Random CAPM 60 This quiz will submit in: Question 1Scenario The Excel Company has decided to allocate all overhead costs to projects based on the number of employees assigned to the project. Part time assignments will be prorated. The company currently has an annualized overhead cost of $1 million and there are 500 employees involved in projects. In the sample scenario above, if a project has 50 full time employees assigned for six months, what is the overhead cost the project must bear? A. $50.000 B. $100,000 C. $200,000 D. Costs of salaries plus direct expenses for 50 employees Question 2Scenario: A project manager must decide whether to purchase a $1 5,000 tool to improve the productivity of her six person team. She guesses that the likelihood of a 10% productivity gain for the six month project duration is 50%. The probability of a 5% in productivity is also 50%. The average team member cost is $80,000 per year. In the sample scenario above, what is the expected monetary value of purchasing the tool? A. $0 B. $3,000 C. $18000 D. $36,000 Question 3Mandatory prerequisite(s) for team building is (are): A. Commitment from top level management. B. Collocation of team members. C. Open discussion of poor individual performance. D. All of the above Question 4A parametric cost estimate: A. Is a very detailed cost estimate. B. Is a top down estimating technique. C. Is a statistical estimating technique. D. B and C. Question 5Ideally, communication between the project manager and the project team members should take place: A. Via daily status reports. B Through approved documented forms. C. By written and oral communication. D. Through the formal chain of command. Question 6The time phased budget that will be used to measure and monitor cost performance on a project is the: A. Spending plan. B. Cost baseline. C. WBS. D. Schedule. Question 7What is an example of a product with high quality but low grade? A. Computer program with multiple errors found before acceptance testing. B. Inexpensive automobile with basic features and an excellent maintenance record C. Gourmet meal at a five-star restaurant. D. Cellular phone with outstanding features which is not affordable to the mass Question 8Of the following conflict management approaches, which is believed to lead to the LEAST enduring positive results? A. Problem solving B. Avoidance C. Compromise D. Forcing Question 9Project sponsors have the GREATEST influence on the scope, quality, time, and cost of the project during the: A. Concept phase. B. Development phase. C. Execution phase. D. Close-down phase. Question 10Your project is behind schedule due to conflict between team members. Having resolved the conflict, to get the project back on schedule, you should consider: A, Crashing the schedule. B. Performing resource leveling. C. Conducting reverse resource allocation scheduling. D. Utilizing the critical chair resources. Question 11When a project manager places a purchase order for a piece of equipment, it represents which of the following? A. Commitment B. Expense C. Cash out-flow D. Capital investment Question 12The project managers leadership style should be matched to the corresponding developmental level of the project team and should move through successive steps in the following order: A. Disciplinary, autocratic, participative. B. Projectized, matrix, functional. C. Team building, team development, responsibility assignment. D. Directing, coaching, supporting, delegating. Question 13Scenario: Early start date = 1/4/99 Early finish date = 1/5/99 Late start date = 1/10/99 Late finish date = 1/11/99 If a task has the dates in the sample list above, what do we know about the task? A. It is not on the critical path B. It has a duration of six days. C. It has negative slack. D. Any slippage will affect the late finish dates. Question 14Scenario: A construction manager is estimating the amount of time to frame a house. The optimistic estimate is five days, the pessimistic estimate is 17 days, and the realistic estimate is eight days. In the sample scenario above, what estimate would the construction manager use if she is using the PERT based estimating method? A. 9 days B. 10 days C. 11 days D. 12.5 days Question 15If the PV (BCWS) was 80,000, the EV (BCWP) was 75,000, and the AC (ACWP) was 71,000, what is the schedule variance? A.-4000 B. 4000 C. 5000 D. -5000 Question 16As a project manager, you know that the most important activity to ensure stakeholder satisfaction is A. Communication report B. Ensuring the staff is happy C. Documenting the requirements D. Maintaining a proper WBS Question 17Cost estimates include all of the following resource categories except: A. Labor B. Materials. C. Inflation allowances. D. None of the above Question 18You've been engaged to manage a project. The estimated cost of the project is $1,000,000. The project sponsor has approved this amount. Your earned value calculations indicate that the project will be completed on time and under budget by $200,000. Based on this calculation, your personal profit will decrease by $2,000. At the completion of this project, the project manager will document and archive all project information. This information may be used for future projects in all areas EXCEPT: A. Estimating duration. B. Administering contracts. C. Resolving conflicts D. Allocating resources. Question 19Configuration management is any documented procedure used to apply technical administrative direction and surveillance to: A. Control cost increases. B. Identify and correct problems arising in functional areas of project implementation. C. Identify and document characteristics of a product or service D. Test new systems against. Question 20Of the following four major processes contained in project cost management, which of the following choices would be concerned with the cost baseline? A. Resource planning and cost estimating B. Cost estimating and cost budgeting. C. Cost budgeting and cost control. D. Resource planning and cost control. Question 21Scenario: A Project manager reads that a vendor he intended to use for a project has declared bankruptcy. He decides that the risk of the vendor going out of business before the end of the project is significant, and decide to use another vendor. In the sample scenario above, what risk strategy is the project manager using in managing the risk of the initial vendor going out of business ? A. transfer B. Assumption C. Avoidance D. Acceptance Question 22Scenario : The Delphi technique is a risk identification method used by project managers to poll expert advice. In the above sample scenario, what is a key characteristic of the Delphi technique ? A. Expert are ranked according to degree of expertise and opinions are weighted accordingly. B. Expert opinions are numerically graded and the mean and standard deviation drive the risk ranking. C. Expert opinions are submitted anonymously D. Once the expert opinions are received, the panel chairman discards any outlying opinions and prepares a summary report for the project manager. Question 23Scenario Project justification and background Scope and objectives of the project Organizational relationships and responsibilities Description of project managersâ€Ÿ authority Resources availability High level project schedule and costs Major milestones Management approval What project document may contain a table of contents similar to the sample list above? A. Project Quality Plan B. Contract Terms and Conditions C. Project Requirements Specifications D. Project Charter Question 24The precedence diagramming method provides project managers with knowledge of: A. All levels of the work breakdown structure. B. Tasks likely to be involved in the project integration and resource allocation functions. C. A graphical representation of the task interdependencies. D. What the project completion date is. Question 25Which of the following is not a necessary input to cost budgeting? A. Cost estimates B. Work breakdown structure. C. Project schedule D. Progress reports Question 26If seven people are intimately involved in the same task and must frequently communicate with each other, how many lines of communication are there? A. Seven B. One C. Twenty-one D. Ten Question 27Which of the following strategies will be most helpful in developing a good client relationship? A. Avoid documentation of issues which may irritate the client. B. Involve the client as much as possible In the project activities C. Communicate with the client through the procurement office to avoid legal entanglements. D. Advise team members to communicate with members of the client organization during scheduled meetings rather than Informally. Question 28Communication is the prime responsibility of a project: A. Expediter. B. Coordinator. C. Manager in a weak matrix environment. D. Manager in a strong matrix environment. Question 29Scenario: A specifications document was sent to the client representative two weeks ago for review and approval. The planned due date for approval or request for revisions was yesterday, and no comments or approvals were received from the client. The client representative is aware of the due date, as he approved the project plan. In the sample scenario above, what client management strategy should the project manager use? A. Assume specifications are acceptable since the review period elapsed B. Do nothing as client reviews are usually delayed. C. Escalate the issue to the client representativeâ€Ÿs boss requesting that the client respond to the document. D. Put subsequent activities on hold and reassign staff to other projects. Question 30Conflict resolution techniques that may be used on a project include: A. Withdrawing, compromising, controlling, and forcing. B Controlling, forcing, smoothing, and withdrawing. C. Confronting, compromising, smoothing, and directing. D. Smoothing, confronting, forcing, and withdrawing. Question 31Which of the following choices would indicate that your project was 10 percent under budget? A. The PV (BCWS) was 100, and the EV (BCWP) was 110. B. The AC (ACWP) was 100, and the EV (BCWP) was 110. C. The PV (BCWS) was 100, and the AC (ACWP) was 110. D. The AC (ACWP) was 110, and the EV (BCWP) was 100. Question 32A scope statement is important because it: A. Provides the basis for making future project decisions. B. Provides a brief summary of the project. C. Approves the project for the stakeholders. D. Provides criteria for measuring project cost. Question 33A precise description of a deliverable is called a: A. Specification. B. Baseline. C. Work package. D. Work breakdown structure element. Question 34Of the following types of cost, which is not important in making a sound financial decision to halt or continue with a project? A. Opportunity cost B. Sunk cost C. Indirect cost D. Direct cost Question 35Cost control is concerned with: A. Influencing the factors that create change to the cost baseline. B. Determining that the cost baseline has changed. C. Managing cost changes when they occur. D. All of the above Question 36Historical results used in cost estimating may include: A. Project team knowledge. B. Project files. C. Commercial cost estimating databases. D. All of the above Question 37An order of magnitude estimate should give the manager an approximate accuracy of: A. - 25 to +75%. B - 10 to +25%. C. - 5 to + 10%. D. - 75 to + 100%. Question 38Which of the following techniques is used to control the project schedule? A. Pareto diagram B. Performance measurement C. Parametric modeling D. Statistical sampling Question 39The measure used to forecast project cost at completion is: A. EAC B. SPI. C. BCWP. D. ACWP. Question 40A Gantt chart is useful in determining: A. The level of effort of a task. B. When a task starts and stops. C. How tasks are related to each other. D. Who is assigned to do a task. Question 41What is a sunk cost? A. The cost of a failed project B. Management reserve C. Money spent over which we have no control D. Overhead cost Question 42A project was estimated to cost $1.5 million and scheduled to last six months. After three months, the earnedÂ value analysis shows the following: BCWP = $650,000 BCWS = $750,000 ACWP = $800,000 What are the schedule and cost variances? A. SV= +$100,000 / CV= +$150,000 B. SV= +$150,000 / CV= -$100,000 C. SV= -$50,000 / CV= +$150,000 D. SV= -$100,000 / CV= -$150,000 Question 43In what way does free float (FF) differ from total float (TF)? A. Free float is the amount of total float that does not affect the end date, whereas total float is the accumulated amount of free float. B. There is no difference, the two terms are functionally equivalent. C. Free float only affects the early start of any immediately following activities. D. Free float is commonly referred to as slack time, whereas total float is commonly referred to as float time. Question 44 Sally Woo is the project manager of a fixed price project nearing completion. The project has been less profitable than planned, but has not lost money. Team members worked 10- 20 hours of compensated overtime per week during the past month to complete the effort. In the above sample scenario, what is an appropriate project close-down activity? A. Ask the client to increase the price of the project to accommodate the increased costs. B. Ask team members to not charge their overtime to improve the project financial performance. C. Inform accounting that they should bill the client for additional costs. D. Conduct a lessons learned meeting Question 45The project manager is critical to project communication because: A. The project manager schedules meetings and creates meeting agendas, thus controlling all communication flow. B. The project manager directly controls most outside communication links, such as those with top management, the client, or other managers. C. The project manager sets the climate and form for good communication among members. D. All of the above. Question 46The MAJOR processes for project integration management are: A. Project plan development, project plan execution, and integrated change control. B. Project plan development, project plan execution, and scope change control. C. Project plan development, overall change control, and scope change control. D. Project plan development, initiation, and integrated change control. Question 47The major processes of project communications management are: A. Communication requirements, information distribution, performance reporting, and administrative procedures. B. Communications planning, information distribution, performance reporting, and administrative closure. C. Communications planning, response planning, progress reporting, and information distribution. D. Communications planning, information distribution, schedule reporting, and stakeholder analysis. Question 48What is a category or rank given to entities having the same functional use but different requirements for quality? A. Grade B. Litmus C. Title D. Certification Question 49As part of the quality audit, the scope statement is checked against the work results to ensure the conformance to the customer requirements. The results should be documented and used for: A. Estimating future projects. B. Changing the project scope. C. Defining future project tasks. D. Validating the quality process. Question 50A change control board (CCB) is: A. A formally constituted group of stakeholders responsible for ensuring that only a minimal amount of changes occur on the project. B. An informal or formal group of team members responsible for changes to a project. C. An informal group that has oversight of project implementation. D. A formally constituted group of stakeholders responsible for approving or rejecting changes to the project baselines. Question 51Which of the following statements would be most likely to be associated with a compromise style of conflict resolution? A. â€œLetâ€Ÿs table this issue and revisit it at the next meeting after we have had time to study the impacts and have developed a point paper in response to the issue.â€ B. â€œThe design will be modified to meet the companyâ€Ÿs quality standards, but we will not satisfy all user requests.â€ C. â€œSusan and John have both raised valid points which can be incorporated into the design.â€ D. â€œWhat do we need to do to solve this problem?â€ Question 52A project coordinator may typically be found in a environment. A. Projectized B. Strong matrix C. Weak matrix D. a and b Question 53Risk response development is intended to: A. Create steps to identify project risks. B. Formulate strategies for dealing with adverse events. C. Construct a list of previous project risks. D. Develop measurements to quantify project risks. Question 54Scenario: Company XYZ has a fixed price contract to produce 10,000 widgets for a price of $100,000. An invoice will not be generated until all widgets are completed. The budgeted cost of manufacturing the widgets is $9 per widget. All widgets were to be completed by today. Unfortunately, the project is behind schedule, and only 9,000 widgets have been completed. Actual manufacturing costs to date are $90,000. In the above scenario, what is the cost variance? A. $0 B. -$5000 C. -$9,000 D. -$10,000 Question 55Present value is the calculation of: A. The total value of the project cost as of today. B. The value to us, today, of future cash flows. C. The rate of return on an investment. D. The sum of all cash inflows and outflows as of today. Question 56To decrease the total project duration for the least cost is called: A. Duration compression. B. Crashing. C. Program evaluation and review technique. D. ADM or PDM forward and backward pass to determine the critical path. Question 57A communication plan: A. Is a document. B. Details â€œwhat information will be gathered, how it will be gathered, and how often it will be gathered. C. Documents distribution schedules. D. All of the above Question 58Fast tracking in time management is: A. Doing some or all activities in parallel rather than in sequence. B. Preparing progress reports on a quick turnaround basis. C. The timely input of data to calculate the critical path. D. All of the above Question 59Scenario: Company XYZ has a fixed price contract to produce 10,000 widgets for a price of $100,000. An invoice will not be generated until all widgets are completed. The budgeted cost of manufacturing the widgets is $9 per widget. All widgets were to be completed by today. Unfortunately, the project is behind schedule, and only 9,000 widgets have been completed. Actual manufacturing costs to date are $90,000. In the above scenario, what is the earned value as of today? A. $0 B. $81,000 C. $85,000 D. $90,000 Question 60When it appears that a design error will interfere with meeting technical performance objectives, the PREFERRED response is to: A. Decrease the performance value to equal the assessed value. B. Develop alternative solutions to the problem. C. Increase the specified value to set a new performance goal. D. Reduce the overall technical complexity of the project.