Question 161

The senior analyst on a project came up with Activity Duration Estimates as follows: Activity A: 10 days + a lag of 2 days; Activity B: 1 week + a lead of 3 days. The project manager who reviewed this, came up with some objections to these estimates. What would they most likely be? The analyst should have included % variance information while mentioning the Activity Duration Estimate. This would indicate a range of possible results. Activity Duration Estimates should not include any lag or lead information. It is advisable not to mix up units such as days and weeks while coming up with Activity Duration Estimates. The Activity Duration Estimate should have also mentioned the predecessor or successor activity to which the lag or lead is attached.

Answer 161

B - Activity duration estimates are quantitative assessments of the likely work periods to complete an activity. They do not include any lag or lead information. [PMBOK 5th edition, Page 172] [Project Time Management]

Question 162

Variance analysis refers to cost performance measurements used to assess the magnitude of variation in comparison to the original cost baseline. What is the trend on the percentage range of acceptable variances as the project progresses? The percentage range of acceptable variances will tend to decrease as the project progresses. The percentage range of acceptable variances will tend to increase as the project progresses. The percentage range of acceptable variances will tend to decrease first and then increase as the project progresses beyond 50% completion. The percentage range of acceptable variances remain the same as the project progresses.

Answer 162

A - During the start of the project, larger percentage variances are allowed. However, as more work is accomplished, the percentage range of acceptable variances will tend to decrease. [PMBOK 5th edition, Page 222] [Project Cost Management]

Question 163

Activity attributes extend the description of the activity by identifying various components associated with the activity. Typically how many attributes are associated with each activity? They should be between 5 and 10 in number The number of attributes varies by application area. They should be less than 5 in number The number of attributes depends on the activity.

Answer 163

B - Activity attributes generally vary by application area. Components for each activity evolve over time. Initially they may include Activity ID, WBS ID and Activity name. Later, they may include activity codes, activity description, predecessor activities, successor activities, logical relationships, leads, lags, resource requirements, imposed dates, constraints and assumptions. [PMBOK 5th edition, Page 153] [Project Time Management]

Question 164

Due to a tight project schedule, a project manager did not document lessons learned all through the project. However, at the end of the project, he finally documented the lessons learned. Your comment on this would be: This is ok. At a minimum, lessons learned should be documented at the end of the project. This is not ok. Lessons learned must be documented all through the project as well as at the end of the project. This is not ok. Lessons learned need to be documented all through the project and must not be done at the end of the project. This is correct. Lessons learned are intended to be documented only at the end of the project.

Answer 164

A - Lessons learned need to be documented throughout the project cycle, but at a minimum should be documented at the end of the project. Since the project manager was unable to do it during the course of the project, he has done it at the end of the project, which is the minimum requirement. [PMBOK 5th edition, Page 104] [Project Integration Management]

Question 165

A project manager is preparing the WBS for a software project. The WBS includes all the product and project work but excludes the project management work. From the following choices, select a statement that correctly describes this situation. This is incorrect. Product work and project management should be included as part of the WBS, but project work should be excluded. This is incorrect. Project work and project management should be part of the WBS but product work should be excluded. This is incorrect. Product work, project work and project management work should all be included in the WBS This is correct. Product and project work should be included as part of the WBS, but project management work should be excluded.

Answer 165

C - The WBS is a deliverable-oriented decomposition of all the work to be done by the project team to accomplish project objectives. It organizes and defines the total scope of the project. Hence it includes product work, project work and the project management work required to complete the project. [PMBOK 5th edition, Page 131] [Project Scope Management]

Question 166

``` As part of EVM, a project manager is calculating the to-complete performance index (TCPI) based on EAC. The data that he has is: the budget at completion for the project is $ 100,000. The earned value for the project is $ 25,000. The actual costs to date are 40,000 and the estimate at completion is $ 115,000. What is the TCPI that he will obtain? 1.1 0.9 1 0 ```

Answer 166

C - TCPI based on EAC = (BAC-EV)/(EAC-AC) = (100000 - 25000) / (115000 - 40000) = 75000/75000 = 1 [PMBOK 5th edition, Page 221] [Project Cost Management]

Question 167

``` The Budget at Completion (BAC) for a project is $50,000. The Actual Costs (AC) to date are $10,000. The Earned Value (EV) is $7,000. At this stage, the project management team did a manual bottom-up summation of costs and forecast an Estimate to Complete (ETC) of $50,000. What is the Estimate at Completion (EAC) for the project? $57,000 $40,000 $60,000 $53,000 ```

Answer 167

C - When a bottom-up manual forecasting has been done for the ETC, the calculation for EAC is given by: EAC = AC + bottom-up ETC Hence, EAC = 10,000 + 50,000 = $60,000. Note that the BAC is no longer viable at this stage. [PMBOK 5th edition, Page 220] [Project Cost Management]

Question 168

``` The Risk Management plan will usually contain the definitions of risk probability and impact. Which of the following has the highest impact (negative) on a project? A rating of 1.1 on the impact scale A rating of 0.8 on the impact scale A rating of 0 on the impact scale A rating of 0.1 on the impact scale ```

Answer 168

B - The impact scale will contain the probabilities of certain risks occurring, and will contain values from 0 to 1. A value of 0 indicates non-occurrence of the risk while 1 is a certainty. Hence, a risk impact of 0.8 represents the highest impact among the choices presented. [PMBOK 5th edition, Page 317] [Project Risk Management]

Question 169

An important aspect of project management is the handling of stakeholder expectations. Typically, at what level are the stakeholders with respect to the project manager. At higher levels and with greater authority At all levels and with varying degrees of authority. At higher levels but only the project sponsor has authority greater than the project manager. At the same level with varying degrees of authority.

Answer 169

B - Project stakeholders are persons and organizations having a stake in the project. They typically exist at different levels and have varying degree of authority. For example, the project sponsor will be at a higher level and have a greater authority than the project manager. In contrast, a team member may be at a lower level and have lesser authority. [PMBOK 5th edition, Page 394] [Project Stakeholder Management]

Question 170

``` One of the performance requirements of a Company Website development project is that the home page should load in 1 second. Such performance requirements are usually part of: Customer requirements Business requirements Project requirements Product requirements ```

Answer 170

D - Performance requirements such as the loading time of websites are usually considered as part of product requirements/scope. Project requirements include business requirements, project management requirements and delivery requirements whereas product requirements include technical, security, and performance requirements. [PMBOK 5th edition, Page 105] [Project Scope Management]

Question 171

You have just joined a new organization as a project manager. You have heard a number of rumors about the procurement manager having possible underhanded dealings with suppliers. However, you have not been given any proof that these rumors are true. Your project requires a large number of dump trucks. Company policy mandates that all purchases go through the procurement department, rather than being handled by departmental employees. The value of the dump truck purchase is USD $395,000 and the contract was awarded to a supplier regularly used by your company. Shortly after taking delivery of the dump trucks, you learn that the procurement manager is driving a new car. What should you do. Ask the procurement manager about the purchase of her new car Report this to the appropriate management. Talk to the supplier to find out if there was a bribe involved in the project Do nothing.

Answer 171

D - No action is required in this situation. Although PMI's Code of Ethics requires project managers to report illegal or unethical activity to the appropriate management, you have no evidence that there has been any wrongdoing in this situation. Therefore, reporting or investigating the procurement manager's new car purchase is unwarranted. [Reference: PMI Code of Ethics and Professional Conduct, Page 3] [Prof. Responsibility]

Question 172

``` Which of the following processes goes beyond the distribution of relevant information and seeks to ensure that the information being communicated to project stakeholders has been appropriately generated, as well as received and understood? Manage Communications Control Communications Manage Stakeholder Engagement Control Stakeholder Engagement ```

Answer 172

A - The Manage Communications process goes beyond the distribution of relevant information and seeks to ensure that the information being communicated to project stakeholders has been appropriately generated, as well as received and understood. [PMBOK 5th edition, Page 298] [Project Communications Management]

Question 173

While managing a large project, the project manager decided to include indirect costs as part of his cost estimate. If indirect costs are included in an estimate which of the following is true? Indirect costs should be included at the activity level or higher levels. Indirect costs must be included at the activity level only. Indirect costs should only be included in earned value measurements and not in cost estimates. Indirect costs should not be included in cost estimates.

Answer 173

A - Activity cost estimates are quantitative assessments of the probable costs required to finish project work. If included in project estimates, indirect costs should be included at the activity level or higher levels. [PMBOK 5th edition, Page 207] [Project Cost Management]

Question 174

``` A project involved development of a high speed hard disk drive. As part of its testing, the hard disk was subjected to continuous operation at a high speed and an elevated temperature. At the end of the test, the hard disk was destroyed beyond use. The cost of such testing is usually classified as: Appraisal costs Internal failure costs Cost of nonconformance Prevention costs ```

Answer 174

A - This type of testing is called destructive testing and it is classified under appraisal costs. Along with other tests and inspections, they help in assessing the quality of the product. [PMBOK 5th edition, Page 235] [Project Quality Management]

Question 175

Identification of new risks, reassessment of old risks and closing of outdated risks are done as part of the Control Risks phase. How often should project risk reassessment be scheduled? It depends on how the project progresses relative to its objectives. It is left to the discretion of the project manager. Reassessment needs to be done at the 25%, 50%, and 75% stages of project completion. Reassessment needs to be done at the 20%, 40%, 60% and 80% stages of project completion.

Answer 175

A - The number of project risk reassessments scheduled depends on the progress of the project relative to its objectives. [PMBOK 5th edition, Page 351] [Project Risk Management]

Question 176

``` A project manager has decided to use a decision tree to make a build or upgrade analysis. The build requires an investment of $ 200 M (where M represents million). On the build decision branch, there is a 60% probability of strong demand (yielding a revenue of $ 400 M) and a 40% probability of weak demand (yielding a revenue of $150 M). What is the expected monetary value (EMV) of the build? $ 100 M $ 300 M $ 140 M $ 200 M ```

Answer 176

A - The payoff for the strong demand scenario is: $ 400 M - $ 200 M = $ 200 M (since the initial investment is $ 200 M). The payoff for the weak demand scenario is: $ 150 M - $ 200 M = - $ 50 M. Hence the EMV is computed as: (0.6 × 200) + (0.4 × -50) where 0.6 represents the 60% probability of the strong demand and 0.4 represents the 40% probability of the weak demand scenario. = 120 - 20 = $ 100 M. Hence the expected monetary value is $ 100 M. [PMBOK 5th edition, Page 339] [Project Risk Management]

Question 177

``` A project management team came up with certain metrics such as defect frequency, failure rate, availability and reliability. These are usually defined as an output of what process? Plan Quality Management Define Scope Collect Requirements Perform Quality Assurance ```

Answer 177

A - Quality metrics are operational definitions that describe a project or product attribute in very specific terms. They also define how the quality control process will measure it. These metrics are output of the Plan Quality Management process. [PMBOK 5th edition, 242] [Project Quality Management]

Question 178

``` As the project manager, of a project to construct a city park, you have yourself identified 39 risks on the project, determined what would trigger the risks, rated them on a risk rating matrix, tested the assumptions and assessed the quality of the data used. You now plan to move to the next step of the risk management process. What have you missed? Overall risk ranking for the project Involvement of other stakeholders Risk Mitigation Simulation ```

Answer 178

B - The project manager is using a good process, however he/she should have involved the other stakeholders to help identify risks. [PMBOK 5th edition, Page 321] [Project Risk Management]

Question 179

``` Which of these is an input of the Control Risks process? Risk audits Change requests Work performance information Work Performance Reports ```

Answer 179

D - Work Performance Reports are the inputs to the Control Risks process. [PMBOK 5th edition, Page 349] [Project Risk Management]

Question 180

``` As part of a strategy to handle negative risk, a project manager decided to adopt less complex processes, conduct more tests and choose a more stable supplier. What strategy would this be classified as? Acceptance Transference Mitigation Avoidance ```

Answer 180

C - Actions such as adopting less complex processes, more testing, or choosing a more stable supplier would be considered as mitigation. These actions reduce the probability and/or impact of risks. [PMBOK 5th edition, Page 345] [Project Risk Management]

Question 181

``` Bill is the project manager of an external project for a customer. The project is expected to take about a year to complete. Six months into the project, the customer informs Bill that the project needs to be scrapped. During which of the following processes would procedures be developed to handle early termination of a project? Develop Project Charter Close Project or Phase Define Scope Close Procurements ```

Answer 181

B - The Close Project or Phase process establishes the procedures to investigate and document the reasons for actions taken if a project is terminated before completion. [PMBOK 5th edition, Page 101] [Project Integration Management]

Question 182

``` While preparing a human resource plan, a project manager documented that one of the senior programmers in the team would make decisions on whether the quality of deliverables from the project met the project's documented standards. Which of the following aspects of a human resource plan does this address? Competency Responsibility Authority Role ```

Answer 182

C - Authority is the best choice. Authority is the right to apply project resources and make decisions within the project. These decisions could include quality acceptance, selection of the method for completing an activity, and how to respond to project variances. [PMBOK 5th edition, Page 264] [Project Human Resource Management]

Question 183

``` Prioritization matrices are an important quality planning tool. They provide a way of ranking a diverse set of problems and/or issues by order of importance. How is this list usually generated? Through control charts Through PERT analysis Through brainstorming Through variance analysis ```

Answer 183

C - Prioritization matrices provide a way of ranking a set of problems and/or issues that are usually generated through brainstorming. The rest of the choices are not valid techniques for the development of a priority matrix. [PMBOK 5th edition, Page 246] [Project Quality Management]

Question 184

``` Jessica is managing an office refurbishment project. All of the project stakeholders have been identified and classified. The stakeholder management plan has also been approved. Jessica is managing a project for the first time in her life and she is relying on the PMBOK guide as a reference to deliver a great project. Which of the following processes would provide guidance to Jessica regarding how to execute the approved stakeholder management plan? Control Stakeholder Engagement Manage Stakeholder Engagement Identify Stakeholders Plan Stakeholder Management ```

Answer 184

B - The question is asking about the stakeholder management process from the executing process group. The Manage Stakeholder Engagement process executes the stakeholder management strategy developed during the Plan Stakeholder Management process. The Control Stakeholder Engagement process is all about making the necessary adjustments to the stakeholder management strategy. [PMBOK 5th edition, Page 404] [Project Stakeholder Management]

Question 185

You are managing a project with a large multi-national staff. One of the engineers was originally tasked to deliver her part of the work on Oct 19, but due to the change in the critical path, her deliverable will be needed 2 days sooner. However, as the new deadline is still 2 weeks away and she is ahead of schedule, you are confident that her delivery will be on time. During a staff meeting, you learn from her functional manager that this engineer celebrates a religious holiday on Oct 17. He tells you that the engineer is not particularly religious, however, and if pushed a bit and offered some incentive she may forego celebrating this holiday and come to work. What should you do? Check if one of her colleagues can share some of her workload this week Increase her project incentive if she agrees to deliver her presentation on 17th. Let the critical path remain the same. Ask her boss to request her to skip the holiday.

Answer 185

A - Checking to see if one of her colleagues could share some of her workload this week is the best choice. If another resource can assist with the completion of this task, the engineer may celebrate the holiday without impacting the delivery of her work item. PMI's Code of Ethics and Professional Conduct mandates that project managers not only respect the religious beliefs of others, but they must use their position or expertise to influence the decisions or actions of others to benefit at their expense. [PMI Code of Ethics and Professional Conduct, Page 2] [Prof. Responsibility]

Question 186

``` The legal nature of the contractual relationship between a buyer and a seller requires that appropriate legal counsel be involved in the project, for specific activities. Which of the following phases requires legal counsel to be involved. Control procurements Plan procurement management Conduct procurements Each procurement management process ```

Answer 186

D - Project procurement management includes processes necessary to purchase or acquire products or services needed from outside the project team. If the legal nature of a contractual relationship between a buyer and a seller requires that appropriate legal counsel is involved with a procurement, the assistance of the legal counsel will be required for every phase of the procurement management. [PMBOK 5th edition, Page 355] [Project Procurement Management]

Question 187

The WBS structure can be created in a number of forms except which of the following? Using work packages as the second level of decomposition, with the project deliverables inserted at the third level. Using major deliverables as the second level of decomposition. Using phases of the project life cycle as the second level of decomposition, with the product and project deliverables inserted at the third level. Using subcomponents which may be developed by organizations outside the project team, such as contracted work.

Answer 187

A - The work packages are at the last level of a WBS. The rest of the statements are correct regarding the structure of the WBS. [PMBOK 5th edition, Page 129] [Project Scope Management]

Question 188

Which of the following may not be considered an attribute of a project? Repetitive elements may be present in some project deliverables. The impact of a project usually ends when the project ends. A project can involve a single person. There is uncertainty about the product that the project creates.

Answer 188

B - The impact of a project may far outlast the project itself. The other choices are valid attributes of projects. A project may involve a single person, a single organizational unit, or multiple organizational units. Repetitive elements may be present in some project deliverables, but this does not change the fundamental uniqueness of the project work. Additionally because of the unique nature of the work, there are usually uncertainties about the work involved. [PMBOK 5th edition, Page 3] [Project Framework]

Question 189

``` Miranda is an experienced project manager. As part of the Collect Requirements phase, she decides to use a group creativity technique. This technique is expected to enhance brainstorming with a voting process, and can be used to rank the most useful ideas for further brainstorming or prioritization. Which of the following will she likely use? Normal group technique Minimal group technique Unanimous group technique Nominal group technique ```

Answer 189

D - Miranda likely intends to use the Nominal group technique. This enhances brainstorming with a voting process to rank the most useful ideas for further brainstorming or prioritization. [PMBOK 5th edition, Page 115] [Project Scope Management]

Question 190

You are a certified PMP, and have been contact by PMI as part of an investigation they are conducting into allegations of improper conduct by your manager, also a PMP. A complaint has been filed stating that your manager has received bribes related to a large procurement contract on another project. PMI has asked if you would be able to provide information regarding this situation. What should you do? Confront your manager. Send PMI project documentation and emails related to the allegations to assist with their investigation. Notify the appropriate management immediately. Do nothing, citing a conflict of interest.

Answer 190

C - Notifying the appropriate management of the PMI investigation and their request for your assistance is the best choice. Sharing confidential information with an outside party without approval from your management is a violation of the PMI Code of Ethics and Professional Conduct. Once the appropriate management have been notified, they will let you know the best way to proceed with this investigation. [PMI Code of Ethics and Professional Conduct, Page 2] [Prof. Responsibility]

Question 191

``` A statement of work (SOW) is a narrative description of the products or services to be delivered by the project. It usually references all of the following except: The business case The product scope description The strategic plan The business need ```

Answer 191

A - The statement of work (SOW) usually does not reference the business case. The business case may contain cost sensitive information that may not be made available to a wider audience. Note that the business case also includes the business need. [PMBOK 5th edition, Page 68] [Project Integration Management]

Question 192

``` A research project needed to be carried out under largely undefined, uncertain and rapidly changing environmental conditions. If this project is carried out as a multi-phase project, which of the following phase-to-phase relationships best suits it? Overlapping relationship Sequential relationship Iterative relationship Boxed relationship ```

Answer 192

C - An iterative relationship is best suited for projects to be carried out in uncertain conditions as may be the case in research. In this methodology, only one phase is carried on at any time, and the planning for the next phase is carried out as work progresses in the current phase. Sequential and overlapping relationships are not suitable for these types of projects. Boxed relationship is not a valid choice. [PMBOK 5th edition, Page 45] [Project Framework]

Question 193

Decision tree analysis is used to calculate the average outcome when the future includes scenarios that may or may not happen. What is the input and output in a decision node? Input: Cost of each decision Output: Probability of occurrence Input: Cost of each decision Output: Decision made Input: Scenario probability Output: Expected Monetary Value (EMV) Input: Cost of each decision Output: Payoff

Answer 193

B - Decision tree analysis is used to calculate the average outcome when the future includes scenarios that may or may not happen. In a decision node, the input is the cost of each decision while the output is a decision made. [PMBOK 5th edition, Page 339] [Project Risk Management]

Question 194

``` Which of the following is neither an input nor an output of the Direct and Manage Project Work process? Approved change requests Change requests Approved deliverables Deliverables ```

Answer 194

C - Approved deliverables are neither an input nor an output of the Direct and Manage Project Work process. Approved or accepted deliverables are outputs of the Validate Scope process and are the inputs of the Close Project or Phase process. [PMBOK 5th edition, Page 79] [Project Integration Management]

Question 195

As part of the Plan Risk Management process, a project manager is looking at the activity of preparing a risk management plan. Which of the following is true about risks? A risk may have one or more causes and, if it occurs, may have one or more impacts. A risk usually has a single cause and, if it occurs, may have one or more impacts. A risk usually has a single cause and if it occurs usually has a single impact. A risk usually has more than one cause, and if it occurs, may have one or more impacts.

Answer 195

A - A project risk is an uncertain event or condition that, if it occurs, has an effect on the objectives of the project. A risk may have one or many causes and, if it occurs, may have one or more impacts. [PMBOK 5th edition, Page 310] [Project Risk Management]

Question 196

As part of risk planning, some responses are designed for use only if certain events occur. A project manager of a multi-year project decided to trigger one such set of responses during the Control Risks process. Which of the following is likely to have triggered the responses? Late receipt of status reports A key employee going on vacation for three days. Errors found in a deliverable document Missing an intermediate milestone

Answer 196

D - Responses designed for use only if certain events occur are known as contingent response strategies. These responses are triggered by events such as missing intermediate milestones. The other events listed may not warrant triggering of contingency responses. [PMBOK 5th edition, Page 346] [Project Risk Management]

Question 197

During the course of the project, the project management team developed a forecast for the estimate at completion (EAC) based on the project performance. Which of the following statements about EAC is correct? The EAC forecast based on the Bottom-up estimate to complete (ETC) requires a new estimate. The EAC forecast is best estimated using the estimate to complete (ETC) work performed considering both SPI and CPI factors. The EAC forecast is best estimated using the estimate to complete (ETC) work performed at the present CPI. The EAC forecast is best estimated using the estimate to complete (ETC) work performed at the budgeted rate.

Answer 197

A - The EAC forecast based on the Bottom-up estimate to complete (ETC) requires a new estimate. There is no best method for EAC calculation as it varies from situation to situation. [PMBOK 5th edition, Page 220] [Project Cost Management]

Question 198

``` It was found that there were a large number of hidden requirements to be uncovered in the Collect Requirements phase. Which of the following tools should a project manager use to identify them? Participant observer Questionnaires Surveys Interviewing ```

Answer 198

A - A hidden requirement is the one that the user or the customer fails to communicate or take for granted. Hidden requirements can be identified by a "participant observer" who actually performs a process or procedure to experience how it is done. Interviewing, questionnaires and surveys are requirements collection techniques but they won't help in identifying hidden requirements. [PMBOK 5th edition, Page 116] [Project Scope Management]

Question 199

A project manager is estimating the project duration and finds that the only information available to him is a previous project that was quite different from the current one. However, some portions of the previous project were similar to the current one. Which of the following tools is the project manager likely to use? Analogous estimating Program Evaluation and Review Technique (PERT) Three-point estimates Parametric estimating

Answer 199

A - Analogous duration estimating is used when there is limited available information about a project. This is especially true in the early phases of a project. In such instances, a previous similar project is used as a basis for estimating. [PMBOK 5th edition, Page 169] [Project Time Management]

Question 200

``` Which of these is not an input to the Control Procurements process? Agreements Change requests Work performance data Work performance reports ```

Answer 200

B - Change requests are not the inputs of the Control Procurement process. The rest of the choices are valid inputs of this process. [PMBOK 5th edition, Page 379] [Project Procurement Management]

Question 201

``` You have received a proposal against a RFP that was sent to vendors. One of the vendors has indicated that they can do the project for $12,500. The cost for the project is $10,000 and their profit will be $2,500. Which type of the contracts is most suitable to be used in this situation? Cost Plus Fixed Fee Cost Plus Percentage of Cost Fixed price Cost Plus Incentive Fee ```

Answer 201

C - Apparently it looks like the vendor is asking for a cost plus fixed fee contract. However, the vendor is actually looking for a fixed price contract when they asked for a fixed $12,500. The cost and fee are just the components the vendor has estimated to come up with a final price. [PMBOK 5th edition, Page 362, 363] [Project Procurement Management]

Question 202

``` Your company requires that before you purchase any routers or switches for the data center you are building, you need to solicit quotes from three separate suppliers prior to submitting the purchase request to the finance department. This policy belongs to? Organizational Process Assets Enterprise Environmental Factors Procurement Management Knowledge Area Make-or-Buy Decision ```

Answer 202

A - Any type of corporate policy or formal procurement procedure is an organizational process asset. [PMBOK 5th edition, Page 27] [Project Procurement Management]

Question 203

You are in the middle of a risk assessment meeting with key stakeholders, customers and project team leaders. While identifying and assessing risks, you have realized that two key stakeholders are overemphasizing the impact of a risk. What is the BEST step you must take to avoid unfairness or bias when assessing risks? Implement assumptions analysis to explore the validity of assumptions Develop a risk response strategy to eliminate threats Perform qualitative risk analysis to identify risk attitudes Perform sensitivity analysis to establish which risks have the most impact on the project

Answer 203

C - After identifying risks, the project manager must prioritize risks for further analysis by assessing and analyzing the impact of each risk. It is often possible that during the risk assessment, risk attitudes may introduce bias into the assessment of identified risks. So project managers must identify and manage risk attitudes during the qualitative risk analysis. So, you must perform the qualitative risk analysis to avoid bias during assessment. [PMBOK 5th edition, Page 329] [Project Risk Management]

Question 204

You are working in an Information Technology project as a project manager to develop a shopping website for your customers. Some key stakeholders in the project suggested scope changes to improve the look and feel of the website. Your team has analyzed the impact of these changes and presented to the change control board for approval. What should be your next step if the change control board accepts all proposed changes? Implement the change request and update stakeholders Review change control board decisions and inform stakeholders for their input Conduct a team status meeting to update the progress on change requests Revise cost estimates, schedule dates, resource requirements and planning documents

Answer 204

D - Approved change requests require changes to cost estimates, resource requirements, schedule dates and activity sequences. You should incorporate these revisions first before asking your team to implement the changes. Stakeholders can be updated after carrying out the changes. So, the first step you should do is to revise the estimates and baselines. [PMBOK 5th edition, Page 82] [Project Integration Management]

Question 205

``` Jane is worried about her project because many of her tasks are slowly moving and two critical tasks may have the chance of slippage. She conducts a thorough resource analysis and finds out that there are five resources who will be free next week. She would like to use this as an opportunity to assign those resources to finish her tasks early and prevent the project completion date from slipping. This is an example of? Management reserves Resource leveling Crashing Fast tracking ```

Answer 205

C - Adding more resources to scheduled tasks in order to compress the task durations is called crashing. [PMBOK 5th edition, Page 181] [Project Time Management]

Question 206

You are working on a waste management project that, upon competition, will be handed over to the local municipality for steady state operation. Parking of the trucks and other vehicles has become a major problem because no parking area has been allotted to you on the main dumping site. As a result, your trucks are being parked on nearby roadsides. One of the fleet supervisor tells you that there is a large tract of land very close to the main site, that is owned by a local charity. Many locals park their cars on this tract of land. What should you do? Since the piece of land is already being used as parking, you can park your trucks over there. Don't park the trucks on that piece of land as it will be violation of other's property rights. Check the local parking laws. Ask the supervisor to get contact information of the local charity.

Answer 206

D - You must not use someone's property without permission, even if others are doing the same thing. The best option is to call the charity and ask for their permission. [PMI Code of Ethics and Professional Conduct, Page 3] [Prof. Responsibility]

Question 207

You have been managing a Federal highway construction project which is intended to improve the transportation between north and south regions of a country. Being in the execution phase, the change control board has approved many change requests generated from stakeholders including the highway transportation agency. At least half of those requests were made to bring the quality of the micro texture of the road aligned with the quality levels incorporated in the project management plan. What is the next course of action for you going forward? Initiate a defect repair to repair the road or completely pave a new road Initiate a preventive action to reduce the probability of negative consequences associated with the poor quality of the road Initiate a change request to bring the road quality in line with the project management plan Initiate a corrective action to bring the future quality of the road in line with the project management plan

Answer 207

B - Change requests are initiated and submitted to the change management board. Once change requests are approved, the project manager must give a documented direction to prevent, correct or repair based on the approved changes. In this scenario, the project performance seems to be deviated from the project management plan. So, you must initiate a preventive action to assure future performance aligns with the project management plan. [PMBOK 5th edition, Page 81] [Project Integration Management]

Question 208

While going through a list of candidates to be hired for your project, you find that your cousin is one the 3 short listed candidates. You know that she was desperately looking for job. After reviewing these resumes, you'll be sending them to the electronics engineer for a technical interview. Having a first look at the 3 short listed resumes, you realize that they have similar qualifications and experiences. What should you do? To avoid conflict of interest, ignore your cousin's resume but forward the other two resumes. Forward all three resumes. Call your cousin and conduct an informal interview yourself before forwarding the resumes. Consult your boss before forwarding the resumes for interview.

Answer 208

B - Send all three candidate's resumes Since all the candidates have similar profiles, all three deserve a full chance of evaluation. Because you have neither short listed the resumes nor will you be the interviewer or make the final decision, there is no question of discrimination, impartiality or conflict of interest. [PMI Code of Ethics and Professional Conduct, Page 4] [Prof. Responsibility]

Question 209

``` Some tools or techniques can be used across different project processes to plan, execute or control the characteristics of project elements. Which of the following is used as a tool in both Control Quality and Plan Quality Management processes? Benchmarking Statistical sampling Cost of quality Design of experiments ```

Answer 209

B - Statistical sampling is a tool and technique common to both the Plan Quality Management and Control Quality processes. [PMBOK 5th edition, Page 230] [Project Quality Management]

Question 210

``` In an underground highway construction project, the project stakeholders have suggested many changes to the project scope. As you have already defined the cost baseline in your project, you would like to revisit the baseline to see how these changes impact the overall cost of the project. So, you have started an impact analysis to determine the impact, and inform the concerned stakeholders of all approved changes and the corresponding costs. You must use the following to carry out such process: Control Scope Control Risks Control Costs Control Communications ```

Answer 210

C - The Control Costs process involves many activities such as influencing the factors that change the cost baseline, managing the actual changes, and informing stakeholders of approved changes and corresponding costs. Since you are in the process of managing the cost changes and informing them to the stakeholders, you are in the Control Costs process. [PMBOK 5th edition, Page 215] [Project Cost Management]

Question 211

You have recently joined the a new company as a project manager. While reviewing the procurement plans for a project you will be taking over, you see that the company is considering using one of the most expensive manufacturers to provide certain equipment required for the project. While working with your previous employer, you used a different supplier for the same equipment, and paid significantly less for the equipment. Without telling your boss, you call the supplier you worked with previously for a quote. Have you violated the rule of keeping the proprietary information confidential? Maybe. You need to talk to your boss first. No. There is no harm in sharing the information with your current employer, because you are no longer working for your old employer. Yes. The supply source is proprietary information and you should not contact the supplier. You have not violated any rule.

Answer 211

D - No rule has been violated, as you have not disclosed any proprietary or confidential information. [PMI Code of Ethics and Professional Conduct, Page 4] [Prof. Responsibility]

Question 212

Which of the following statements are NOT true considering the planned value, the earned value, the schedule variance and the cost variance of a project? The cost variance is the difference between the earned value and the actual cost The schedule variance is the difference between the earned value and the planned value The earned value is the value of work to be completed in terms of the approved budget The planned value is the budget authorized to the work to be performed

Answer 212

C - Earned value is the value of the work already completed. This value is often expressed in terms of the approved budget assigned to the work completed. The earned value is measured against the performance measurement baseline. [PMBOK 5th edition, Page 218] [Project Cost Management]

Question 213

Which of the following activities fall under the planning process group but not under the project time management? Estimating the type of materials and equipment needed to perform project activities Developing the Schedule Management Plan Identification of various activities to produce the project deliverables Developing a detailed description of the project and product being developed

Answer 213

D - Identification of various activities to produce the project deliverables is done in Define Activities process of the project time management. Estimating type of materials and equipment needed to perform activities is done during Estimate Activity Resources process. This is also a part of the project time management. Developing the schedule management plan is done during the Plan Schedule Management process, which is also a time management process. Developing a detailed description of the project and product being developed is done during the Define Scope process. This is also a planning activity, however, it falls under project scope management. [PMBOK 5th edition, Page 105, 141] [Project Scope Management]

Question 214

``` Decision making is an important skill a project manager must possess to manage and lead the team. Which of the following is NOT a part of the six-phase decision-making model? Solution evaluation planning Solution action planning Problem solution generation Problem solution escalation ```

Answer 214

D - In a six-phase decision making model, the project manager must define the problem first. After defining, he/she must generate problem solution, generate ideas to action, plan solution action and plan solution evaluation. Once the solution is implemented, he must evaluate the outcome and process. Therefore, except problem solution escalation all other phases are part of this model. [PMBOK 5th edition, Page 516] [Project Human Resource Management]

Question 215

``` Control charts are used to determine the stability of any process. Which of the following best describes the range of the control limits applied on a control chart? 3 sigma 6 sigma Specification limit / 3 Specification limit x 3 ```

Answer 215

B - The control limits of a control chart are set at plus/minus 3 sigma. Hence the range is 6 sigma. [PMBOK 5th edition, Page 238] [Project Quality Management]

Question 216

Cindy has been working in a manufacturing project as a project manager. This project is designed to produce high quality semiconductors to use in computers. Since semiconductors are produced from silicon wafers, she contracted a company to provide silicon wafers to the project on an ongoing basis. Due to unknown reasons from the contractor, low quality wafers have been transferred to the project compromising the electrical performance of semiconductors. Overwhelmed by the complaints from the computer division, Cindy is obligated to correct the manufacturing defects to avoid future liabilities. In this scenario, the costs incurred by Cindy is known as: External failure costs or Cost of nonconformance Appraisal costs or Cost of nonconformance Prevention costs or Cost of conformance Internal failure costs or Cost of conformance

Answer 216

A - In this scenario, Cindy is performing warranty work to correct manufacturing defects. These defects are identified by external customers and the costs are known as external failure costs. These costs are also known as costs of nonconformance because the product did not meet the quality requirements. The cost of nonconformance is a part of the cost of quality. Therefore, Cindy is incurring external failure costs or cost of nonconformance. [PMBOK 5th edition, Page 235] [Project Quality Management]

Question 217

``` In a small office construction project, the following activities are scheduled in sequence. i) Digging and pouring footings - 5 days ii) Working on the slab and pouring - 3 days iii) Framing the floor - 5 days iv) Wall framing - 4 days v) Roof framing - 6 days vi) Insulation and drywall - 7 days vii) Interior doors and trim - 3 days viii) Hardware and fixtures - 2 days. What is the minimum time to complete the project if all activities are on a critical path except number viii, and activity iii is delayed by 1 day? 32 days 33 days 34 days 35 days ```

Answer 217

C - A critical path has a zero total float. That means, any delay in the critical path activity delays the project finish date. In other words, critical path gives the minimum time required to complete a project. So, adding the duration for all critical path activities give the minimum time required as 33 days. If activity iii is delayed by one day, the total duration or the minimum time required to complete the project will also be delayed by one day, thus making it 34 days. [PMBOK 5th edition, Page 176] [Project Time Management]

Question 218

Marvin has been working for a retail company as a project manager. With his positive thinking and good managerial skills he turned many potentially disastrous projects into successes. Because of his expertise, the company high level executives offered him a group project manager position for a newly started environmental project. However, Marvin learned that in his newly assigned project he may have to offer bribes to get the Government licenses. What should Marvin do in such a situation? Reject the offer because project managers should not engage in an unethical conduct Accept the offer because project managers must obey their higher-ups Accept the position and offer bribes because project managers must complete projects on time and within budget

Answer 218

A - Project managers must adhere to code of ethics and professional conduct. They must maintain fairness and honesty. Since the new job requires some illegal and unethical activities, Marvin must reject the offer. [PMI code of Ethics and Professional Conduct, Page 2] [Prof. Responsibility]

Question 219

Julia is managing a complex industrial process reengineering project. She has identified all of her key project stakeholders and has conducted individual interviews with them to identify other project stakeholders as well. However, Julia is still not comfortable with her project's stakeholders list as she believes there would be more key external stakeholders still missing from the list. What can help Julia in this situation? Use stakeholder register templates from the organizational process assets. Conduct more meetings with the key stakeholders. Julia needs to get over her fear and finalize the project stakeholder register. Seek expert judgment from subject matter experts.

Answer 219

D - The stakeholder register template do not contain stakeholders information, it only helps the project manager produce his/her project's stakeholder register. If Julia is not comfortable with the list, she needs to identify more stakeholders until she is satisfied. Interviewing the identified key stakeholders again might not resolve the issue. The best option is to seek an expert's opinion. [PMBOK 5th edition, Page 397] [Project Stakeholder Management]

Question 220

``` There are several communication methods used to share and distribute information to stakeholders, team members and management. Which of the following communication methods are used during execution phase to notify the public about environmental changes your project is going to cause after implementation? Pull communication Interactive communication Informal communication Push communication ```

Answer 220

A - Push communication is used to send information to specific recipients who need to know. Push communication is done using letters, faxes and memos etc.. Pull communication is used for large volume of information. The methods for this kind of communication include internet sites and blogs etc. Since you want to notify public about the environmental changes, you must use pull communication methods. [PMBOK 5th edition, Page 295] [Project Communications Management]

Question 221

Randy, a senior project manager, is using a lessons learned knowledge management system to document the findings in a precision instrument manufacturing project. He is using the information from his team which has identified causes of product quality variance using a control chart and the details regarding corrective actions chosen to reduce the variance and improve the product quality. Which of the following should Randy use to add this information to the lessons learned? Organizational process assets in the quality control process The process improvement plan in the plan quality process Organizational process assets in the quality assurance process The process improvement plan in the quality control process

Answer 221

A - Since Randy is using product quality variance information and corresponding corrective action information, he and his team are in the process of quality control. In quality control, all quality activities and their results are recorded to assess the quality performance. Corrective actions are taken to bring the quality on track. Lessons learned databases are part of organizational process assets and these assets are updated in the quality control process. Hence, Randy must update organizational process assets during the quality control process. [PMBOK 5th edition, Page 254] [Project Quality Management]

Question 222

``` Shawn is in the execution phase of his project. He is getting unexpected requests from his stakeholders about the project progress. All of the following can be used by Shawn to respond to their requests EXCEPT: Communications management plan The stakeholder register Organizational process assets Work performance reports ```

Answer 222

B - Since Shawn is in the execution phase and stakeholders are requesting project information, he must be in the Manage Communications process. The communications management plan, organizational process assets and work performance reports are inputs to this process. So, Shawn must use any of these documents to respond to their requests. The stakeholder register is an output of identify stakeholders process and it does not give any information about the project progress. Hence, 'The stakeholder register' is the correct answer. [PMBOK 5th edition, Page 297] [Project Communications Management]

Question 223

``` You are working for FALCON highway construction agency as a project cost estimator. The agency started a highway construction project which is in it's planning phase. The rough order of magnitude (ROM) cost estimate for the project is expected to be between 3 and 5 million dollars in the planning phase with a ROM of -25% to +25%. What will be the ROM estimate in the execution phase if it changes to -10% to +10%? Between 3.1 and 4.1 million dollars Between 3.6 and 4.4 million dollars Between 3.9 and 4.1 million dollars Between 3.4 and 4.4 million dollars ```

Answer 223

B - Since the Rough Order ofMagnitude (ROM) in the planning phase is -25% to +25%, the estimated mean value is 4 million dollars. If the estimates narrows down to -10% to +10% it becomes 3.6 to 4.4 million dollars. [PMBOK 5th edition, Page 201] [Project Cost Management]

Question 224

Organizations evaluate the need of buying products versus making the items themselves. Which of the following is not a factor that influences the make-or-buy decisions: Core capabilities of the organization Value delivered by vendors meeting the need Total duration of the project Risk associated with meeting the need in a cost-effective manner

Answer 224

C - The total duration of the project doesn't influence the organization's make-or-buy decisions. The rest of the choices are valid. [PMBOK 5th edition, Page 374] [Project Procurement Management]

Question 225

You are in the 10th month of a year long project and about to deliver the major product of your project. You have already received 75% of the total payment from the client. Your client is a non-governmental organization (NGO). You have just received a fax from the client saying that they are wrapping-up their operations from the region because of a change in the government. The new government has decided to close down this NGO because of fraud allegations. You are shocked to receive this news and call your boss to get a confirmation from him. He has also received the same news from other sources and asks you to terminate the project and release the team. What must you do? Update lessons learned, release payments of your suppliers, pay all the employees and relieve them from their duties. Release payments of your suppliers, pay all the employees and relieve them from their duties. Close all project documents, release payments of your suppliers, pay all the employees and relieve them from their duties. Release payments, check the termination clause in contract, and relieve employees from their duties.

Answer 225

D - Release payments, check the termination clause in the contract, and relieve employees from their duties. PMI requires project managers to follow all processes and policies, including contracts. [PMI Code of Ethics and Professional Conduct, Page 2] [Prof. Responsibility]

Question 226

``` Debbie, an IT project manager, is in the planning phase of a shopping website development project. A junior project manager, who has been working under her authority, started developing procedures to indicate how the integrity of cost and schedule performance baselines should be maintained in the project. Where should the junior project manager store these procedures? In the project human resource plan In the project scope statement In the project management plan In the project communication plan ```

Answer 226

C - The baselines change only when a change request is generated. A project management plan documents the instructions to handle changes to performance baselines. These baselines include scope, cost and schedule baselines. Therefore, the junior project manager must store these procedures in the project management plan. [PMBOK 5th edition, Page 77] [Project Integration Management]

Question 227

You have just received notice that the organization you've been working for as a project manager has gone bankrupt. All employees have been given 72 hours notice of termination. What is the best course of action for the two projects you are managing? Follow company directives. Conduct a project closeout meeting. Leave the office today. Raise a claim for and on behalf of all the employees and contractors who were participating in the project

Answer 227

A - Follow all company directives. The organization management is responsible for developing these directives, which may include specific instructions on closing out work in progress. [PMI Code of Ethics and Professional Conduct, Page 2] [Prof. Responsibility]

Question 228

``` Dana works for a Federal agency that manages mission critical projects. As a project manager, she is responsible for all communication needs in her data center project, which has started recently. This project involves many stakeholders, customers, external vendors and team members. Since conflicts are inevitable in such a huge project, she has decided to provide her project team the details of the issue escalation process including the names of the chain of command to escalate the issues that cannot be resolved at a lower level. Dana must use the following document to store this information: The project charter The communication management plan The issue log The project scope document ```

Answer 228

B - The issue escalation process must be documented during the planning phase of a project. The issues that cannot be resolved at a lower level can be escalated using a chain of command within a stipulated time frame. This information is part of the communication management plan. [PMBOK 5th edition, Page 296] [Project Communications Management]

Question 229

You are managing a project for a customer that has just gone bankrupt and is subject to liquidation proceedings. There are several outstanding invoices that this customer has not paid to your company. What should you do now? Go into alternate dispute resolution Do nothing. Contact the appropriate management at your company for advice how to proceed. Send the invoices to the bankruptcy attorneys.

Answer 229

C - You are responsible for finding the right way of handling this situation. You must contact your management for advice how to proceed. Your company may already have plans in place for this scenario, and if not, they will develop a path forward. [PMI Code of Ethics and Professional Conduct, Page 2] [Prof. Responsibility]

Question 230

You are managing a heavy equipment manufacturing project that involves many mechanical, electrical as well as IT staff. Your team prepared a schedule network diagram using duration estimates with dependencies and constraints. Your team also calculated the critical path for the project using late and early values. Today, your project office has indicated about the non-availability of some of the resources you planned for the project. Now, you explore the possibility of modifying the schedule to account for limited resources. What is your best possible step in such a situation? Recalculate critical path using the critical chain method Perform resource leveling to account for limited resources Use crashing or fast tracking to level resources across the project Apply leads and lags to develop a viable schedule

Answer 230

A - A critical chain method is used to prepare a schedule network diagram with limited resources. A network diagram is prepared initially and the critical path is then calculated. Availability of resources is entered and resource-limited schedule is prepared. Duration buffers are used in critical chain method. Hence, recalculating the critical path using the critical chain method is the next best step. [PMBOK 5th edition, Page 178] [Project Time Management]

Question 231

``` You are working as a project manager for a high yield crop development project. Data from the weather agency shows an unfavorable weather pattern for next few months. As a senior project manager, you want to assess the feasibility of the schedule under adverse conditions and provide some insights to your team. This way, your team can prepare some reserves and plan risk responses if unfavorable conditions exist during execution. Which of the following techniques should you use to assess the feasibility of the schedule? Pareto charts Variance analysis Crashing Monte Carlo analysis ```

Answer 231

D - Modeling techniques are used to prepare a schedule under different scenarios. The outcome of these techniques assess the feasibility of the project schedule if adverse conditions exist. Monte Carlo is one of such techniques that involves simulation by calculating multiple project duration with different set of activity assumptions using probability distribution. [PMBOK 5th edition, Page 180] [Project Time Management]

Question 232

You are using parametric estimating techniques to estimate costs for each activity and the total budget in your project. However, a project manager who is a colleague of you tells you to bump up each estimate by 20% to account for any unknown risks and submit that as a total budget for the customers. What should you do? Do not inflate the estimate Inform the customer and then inflate the estimate Inflate the estimate first and inform the customer Inflate the estimate but do not inform the customer

Answer 232

A - Honesty is a mandatory standard for project managers. Project managers are required to provide accurate information to customers regarding budget, resources, and risks. Unknown risks can be accounted using reserves in a project. But, inflating budget or schedule values or making misleading or false estimation is against the PMI code of ethics and professional conduct. Hence, 'Do not inflate the estimate' is the BEST answer in this scenario. [PMI code of Ethics and Professional responsibility, Pages 4, 5] [Prof. Responsibility]

Question 233

What should you do as a senior project manager if the PMP certification claimed by a recently recruited project manager does not appear in the PMI website? Advise your new recruit to complete his certification Report to the PMI Report to the sponsor Request more information from the new recruit

Answer 233

D - A project manager must bring violations of the code of conduct or unethical activities to PMI's attention. False certification claims must be reported to PMI. In this case, it is not yet confirmed that the new recruit has made false claim unless you request more information from him. Once you confirm that he has made false claim, you can report to both the PMI and Sponsor. Thus, Request more information is the best answer in this situation. [PMI code of Ethics and Professional responsibility, Page 2] [Prof. Responsibility]

Question 234

You have recently acquired a project from a PMP certified project manager, who has been removed from the project due to incompetency and lack of skills. When you happen to meet him outside your building, he started rebuking you for taking his project. He even goes so far as to suggest that your religion plays a part in your selection by the management. What should you do FIRST? Report to the customer Do nothing Report to the Police Report to Project Management Institute (PMI)

Answer 234

D - All project managers who are PMP certified, must obey the PMI code of ethics and professional conduct. They must behave well in their profession. All violations should be brought to the PMI's notice. PMI takes disciplinary actions against individuals who knowingly make false allegations against other project managers. Thus, you must report to PMI first. If your life is threatened, then you must report to the police and the management. [PMI code of Ethics and Professional responsibility, Pages 2, 3] [Prof. Responsibility]

Question 235

``` You are using joint application development (JAD) sessions in a software development project to collect product requirements from stakeholders. Which of the following mandatory standard in the PMI code of ethics and professional conduct is fulfilled with JAD sessions while gathering requirements? Honesty Fairness Responsibility Respect ```

Answer 235

B - Fairness is one of the mandatory standards in the PMI code of ethics and professional conduct. Fairness means not showing favoritism or prejudice. The JAD sessions build trust between the customers and reconcile stakeholder differences since they gives equal opportunity to all stakeholders. [Reference - PMBOK 5th Edition, page 114 & PMI code of Ethics and Professional responsibility, Page 5] [Project Scope Management]

Question 236

You are working in a software development project in which specialized resources are required to perform some tasks. You estimate that these resources will be required during the executing phase of the project. However, your estimation fails to account for the fact that these resources will be available for only limited hours in the executing phase. What should you do to make schedule changes based on the limited availability? Communicate to customers and update the baseline Update the project schedule Update the schedule baseline Perform an impact analysis

Answer 236

D - A project manager must be responsible and communicate truthful information to the customers. However, a project manager must perform an impact analysis before getting the approval from the customer and making changes. Thus, 'perform an impact analysis' is the correct answer. The schedule and schedule baseline are updated after analyzing the impact. [Reference - PMBOK 5th Edition, pages 94, 96 & PMI code of Ethics and Professional responsibility, Page 2] [Project Time Management]

Question 237

While gathering high-level business requirements for a software development project using facilitated sessions, one of your customers proposes a requirement which may not be possible due to technological limitations. If the customer insists on the requirement what should you do? You should not document the requirement You should document the requirement and include it as a risk You should listen to the customer and understand his view point You should document the requirement to meet customer expectations

Answer 237

C - A project manager must communicate honestly and openly with the customer. When customer insists on specific requirements, a project manager should listen to him and understand his point of view. Then, he must gather facts and present to the customer explaining why he is right or wrong. Without factual information project managers should not deny or accept critical requests from the customer. Thus, 'You should listen to the customer and understand his viewpoint' is the correct answer. [PMI code of Ethics and Professional responsibility, Page 3] [Prof. Responsibility]