ADVANCED PROJECT
MANAGEMENT - PRACTICE
QUESTIONS AND ANSWERS –
QUIZ
1. You are a project manager working on a project to market a new product.
The deliverables of the project have been established, and the project work
has begun. A contract to deliver the deliverables has been signed. The
customer who has signed the contract has telephoned you to request
additional work to be done on the project. This work will affect the budget
but not the schedule of the project. This project has a high priority with your
company. What should you so next?
a. Do what the customer asks you to do and add the additional requirements to the
original contract
b. Refuse the request and send a memo to your management explaining the situation
c. Respond to the customer’s request by explaining the change procedure and asking
that he or she submit a request for change
d. Arrange to meet with the project team to discuss this change
2. You are the project manager for a high visibility project. The margin on
this project is low, and it is extremely important that the cost estimates for
the work on the project be accurate. While reviewing the cost estimates for
this project you notice that one of the cost estimates for an element in the
WBS is 10% higher than two previous projects for very similar work. What
should you do?
a. Accept the estimate because you trust all of the people on your project team, and
they are responsible for estimates
b. Reduce the estimate and add the additional budget to the management reserve
c. Ask the person responsible for the estimate to explain the difference and bring
supporting information to you
d. Reduce the estimate and add the additional budget to the contingency reserve
3. You are managing a project in a foreign country. In this country there is
a normal practice for business people to exchange gifts when very large
contracts, such as the one you are working on, are signed. The gift is of a
greater value than your company’s policy for gift exchange will allow. You
have given a gift of similar value to the customer’s representative already.
What should you do?
a. Take the gift b. Contact your company’s management and seek for assistance c.
Refuse the gift graciously, explaining your company’s policy d. Ask the customer’s
representative to give the gift to your manager.
4. You are the manager of a research group that is developing a new
chemical material. You hire a person from a competing company who has a
great deal of expertise in this area. The person contributes greatly to the
progress of your project. During conversation with the person you determine
that many of this person’s ideas were developed by the competing company.
What do you do?
a. Tell the person that he or she should not mention that the ideas came from another
company b. Sign a nondisclosure agreement with this person before he or she leaves
your company c. Accept the new ideas d. Investigate the employee for security
reasons
5. You are managing a project that is in process. A large and unexpected
problem occurs that will cause a delay in the schedule in excess of the
contingency schedule for the project. What should you do?
a. Look at other tasks in the schedule and see which ones should be reduced to allow
time for this problem to be worked b. Reduce testing on the completed tasks c.
Require mandatory overtime for the project team d. Speak to the stakeholders about
getting additional time and budget for the project
6. You are the project manager for a large project. Some members of the
project team have come to you and asked that they be permitted to work on
a flexible schedule. Some of the other team members feel that it is important
that all team members be on site at all times unless they are absent for
business reasons. What should you do?
a. Turn down the request for flexible time schedules b. Accept the request for flexible
time schedules c. Arrange a meeting of the project team members and allow them
to decide d. Discuss this problem with your manager and act on the results of the
meeting
7. You are the project manager for a project that has high visibility. Your
manager wants you to prepare a presentation for him to present at a
conference. Most of the material in the presentation will be facts that are
the results of your project. Your manager intends to present the material
under his own name. Your name will not appear. What should you do?
a. Refuse to work on the presentation unless you are listed as a coauthor b. Do the
work as you were told by your manager c. Present your own presentation d. Meet
with your manager’s manager and discuss the problem
8. You are managing a project and the customer’s engineer visits your
facility on an inspection and general getting acquainted tour. During the tour
they make the comment
that the parts that are being designed should be in stainless steel instead of
plain steel with enamel. What should you do?
a. Authorize the change in design to your engineers b. Continue with the present
design c. Speak to the visiting engineers and discuss having an informal meeting
between your engineers and the visiting engineers d. Ask the visiting engineers to
submit a change proposal to the change system
9. Which of the following is the example of a conflict of interest?
a. You are the fourth cousin of a vendor supplying parts to a project in your company
b. You are the owner of a company that is supplying parts to a project that you are
managing c. You receive a gift from a supplier of parts for your project d. A supplier
tells you sensitive information, in confidence that allows you to select another
supplier for your project
10. You are the project manager for a large project that is completed on time
and on budget. The customer and all of the stakeholders are pleased with
the results. As a direct result of the successful completion of the project,
your manager approves a bonus of $25,000 for you. There are fifteen
members of the project team. One of the people in the project team has been
a very low contributor to the project; the other fourteen have all been above
standard. What should you do with the money?
a. Keep the money yourself; you deserve it. And the manager gave it to you b. Divide
the money equally among all the team members c. Ask the team members how they
would divide the money d. Divide the money equally among the team members
except for the substandard team member
11. One of the members of your project team comes to you and says that he
heard that one of the suppliers to the project had given a substantial gift to
one of the project team members in hopes that the team member would
favor his company with a purchase order. The company was favored with a
purchase order for the parts. What should you do?
a. Talk to the person and get him or her to give back the gift b. Investigate the matter
completely c. Cancel the purchase order with the supplier d. Meet with your manager
and discuss the problem
12. Decomposing the major deliverables into smaller, more manageable
components to provide better control is called:
a. Scope planning b. Scope definition c. Scope base lining d. Scope verification
13. Any numbering system that is used to monitor project costs by category
such as labor, supplies, or materials, for example, is called a. Chart of accounts
b. Work breakdown structure c. Universal accounting standard d. Standard
accounting practices
14. A person who is involved in or may be affected by the activities or anyone
who has something to gain or lose by the activity of the project is called a:
a. Team member b. Customer c. Stakeholder d. Supporter
21. A project manager makes a narrative description of the work that must
be done for her project. This is called a:
a. Project plan b. Control chart c. Statement of work d. Project objective
22. An example of scope verification is:
a. Reviewing the performance of an installed software module b. managing changes
to the project schedule c. decomposing the WBS to a work package level d.
performing a benefit-cost analysis to determine if we should proceed
23. The process of establishing clear and achievable objectives, measuring
their achievement, and adjusting performance in accordance with the
results of the measurement is called
a. Strategic planning b. Contingency planning c. Detailed planning d. Management
by objectives
24. Configuration management is:
a. Used to ensure that the description of the project product is correct and complete
b. The creation of work breakdown structure c. The set of procedures developed to
ensure that project design criteria are met d. A mechanism to track budget and
schedule variances
25. A project manager is employed by a construction company and is
responsible for the furnishing of the completed building. One of the first
things that the project manager for this project should do is to write a:
a. Work breakdown structure b. Budget baseline c. Project charter d. Project plan
26. A project manager is creating a work breakdown structure for her
project. In the work break down structure, the lowest level of the
breakdown for the project manager is called:
a. Activity b. Task c. Work package d. Cost account
27. A project manager is reviewing the scope of the project and the scope
baseline of the project. This includes which of the following?
a. The original project schedule, budget, and scope b. The original project description
and project charter c. The original scope of the project plus or minus any scope
changes d. The current budget of the project
28. A project manager has just become the manager of a project. The
document that recognizes the existence of the project is called:
a. The statement of work b. The project assignment c. The project charter d. The
product description
29. A project manager is reviewing the work breakdown structure for her
project. The WBS of the project represents:
a. All the tangible items that must be delivered to the client b. All the work that must
be completed for the project c. The work that must be performed by the project team
d. All the activities of the project
30. A manager who manages a group of related projects is called a: a. Project
manager b. Project expediter c. Program coordinator d. Program manager
31. A new project has begun. The project charter has been written and the
project manager has been assigned. The project manager is preparing the
work breakdown structure for the project. The WBS is typically used for:
a. Explaining the scope of the project relevant to the client b. The basis for organizing
and defining the total scope of the project
c. Showing the resource conflicts that exist in the project d. The logical relationship
between tasks in the project
32. During the life of a project, the project will go through several phases –
initiating, planning, execution, and closeout. Which phase of the project is
likely to have the greatest amount of its funding spent?
a. Initiating b. Planning c. Executing d. Closeout
33. During the course of the project it is important that the stakeholders be
informed of the progress of the project. One of the reports that is frequently
used is a progress report. Which of the following is true about progress
report?
a. They allow stakeholders to judge the performance of the project according to its
plan b. They are generally considered to be overkill on very small projects c. They
require the use of earned value reports d. They must be produced by the project
manager
34. The coordinated undertaking of interrelated activities directed toward a
specific goal that has finite period of performance is a:
a. Project charter b. Project c. Set of project objectives d. Program
35. The document that is proof of upper management’s commitment to the
project and gives the authority to manage the project to the project manager
is called:
a. The project plan b. The project goals and objectives c. The project charter d. The
project definition
36. A project manager works in a company favoring the weakest authority
for the project manager the type of organization that holds the project
manager to be the weakest is:
a. Projectized organization b. Strong matrix organization c. Weak matrix organization
d. Balanced matrix organization
37. A project manager has been asked by the client to meet the promise date
of the project. The project manager analyzes the schedule before promising
a date to the customer. The project manager uses the program evaluation
and review technique to evaluate the project schedule. She decides that
based on the PERT calculations she can promise a delivery date of June 30.
The expected value of the project completion date is May 30. If the project
manager is willing to accept a 5% probability that the project will be
delivered later than June 30, what is the standard deviation of the duration
of the activities on the critical path? Assume a five-day workweek.
a. Ten days b. Fifteen days c. One-half month d. One month
38. A project is proposed to a customer. Price and schedule for delivery are
agreed upon. The work breakdown structure is agreed to as well. The
customer requests that one of the milestones of the project be completed
by a certain date. The project schedule is reviewed, and it is found that the
expected completion date for this milestone is considerably earlier that the
date requested by the customer. The date for this milestone is which of the
following?
a. Consideration b. Summary activity c. Constraint d. Suggestion
39. A project manager is managing a project. The original scope baseline of
the project was budgeted at $100,000. Since work on the project started
there have been seventeen authorized and approved changes to the project.
The changes have a value of $17,000 and the cost of investigating them prior
to their approval was $2,500. What is the current budget for the project?
a. $100,000 b. $114,500 c. $117,000 d. $119,500
40. In a very large project having a budget of $5 million and a project team
of over one hundred persons, the project manager constructs a work
breakdown structure. The project manager will do the WBS to the detail level
of which of the following?
a. Task b. Activity c. WBS element d. Work package
41. A project manager is managing a project that has reached the end of
planning phase. The work scope has been agreed to and definitive cost
estimates have been completed for the project. The total estimated cost of
the project is $100,000. It is reasonable to expect that the project will not
cost over which of the following value? a. $100,000 b. $110,000 c. $125,000 d.
$175,000
A schedule was developed for a project to install windows in an apartment building.
The project is a rush job, and the contractor has agreed to schedule the work on a
single shift basis but will work seven days per week until the job is done. The project
is to begin on May 1. 42. What day in May will activity D have for its early finish
date? a. May 13 b. May 6 c. May 7 d. May 5
43. What is the free float for activity F? a. 6 b. 7 c. 0 d. 8
44. What is the free float for activity D? a. 6 b. 7 c. 8 d. 0
45. What is the critical path of the project? a. A B E G H b. A B D F H c. A C G H
d. A B E D F H
46. What is the late start for activity F? a. May 10 b. May 11 c. May 12 d. May
14
47. How long is the project in days? a. Nineteen b. Twenty c. Twenty-one d.
Eighteen
48. What is the early start for activity F? a. May 7 b. May 6 c. May 5 d. May 4
49. If there is a delay in activity F of six days, what is the effect on the
project completion date? a. Increases one day b. No change to project completion
date c. Increases two days d. Increases three days
50. What is the early finish date for activity A? a. May 1 b. May 2 c. May 3 d.
May 4
51. The above diagram is called: a. Activity on arrow network diagram b. Network
diagram c. Precedence diagram d. Gantt chart
52. If a project manager were to make Thanksgiving dinner, two of the
activities that might be of concern would be roasting the turkey and baking
the sweet potatoes. In order to ensure that these two items will be finished
cooking and will come out of the oven at the same time, what type of
relationship should he or she use in the schedule between these two
activities? a. Finish – finish b. Start – start c. Finish – start d. Start – finish
61. Which of the following is true? a. The critical path is the path through the
network that has the highest total duration b. The critical path is the path with the
least amount of free float c. The critical path is the list of activities that have zero
float d. The critical path is the list of activities that have critical risks associated with
them
62. Resource leveling will generally: a. Reduce the time needed to do the project
b. Increase the total time necessary to do all the tasks c. Reduce the over utilization
of resources d. Reduce resources to the lowest skill that is possible
63. A task was scheduled to use two persons, full time, and take two weeks
to complete. Instead, the project manager was only able to assign one
person to this task. At the endof two weeks, the person assigned to the task
was 75% complete. What is the cost performance index? a. 0.75 b. 1.5 c. 1.33
d. .5
64. Five tasks are scheduled to be completed in sequence. Each task has a
finish-start relationship with the next task. Each has one day of total float.
As of today, task one and two have been completed on schedule. How many
days of float remain in the schedule of these tasks?
a. Two b. One c. Zero d. Four
65. Which of the following is considered to be a simulation technique? a.
PERT analysis b. GERT analysis c. Monte Carlo analysis d. Critical path method
66. The main difference between the two types (ADM, arrow diagramming
method, and PDM, precedence diagramming method) of the critical path
method (CPM) of scheduling is: a. Placement of the activity on the logic diagram
line b. Arrow diagramming method (ADM) is a deterministic method, whereas the
precedence diagramming method (PDM) is a probabilistic method c. Precedence
diagramming method (PDM) is a deterministic method, whereas the arrow
diagramming method (ADM) is a probabilistic method d. Precedence diagramming
method (PDM) is a more accurate method
67. The project schedule is not used to determine: a. The start and finish dates
of the activities b. Occasional changes to the activity listing c. The total float of the
activities d. The project’s budget
68. A project manager wants to make a trip to California by car. The project
manager knows how many miles it will be to drive to California, the current
price of gasoline, and how many miles the car will go on a gallon of gasoline.
From this information he or she can calculate the estimated cost of the
gasoline for the trip. This is a form of what kind of estimating technique? a.
Definitive b. Analogous c. Parametric d. Quantitative
69. A project manager wants to make a trip to California by car. The project
manager knows someone who has made this trip before. This person has a
similar car to the one that the project manager has, and the person has kept
good records on the money spent for fuel on the trip. The distance that the
project manager will travel is 10% farther than the other person’s trip. By
multiplying the cost of fuel reported by the other person by 1.1, the project
manager is performing what kind of estimate? a. Definitive b. Analogous c.
Parametric d. Quantitative
In a project to install concrete sewer lines there is a lot of uncertainty as to how long
the durations should be for the tasks involved. The project manager has determined
that the team will use the PERT technique to evaluate the project’s completion date.
The diagram shows nine activities and the table shows the optimistic, pessimistic,
and most likely estimates that the team has already made.
53. What is the expected value of the number of days to complete the
project? a. 47.3 b. 22.0 c. 32.3 d. 48
54. It is desirable to make an estimate that has a greater than 95% chance
of being correct. Which of the following ranges of time for the impletion of
the project best describes this probability of being correct?
a. 33.31 to 31.36 b. 34.28 to 30.39 c. 14.39 to 33.48 d. 35.25 to 29.42
55. What is the expected value of the duration for activity B? a. 5.6 b. 2.8 c.
3.0 d. 2.6
81. Using the formula: Present value = S/(1+i)n where i is the interest rate
in percentage, n isthe number of periods, and S is the starting amount, the
following table is produced: Periods 10% 12% 14% 1 0.909 0.893 0.877 2
0.826 0.797 0.769
3 0.751 0.712 0.675 4 0.683 0.636 0.592 5 0.621 0.597 0.519
Based on the table, what is the value of an annual income flow of $1,300
each year overthe next three years at 12%? a. $3122.60 b. $3900.00 c.
$3497.00 d. 36%
82. Lifecycle costing: a. Is a method of including all of the cost associated with the
project over its entire life b. Is a federal government accounting method c. Is a
method of predicting the life of a project d. Is a method of evaluating projects when
they are complete
The following table and description refer to questions 83 through 89. A project
manager is using the earned value reporting method to manage his project.
Thefollowing table shows the data collected to date. The plan is for the
project to be complete aftereight weeks. The earned value report shows data
collected for the first four weeks of the project. The figure shown in the table
are cumulative. Week PV AC EV 1 1,000 1,000 1,000 2 3,000 2,000 2,500 3 5,000
5,000 6,000 4 7,000 9,000 7,000 5 13,000 6 17,000 7 19,000 8 20,000
83. What is the cost performance index for week 4? a. 1.000 b. 0.777 c. 1.286
d. 1.250
84. What is the schedule performance index for week 3? a. 1.200 b. 0.833 c.
1.000 d. 1.500
85. What is the BAC for the project during week 4? a. 7,000 b. 9,000 c. 5,000
d. 20,000
ANSWERS
1. C Respond to the customer’s request by explaining the change procedure and
asking that he or she submit a request for change
2. C Ask the person responsible for the estimate to explain the difference and bring
supporting information to you
3. B Contact your company’s management and seek for assistance
4. C Accept the new ideas
5. A
Look at other tasks in the schedule and see which ones should be reduced to allow
time for this problem to be worked
6. C Arrange a meeting of the project team members and allow them to decide
7. A Refuse to work on the presentation unless you are listed as a coauthor
8. C Speak to the visiting engineers and discuss having an informal meeting between
your engineers and the visiting engineers
9. B You are the owner of a company that is supplying parts to a project that you are
managing
10. C Ask the team members how they would divide the money
11. B Investigate the matter completely
12. B Scope definition
13. A Chart of accounts
14. C Stakeholder
15. C Three years
16. B - $50,000
17. B Less than the total cash flow without the net present value applied
18. C Program
19. D The bulk of the project budget will be spent in the execution phase
20. B Project
21. C Statement of work
22. A Reviewing the performance of an installed software module
23.D Management by objectives
24.C The set of procedures developed to ensure that project design criteria are met
25. C Project charter
26. C Work package 27. C The original scope of the project plus or minus any scope
changes
28. C The project charter
29. B All the work that must be completed for the project
30. D Program manager
31. B The basis for organizing and defining the total scope of the project
32. C Executing
33. A They allow stakeholders to judge the performance of the project according to
its plan
34.B
Project
35.C The project charter
36.C Weak matrix organization
37.C One-half month
38.C Constraint
39.D $119,500
40.D Work package
41.B $110,000
42. B May 6
43.B 7
44. D 0
45.A A B E G H
46. C May 12
47. B Twenty
48. C May 5
49. B No change to project completion date
50. A May 1
51. C Precedence diagram
52. A Finish – finish
53. C 32.3
54. B 34.28 to 30.39
55. B 2.8
56. C .166
57. D Fast tracking
58. A Making the project shorter by any economic means 59. D The baseline schedule
60. B Gantt chart
61. C The critical path is the list of activities that have zero float
62. C Reduce the over utilization of resources
63. B 1.5
64. B One
65. C Monte Carlo analysis
66. A Placement of the activity on the logic diagram line
67. D The project’s budget
68. C Parametric
69. B Analogous
70. C
More accurate
71. C $0
72. A $10,000
73. B Time-phased budget for the project
74. C Life cycle cost
75. C The project budget should be increased by $10,000
76. C Corrective action
77. B The client has authorized a $10,000 addition to the scope of the project
78. D The BAC is equal to the EV
79. A Spending plan, which is the plan for the flow of money to pay for the project
80.C $65,250
81. A $3122.60
82. A Is a method of including all of the cost associated with the project over its
entire life
83.B 0.777
84. A 1.200
85.D 20,000
