Explanations

200Questions
94Correct Answers
47%Correct Answers
1. A typical title for a Project Manager in a weak matrix structure is:
Project Coordinator

Project Manager

Project Leader

Program Manager

Explanation:
Answer (a) Project Coordinator. Project Manager in a weak matrix organization typically
performs the coordination role.

2. Which of the following statements is NOT true about product

lifecycle ?
It lasts from conception of a new product to its withdrawal

A product can spawn a single project in its life

The five stages of each product lifecycle are product development,

introduction, growth, maturity and decline

Focuses on managing properties of product from company's business point

of view
Explanation:
Answer (b) A product can spawn a single project in its life. Product lifecycle management
(PLM) is the process of managing the entire lifecycle of a product from its conception,
through design and manufacture, to service and disposal. PLM integrates people, data,
processes, and business systems to provide a product information backbone for companies.
The five stages of each product lifecycle are product development, introduction, growth,
maturity, and decline. A product can spawn or require many projects over its life.

3. A Project Sponsor appointed a Project Manager to a new project and

asked her to get started immediately - even before the charter got
approved. What should the Project Manager do?
Push to create and approve the charter

Start with team ramp-up and planning

Ask some other Project Manager to take over the project

Start the critical activities

Explanation:
Answer (a) The charter is important because it formally authorizes a project. The Project
Manager must do whatever she can to get the charter issued.

4. Which of the following is the MOST appropriate statement to describe

a Project Management Office?
It is the center of excellence for project management in an organization

It is a group of people working on project management activities for a project

PMO provides administrative support to Project Managers in the

organization

It is a council that includes all the Project Managers in an organization

Explanation:
Answer (a) A PMO is supposed to be a center of excellence for project management in an
organization.

5. A manager, managing collection of projects grouped together to

facilitate effective management to meet strategic business objectives is
called a:
Program Manager

Portfolio Manager

Project Manager

Stakeholder

Explanation:
Answer (b) Portfolio Manager. Portfolio refers to a collection of projects or programs grouped
together to facilitate effective management to meet strategic business objectives and the
person managing it is called a portfolio Manager. Portfolio management describes methods
for analyzing and collectively managing a group of current or proposed projects based on
numerous key characteristics like business objectives, technical strategy goal etc.

6. A project sponsor is studying the project contract and going through

the narrative description of products and services to be supplied under
contract. He is also meeting key stakeholders and Subject Matter
Experts to evaluate whether or not the project is worth the required
investment. Which of the following documents would be created as an
output in the process?
Project Statement of Work

Project Charter

Project Management plan

 Organizational process assets

Explanation:
Answer (b) The Project sponsor is in the develop project charter process, in project
integration management and using statement of work to understand the product
requirements and descriptions. The output of this process is a project charter, which once
approved formally initiates the project. A project charter documents high-level project
descriptions and business needs of the project, along with a current understanding of the
customer's needs, risks, name of the sponsor, and so on.

7. As a Project Manager for a pharmaceutical project, you are in the

process of stakeholder analysis. You have identified both internal and
external stakeholders. Which of the following will be least useful for
determining how to engage them?
Use the Influence/Impact matrix

Correct identification of the internal and external stakeholders

Determine and agree on the responsibilities of the internal and external

stakeholders

Giving them extra incentives to win them over to your side

Explanation:
Answer (d) Giving extras to stakeholders to win them over amounts to gold plating or (even
worse) unethical practices, so it is not recommended.

8. Which of the following is NOT true about initiating process group?

Large projects may divide the projects into phases

The project team members are committed

Initial scope and Financial resources are committed

 Internal and External stakeholders are identified

Explanation:
Answer (b) The entire project team is usually not available during initiation, therefore this is
the likely answer.

9. Project team is working on initiating a project. Which of the following

options is NOT true with respect to this situation?
Sponsor is developing the project charter

Project Manager is developing the project charter

Project manager is participating in development of the project charter

Sponsor and project manager together are developing the project charter

Explanation:
Answer (b). As per the new examination content outline, project manager will not develop the
project charter. He will participate in developing the project charter.

10. Harry has been assigned the flyover construction project and he is in
the process of initiating the project. In order to meet the customer's
project expectations, based on the business and compliance
requirements, which of the following should Harry define FIRST?
Key deliverables

Project schedule

Project Statement of Work

Product Statement of Work

Explanation:
Answer (a) According to PMI's classification, the Project Manager should define the Key
deliverables of the project based on the business and compliance requirements in order to
meet the customer's project expectations.

11. Jenny is the Project Manager and is currently in the initiating

process group. She understands that it is critical for project success to
identify stakeholders early in the project. Therefore, she is in the
process 'identify stakeholders'. Of the following, which INPUT may not
be required,
Procurement documents

Project Charter

Expert Judgment

Enterprise environmental factors

Explanation:
Answer (c) Expert judgment is a tool and technique for the 'identify stakeholders' process
and is not an input.

12. One phase is planned at any given time and the planning for the
next is carried out as work progresses on the current phase and
deliverables. Which of the following correctly defines the above text?
Overlapping relationship

Sequential relationship

Multi-phase relationship

Iterative relationship

Explanation:
Answer (d) An iterative relationship is where one phase is planned at any given time and the
planning for the next is carried out as work progresses on the current phase or deliverable.

13. Which of the following statement is TRUE regarding the initiating

process group?
Risk is lowest during the Initiating process group

The project has the highest probability of project success during the Initiating

process group

Project Manager and team is always identified as part of the Initiating

process group

Initiating process group includes the develop project charter and identify

stakeholders process
Explanation:
Answer (d) Initiating process group includes the develop project charter and identify
stakeholders process. Option(a) specifies the risk involvement, option(b) specifies probability
of success.

14. Which of the following is NOT true about the project charter?
It provides the Project Manager the authority to assign organization

resources

Formally authorizes the project

Details the business justification of the project

It states what the project is, what the project will deliver, and how all the

processes will be managed

Explanation:
Answer (d) Project Charter provides the high-level project description and product
characteristics. It authorizes the project and provides the Project Manager the authority to
assign organization resources.

15. You work as a Project Manager at the mobile phone chipset

manufacturer. As predicted by Moore's law, each year your company
introduces new models of mobile phone chipsets which are faster and
more powerful than their predecessors. Mobile phone chipsets that are
obsolete or do not sell are quickly retired from production. The lifecycle
for them begins in R and D, extends to manufacturing, and finally ends
with phase out. This cycle is often referred to as:
Product lifecycle

Project lifecycle

Feedback loop

Product development

Explanation:
Answer (a) Product lifecycle consists of generally sequential, non-overlapping product
phases determined by the manufacturing and control need of the organization. For more
details on product lifecycle, refer to PMBOK 5th edition PN 38.

16. Project management is the application of knowledge, skills, tools

and techniques to manage activities to meet the project requirements.
Which of the following is NOT true about managing a project?
Managing a project involves identifying requirements

It involves addressing the various needs, concerns and expectations of the

stakeholders as the project is planned and carried out

 It involves balancing the competing project constraints such as scope,

quality, schedule, budget, resources and risk

The specific project will not influence the constraints on which the Project

Manager needs to focus

Explanation:
Answer (d) The question has a negative connotation. The specific project will not influence
the constraints on which the Project Manager needs to focus. Refer PN 5 of PMBOK 5th
Edition.

17. A Project Manager has defined the key deliverables of the project
based on the business and compliance requirements. He is now
identifying and documenting high-level risks, assumptions and
constraints based on current environment, historical data and/or expert
judgment, in order to identify project limitations and propose an
implementation approach. Which process group is he in?
Initiating

Planning

Executing

Closing

Explanation:
Answer (a) It is during the initiating process group that we identify and document high-level
risks, assumptions, and constraints in order to identify project limitations and thereafter
propose an implementation approach.

18. All of the following are functions of the 'project management office'
except,
 Monitoring compliance with project management standards policies,

procedures and templates via project audits

Coaching, mentoring, training, and oversight

Managing shared resources across all projects administered by PMO

Identifying and developing the organization's methodology, administrative

practices, and rules

Explanation:
Answer (d) Identifying and developing the organization's methodology, administrative
practices, and rules. The PMO's role is to identify and develop the project management
methodology, best practices, and standards.

19. Of the following, which is the truest statement?

Cost and staffing levels are high at the start

Ability to influence the final characteristics of the product without impacting

the cost is highest at the start

Uncertainty is the least at the start of the project

Stakeholder influences increase over the life of the project

Explanation:
Answer (b) Ability to influence the final characteristics of the product without impacting the
cost is highest at the start. Cost and staffing levels are low at the start. Uncertainty is
greatest at the start of the project. Stakeholder influences are greatest at the start of the
project and decrease over the life of the project.

20. Your development team is waiting for the design team to finish their
work. As a Project Manager, you have decided to use this approach to
reduce uncertainty in the project. Which of the following relationships
does this describe?
Iterative relationship

Sequential relationship

Overlapping relationship

Common relationship

Explanation:
Answer (b) Sequential relationship. A sequential relationship is the stage where a phase can
only start once the previous phase is complete. The step-by-step nature of the approach
reduces uncertainty but may eliminate options for reducing the schedule.

21. Which of the following is NOT TRUE for stakeholders?

Stakeholders can be customers, sponsors and the performing organization

Stakeholders can not exert influence over the project, its deliverables, or

project team members

Stakeholder identification is a continuous process

A project can be perceived as having both positive and negative results by

the stakeholders
Explanation:
Answer (b) This statement is wrong as stakeholders can exert influence over the project, its
deliverables, and team members.

22. You are developing the project charter for the new project assigned
to you. Which of the following is NOT part of the enterprise
environmental factors?
 Lessons learned from previous projects

Work authorization system

Government and industry standards that affect your project

Knowledge of which departments in your company typically work on projects

Explanation:
Answer (a) Lessons learned are part of the organizational process assets.

23. You are being hired to manage a highway construction project for a
contractor working for XYZ. The sponsor is a project officer who works
for the XYZ municipal government. You have three separate teams
working all three shifts, with a separate manager for each team. Each
team has members from two different unions, and each union has its
own representative. Who is the BEST person to approve the project
charter?
Project Manager

Union representatives

Project Officer who works for XYZ

Team Managers

Explanation:
Answer (c) Project Officer who works for XYZ. Since this person is the sponsor, he is
responsible for approving and signing the charter.
24. Two members of a team are disagreeing about the right electric
parameters for testing a newly designed chipset. Who is in the best
position to help resolve this issue?
Project Manager

Project Sponsor

Functional Manager

Customer

Explanation:
Answer (c) The issue requires functional expertise and hence the functional Managers are
best able to assist in this matter.

25. A Project Manager is identifying relevant enterprise and

environmental factors in his project. Which of the following is NOT a
valid example?
Organizational Culture and processes

Stakeholder Risk Tolerances

Employee performance Review records

Historical lessons learned knowledge base

Explanation:
Answer (d) These are parts of the corporate knowledge base in organizational process
assets. The others are examples of enterprise and environmental factors. It refers to both
internal and external environmental factors that surround or influence project success either
positively or negatively. To go through a list of examples for enterprise and environmental
factors refer to PMBOK 5th edition Introduction PN 28.
26. A hospital is installing a new management system to computerize
the hospital functions. For this purpose, representatives from several
departments are selected to create a task force assigned to implement
the project. This organization structure is called?
Functional Organization

Projectized Organization

Composite Organization

Balanced Matrix Organization

Explanation:
Answer (c) Many times even a fundamentally functional organization may create a special
project team to handle a critical project. This may have many characteristics of a project team
in a projectized organization. The team may include full-time staff from different functional
departments, may develop its own set of operating procedures, and may operate outside the
standard, formalized reporting structure.

27. As a Project Manager, you are in the process of establishing the

total scope of the effort in the project to define project objectives. For
this purpose, you include relevant stakeholders and explore all the
aspects of scope, cost, time, risk quality, etc. Which process group of
the project are you currently in?
Initiation

Planning

Execution

Monitor and Control

Explanation:
Answer (b) The planning process group consists of processes performed to establish the
total scope of the effort, define the objectives, and develop the course of action required to
attain those objectives. For this purpose, a Project Manager should include relevant
stakeholders and explore all the aspects of scope, cost, time, risk, quality, etc. The result of
this planning process group is the project management plan.

28. A Project Manager and his team have finished creating the Work
Breakdown Structure (WBS) and Work Breakdown Structure dictionary.
Afterwards, he prepares a detailed and itemized documentation of all of
the schedule activities that are part of the project. What should he do
NEXT ?
Create Network Diagram for the project

Determine quality standards, processes and metrics

Determine high-level project assumptions and constraints

Conduct project progress meeting

Explanation:
Answer (a) The Project Manager has created a WBS, a WBS dictionary, and an activity list in
the planning stage. The next step would be to create a network diagram for the project.
Quality standards and metrics can be identified once project schedule and budget are
determined. Option C, is done as part of project initiation and is completed much earlier.
Option D, is done in the executing stage of the project.

29. A Project Manager is working on planning a project that requires

review and oversight for a number of technically complex tasks. Who
should identify the specific resources for performing the reviews?
The Project Manager

The Project Sponsor

 Functional Managers

Customer

Explanation:
Answer (c) Since nothing is given about the organization structure, we have to assume that it
is a matrix or functional organization, where the resources are owned by the functional
Managers and they would provide and identify these resources.

30. A key responsibility of the Project Manager is to ensure the proper

assimilation of the project management processes and coordinate the
process phases through the project management cycle. Also, she
ensures that all areas of the project come together to successfully
deliver the project. This involves balancing the basic aspects of scope,
cost, and schedule in addition to managing quality, communication,
customer satisfaction, etc. The role of the Project Manager can be best
described as?
Integrator

Leader

Communicator

Differentiator

Explanation:
Answer (a) The role of a Project Manager is the combination of all the above options, but the
one that is most critical to the project's success is that of an Integrator. As described in the
question, a Project Manager is expected to integrate the project management processes and
coordinate the process phases through the project management cycle to ensure that all
areas of the project come together to successfully deliver the project. Integration involves
pulling together all aspects of project management including scope, cost, schedule, quality,
and communication in addition to working with other departments such as Legal, Human
Resources, Training, Contract Administration, and Information Technology.
31. A key stakeholder from the quality department wants to know more
on how the process tailoring was done by the project team. Additionally,
he would like to know the rational for selecting processes, their
implementation level details, and how they will be used to manage the
interdependencies. Which document should the Project Manager refer
him to?
Project Statement of Work

Project Scope Statement

Project Management Plan

Work performance Information

Explanation:
Answer (c) The results of process tailoring by the project team are captured in the project
management plan, along with all the other information required by the stakeholder.

32. A Project Manager has invited key stakeholders and team members
for the first meeting of the project. The agenda of the meeting is to
announce the start of the project, outline the project goals and
objectives, as well as communicate the project success criteria. The
Project Manager also plans to discuss the individual roles and
responsibilities, along with the commitment of the stakeholders. What is
this activity called?
Project Sign- off meeting

Charter closure meeting

Project launch meeting

 Project kick off meeting

Explanation:
Answer (d) The kick off meeting which is done in the beginning of the project and then before
starting each new project phase has four main objectives: a) Publicly state the beginning of
the project; b) Outline the project goals as well as the individual roles and responsibilities of
team members; c) Clarify the expectations of all parties; d) Create a commitment by all those
who influence the project's outcome.

33. You are a Project Manager of a highly visible and critical project in
your company. This project was initiated with much fanfare and you have
some of the best technical experts as a part of the project team. You are
in process planning and detailing the scope of the project when you
hear the project is being terminated. What could be the MOST likely
cause?
Senior management didn't approve the project charter

The project team didn't have required technical expertise

The Project Sponsor failed to support the project

The project contract was not signed off by customer

Explanation:
Answer (c) The answer to this question can be reached by process of elimination. Since the
project is already initiated and is in the planning stage Option A, and (d) can't be true. There
is no evidence to believe Option B, and the most probable explanation could be failure to
support project by sponsor. The term sponsor, by definition, suggests a financial
responsibility. This sponsor is thought to 'own' the project and is considered responsible for
ensuring its success. He/she is also typically the one who proposes the project in the first
place; whose business unit reaps its benefits.

34. You are working on a project to build a hybrid car which would run
on both diesel, as well as electricity. This car would have a 1000 cc
engine and work on a regenerative braking system. It should be able to
seat four passengers including a driver and comply with Euro 4
emission norms. This information should be captured in which of the
following documents?
Product Scope

Project Scope

Scope baseline

Requirements Management Plan

Explanation:
Answer (a) If you got confused with project scope, remember that the above statements
describe the features, functions, and requirements which are part of defining product scope.
To differentiate project scope from product scope read through the definition of each. Product
scope: the features and functions that characterize a product, service, or result. Project
scope: the work that needs to be accomplished to deliver a product, service, or result with
the specified features and functions. The product scope describes the thing or service that
will exist as a result of your project. The project scope, on the other hand, describes all of the
work to create the product scope. It includes all of the work, and only the required work, to
complete the project deliverable. Note: completion of project scope is measured against the
project management plan, project scope statement and its associated Work Breakdown
Structure (WBS ), WBS dictionary, and scope baseline. Completion of product scope is
measured against product features or requirements.

35. A Project Manager is in the process of documenting and defining

stakeholder's needs to meet project objectives. What is the output of this
process?
Stakeholder Register

Stakeholder Management Strategy

Requirements Documentation
 Issue Log

Explanation:
Answer (c) The Project Manager is in the process of 'collect requirements' which has the
output - requirements documentation. This document describes how individual requirements
meet the business need for the project. It is important that the requirements documented are
unambiguous (measurable and testable), traceable, and acceptable to key stakeholders.
Option A, stakeholder register is only a list of stakeholders in the project, whereas Option B,
stakeholder management strategy describes the strategy to manage stakeholder
expectations. Option D, issue log is a document to capture project issues.

36. You have taken over as a Project Manager of a complex and

technically challenging project. To add to the problems, your team is
from diverse cultures and lack bonding. You want the team to participate
and take ownership of the project activities, as well as understand the
'big picture of the project'. Which of the following activities would be
most helpful?
Use co-location to help team bond better which in turn would maximize

productivity

Create Work Breakdown Structure (WBS)

Develop Responsibility Assignment Matrix to describe roles and

responsibilities of every team member

Conduct knowledge sessions where each member appraise the team about

his culture
Explanation:
Answer (b) Create Work Breakdown Structure (WBS) and WBS dictionary with the team. The
Project Manager wants the team to take ownership, as well as understand how their
individual project activities affect the overall project deliverable (the big picture). He also
wants the team to develop bonding. All these objectives are met when the team gets involved
in creating the Work Breakdown Structure (WBS) and WBS dictionary. Option A, may not be
always possible due to physical constraints in the project. Option D, has limited utility but
Option B, is the best choice as it fulfills multiple project objectives.
37. You are a Project Manager working on a critical project. You track
the project schedule closely. While going through the critical path, you
realize that the project is showing negative float. What is your BEST
response to the situation?
Use a schedule compression technique

Reduce the number of resources from the project

Reduce the number of non- critical activities in the project

Revisit the risks and do a risk analysis of the project

Explanation:
Answer (a) The best option is to compress the project schedule because the critical path
activities can be delayed thus resulting in a negative float. In this case, the Project Manager
should use a schedule compression technique such as fast tracking or crashing.

38. A Project Manager is in the process of analyzing activity sequences,

durations, resources requirements, and schedule constraints to create
an approved project schedule. What should he do NEXT?
Determine Resource Requirement for each activity in the project

Use techniques like Critical Path method, What-if Analysis to calculate

optimum duration of the project

Use this approved schedule duration as a baseline and start tracking the

project

Create a Network diagram of the project using one of the diagramming

methods
Explanation:
Answer (c) Use this approved schedule as a baseline and start tracking the project. The
Project Manager is in the process 'develop schedule'. Since he has already derived an
approved project schedule, it implies Option A,,(b) and (d) are already completed as part of
the processes estimate activity resources, develop schedule, and sequence activities. The
next step would be to treat this estimate as a schedule baseline and start tracking the project
as part of the process 'control schedule'.

39. As a Project Manager you are estimating the duration of your project
activities using PERT technique (Program Evaluation and Review
technique). For a particular project activity, your optimistic estimate is 41
days, pessimistic estimate is 89 days and most Likely estimate is 60
days. What would be the expected duration and range of the estimate
for this activity?
61.67 +/- 8.00

31.27 +/-8.00

61.67 +/-3.00

31.27 +/-3.00

Explanation:
Answer (a) 61.67 +/- 8.00 PERT allows the estimator to include three estimates: optimistic,
pessimistic, and most likely, given by the equation: Expected Duration = [P + 4(ML) + O]/6
and range is +/- standard deviation = (P-O)/6, where P is the pessimistic estimate, ML is the
most likely estimate, and O is the optimistic estimate. Using this method the correct answers
comes out to be 61.67 days and Range (+/-Standard Deviation) as 8.00.

40. A project activity has the following values for the earliest and latest it
can start and earliest and latest it can be completed. An activity's Late
Start (LS) is 5/day and Late Finish is (LF) 10/day. Similarly Early Start
(ES) is 3/day and Early finish (EF) is 8/day. What is the float of this
activity?
0 days
 4 days

2 days

-3 days

Explanation:
Answer (c) Float for an activity can be calculated using any of the two formula (i.e. Float =
LS-ES or LF-EF). In this case, float = 5-3 or 10- 8 or 2 days. Remember, float or slack is the
amount of time a task in a project network can be delayed without causing a delay to
subsequent tasks (free float) or the project completion date (total float).

41. An activity cannot be started until the predecessor also starts. This
is an example of:
Finish-to-Start

Finish-to-Finish

Start-to-Start

Start-to-Finish

Explanation:
Answer (c) This is an example of a start-to-start dependency. It means that B can't start
before A starts or in another words Activity B can start after Activity A has started.

42. A Project Manager on understanding the information needs of

important stakeholders and documenting how they would be met. Which
document is being prepared?
Stakeholder Register

Stakeholder management plan

 Human resources management plan

Communications Management Plan

Explanation:
Answer (d) Communications management plan contains details of how the communication
needs of the project's stakeholders will be met.

43. You are managing a project which would provide e-learning

solutions to your customer. The requirements of this project are not
clearly defined in the beginning and there would be modifications based
on customer feedback as the project evolves. You decide to plan as
much as you can and begin to create work while continuing the
planning. Which of the following techniques would be the most helpful
while defining activities for the project?
Rolling Wave Planning

Templates

Extreme Programming

Just in Time

Explanation:
Answer (a) Rolling wave planning is a form of progressive elaboration where work to be
accomplished in the near term is planned in detail and future work is planned at a higher
level of the Work Breakdown Structure. Therefore, work can exist at various levels of detail
depending on where it is in the project lifecycle. As more information is known about
upcoming events, the higher level work packages can be decomposed further. Option B,
templates which are usually standardized would not be a very helpful tool for evolving
requirements. Option C, and (d) are not recognized tools and techniques of project time
management.
44. The optimistic time estimate for an activity is 11 days; pessimistic is
25 days and most likely is 15 days. What is the expected time for this
activity?
16 days

15 days

21 days

18 days

Explanation:
Answer (a) Expected time = (O + 4M + P)/6 = 16

45. A Project Manager wants to determine the variance for an activity

estimate using a three point estimate with the following data
Pessimistic=14, Optimistic=2, Realistic=5. What is the variance?
5

Not enough information

Explanation:
Answer (c) The formula for variance = [( Pessimistic-Optimistic)/6]squared. The answer is 4.

46. Which of the following statements about critical paths is TRUE?

It is the shortest path from start to finish
 All the activities on the critical path do not have any float

A project will have one and only one critical path

A critical path takes into consideration logical as well as resource

dependencies
Explanation:
Answer (b) Critical path activities do not have any float. If any activity on the critical path is
delayed, the completion of the project will be delayed by an equal amount. To determine the
critical path, we have to add the amount of time estimated for the duration of each activity to
the previous activity.

47. You are a Project Manager and in the early phase of estimating the
cost of the project. You use the analogous method of estimating and
have come up with the rough order of magnitude. While presenting it to
your sponsor and stakeholders, one of the stakeholders asks if you have
also done lifecycle costing for the project. What is your BEST response?
Project Cost estimating is primarily concerned with cost of the resources

needed to complete the project and needn't consider any other costs

Since it is the initial stage of the project cost details required for lifecycle

costing of the project are not available and hence it is not relevant

Lifecycle costing provides the lowest long- term cost of ownership and

should be used as a management decision tool, in case of alternatives

Lifecycle costing should be done by the Project Sponsor as it impacts long

term business decisions

Explanation:
Answer (c) Lifecycle costing provides the lowest long term cost of ownership and should be
used as a management decision tool. Although project cost management is primarily
concerned with the cost of the resources needed to complete the project (Option A, partly
true), it should also consider the effect of project decisions on the subsequent recurring cost
of using, maintaining, and supporting the project. Hence, lifecycle cost analysis can be used
to assist management in the decision-making process. Remember, lifecycle costing looks at
the entire cost of the product (not just the cost of project).

48. As a Project Manager you are working with your team to explore
alternatives to decrease project cost without compromising on
performance or scope of the project. You are most probably using which
of the following techniques?
Benchmarking

Reverse Engineering

Process Analysis

Value Analysis

Explanation:
Answer (d) Value analysis is also referred to as 'value management' or 'value methodology'
(VM), and 'value analysis' (VA). It requires the systematic approach to identify project
functions and assign values to those functions to get the functions at lowest overall cost
without loss of performance.

49. Which of the following is a tool and technique for the Determine
budget process?
Monte Carlo analysis

Delphi technique

Funding Limit Reconciliation

Parametric estimation

Explanation:
Answer (c) Funding limit reconciliation is one of the techniques used in the Determine budget
process. See Page 208 of the PMBOK 5th edition.

50. Which of the following are the MOST important to derive the total
funding requirements and periodic funding requirements of the project?
Management Reserve and Contingency Reserve

Cost Baseline and Management Reserve

Funding Limit Reconciliation

Project Budget and Contingency Reserve

Explanation:
Answer (b) The total funds required in the project are those included in cost baseline, plus
management reserve if any. Remember, the cost baseline includes contingency reserves
because the cost baseline will include projected expenditures plus anticipated liabilities.
Please refer to PMBOK 5th edition Project Cost Management PN 206 for more details.

51. As a Project Manager for the project in the planning stage, you have
derived the cost estimates by estimating the cost of individual work
packages. It is summarized to higher levels for reporting and tracking.
What would be the range of estimates from the actual?
-50 percent to +100 percent

-50 percent to +50 percent

-10 percent to +25 percent

"-5 percent to +10 percent"

Explanation:
Answer (d) This is the definitive range derived during the latter part of the project when
project information is available in sufficient detail. The estimates could become more refined
to a range of -5 percent to +10 percent from the actual. This estimate is usually derived using
the bottoms up estimation technique.

52. You are a Project Manager planning to launch a new product in the
market. For this purpose, you are analyzing the existing products in the
market to understand their best practices. You also compare industry
standards for performance metrics including cost, cycle time,
productivity, and quality to come up with your own product metrics. You
are doing which of the following activities?
Cost Benefit Analysis

Value Engineering

Benchmarking

Process Analysis

Explanation:
Answer (c) Benchmarking is a management tool through which a plan for evaluation,
measurement, and improvement is implemented. It is the process of comparing the business
processes and performance metrics including cost, cycle time, productivity, and/or quality to
another that is widely considered to be an industry standard benchmark or best practice. The
objective of Benchmarking is: (1) to determine what and where improvements are called for;
(2) how other firms achieve their high performance levels; (3) use this information to improve
the firm's performance. Option D, process analysis is a tool and technique of the quality
assurance process which involves following steps in the quality improvement plan to identify
needed improvements. Please refer PMBOK 5th edition Project Quality Management PN 239
for more details.

53. A Project Manager has derived quality metrics along with tolerance
limits for his project. He is in which part of the quality management
knowledge area?
Plan Quality Management
 Perform Quality Assurance

Perform Quality Control

Define Scope

Explanation:
Answer (a) Quality metrics are determined as an output to the process plan quality, along
with tolerance limits for each of them. A metric would give the actual value or the
measurement of a project or product attribute, whereas a tolerance defines the allowable
variations on the metrics. The selection of these metrics in a project would heavily depend on
the type of the project and the objective of collecting the metrics.

54. A Project Manager wants to capture the details of activities he would

be doing to enhance the value of the process, including their inputs,
outputs, and interfaces with other processes. Which of the following
documents would be MOST helpful?
Project Management Plan

Quality Management Plan

Process Improvement Plan

Product Management Plan

Explanation:
Answer (c) While Option B, describes how the project management team will implement the
quality policy of their organization; the process improvement plan is more focused on
enhancing the value of the process in a project. It includes determining process boundaries,
process metrics, targets for improved performances, etc. Please refer PMBOK 5th edition
Project Quality Management PN 241 for more details.
55. In order to determine the target fuel efficiency for a hybrid car being
designed, a Project Manager is looking at published statistics for similar
models in the industry. The technique being used is called:
Brainstorming

Benchmarking

Statistical sampling

Design of Experiments

Explanation:
Answer (b) What the Project Manager is trying to do is essentially look at the industry
benchmark and make sure that the product is in line with it. This is the benchmarking
technique.

56. Which of the following would not be part of 'cost of conformance'?

Prevention cost

Appraisal cost

Internal failure cost

Cost of training

Explanation:
Answer (c) Internal failure cost (including failure found by the project internally like rework
and scrap) are not part of the cost of conformance. All the failure costs (including external
failure costs) are referred to as the cost of poor quality. Remember, the cost of conformance
denotes the money spent during the project to avoid failures. Please refer PMBOK 5th edition
Project Quality Management PN 235 for more details.

57. A Project Manager is planning a project and he is creating a plan to

describe how human resource requirements in the project would be met.
He is using a bar chart tool called a Resource Histogram for charting
this requirement. However, he notices that some of the individual bars in
the Resource Histogram extend beyond the maximum allowed hours.
What should the Project Manager do to correct it?
Reduce Scope

Extend Working Hours

Resource Leveling

Schedule Compression

Explanation:
Answer (c) Resource leveling is required whenever individual bars in the Resource
Histogram extend beyond the maximum allowed hours. Resource leveling can be done by
either adding more resources or modifying the schedule. Option A, Reducing scope or (b)
extending working hours would be detrimental to the project's success and is not
recommended here. Option D, schedule compression which can be done through either
crashing or fast tracking wouldn't necessarily be helpful. Since specific bars are showing an
overflow, it can be best tackled using resource leveling.

58. According to Maslow's Hierarchy of needs, what comes HIGHEST

on the pyramid?
Social

Safety

Physiological

Hygiene Factors

Explanation:
Answer (a) According to Maslow, there are five levels of human needs from bottom to top.
They are: physiological, safety, social, esteem, self-actualization. Option D, Hygiene factors
are part of Herzberg's theory.

59. A pharmaceutical company wants to launch a new over-the-counter

medication for flu in the U.S. The Project Manager is identifying project
communication constraints. Which of the following is NOT a valid
constraint?
Get an FDA approval before producing or selling the medicine

The key person responsible for communicating the information on the project

may not be available through the entire project

The milestone meeting should be attended by all the major key stakeholders

The project has teams working in different geographical locations and time

shifts
Explanation:
Answer (b) The key person responsible for communicating information on the project may not
be available through the entire project. A communication constraint is usually derived from
specific legislation or regulation (Option A), organizational policies (Option C), or a project
constraint (Option D) which limits the project's options during communication management.
However, (Option B) is an uncertain event or risk in the project which needs to be addressed
through risk management.

60. You are a Project Manager in a financial firm with multinational

dealings. You feel the financial meltdown in one of the client's countries
could affect your project adversely and you want to hedge your risks.
Although the probability of occurrence of the event is low, you are
advised to play it safe. In terms of risk attitude, your organization could
BEST be described as?
Risk Seeker
 Risk Averse

Risk Neutral

Risk Mitigator

Explanation:
Answer (b) Someone who doesn't want to take risks is called risk averse and the Project
Manager seems to be part of such an organization. Option C, risk neutral describes a
person/or an organization which is indifferent to the risk and Option A, risk seeker suggests
an aptitude to take risks with an opportunity for higher returns. Option D, risk mitigation is a
risk response strategy and is an invalid choice.

61. Which of the following is NOT a tool used in the perform qualitative
risk analysis process?
Probability and Impact Matrix

Risk Prioritization

Monte Carlo Simulation

Root cause identification

Explanation:
Answer (c) Monte Carlo Simulations are typically associated with the quantitative risk
analysis process. It generates the output as a range instead of a fixed value and shows how
likely the output value is to occur in the range.

62. Which of the following is an example of Lead?

Pillars for the structure can be started 7 days after the foundation to allow for

curing
 Test lab preparation can start 5 days before the product is made available for

test

Both test planning and product development can start simultaneously after

design is finalized

Crash tests cannot be carried out until a working final model is made

available
Explanation:
Answer (b) Lead means that the successor activity can start in advance of the predecessor
activity.

63. The estimating technique that uses a statistical relationship between

the historical data and other variables to calculate an estimate for an
activity is called:
Analogous Estimating

Parametric Estimating

Three Point Estimating

Monte Carlo technique

Explanation:
Answer (b) Parametric estimating is an estimation technique which utilizes the statistical
relationship that exists between a series of historical data and a particular delineated list of
other variables. Some examples of these variables include square footage in a construction
project, the number of lines or code that exist in a software application, and other similar
variables. This information is then implemented for the purpose of calculating and
demonstrating an estimate for the activity parameters.

64. In which form of contract will the cost risk lie with the seller?
 CPIF

T and M

CPAF

FP

Explanation:
Answer (d) Cost risk lies with the seller in a Fixed price contract.

65. While responding to a procurement request, the seller outlined the

detailed technical solution, provided a handful of past customer
references and also made a detailed commercial offer. Which
procurement document would the seller is most likely going to respond
to?
Request for Quotation

Request for Proposal

Invitation for Bid

Bidder conference invitation

Explanation:
Answer (b) A RFP requests for a detailed proposal.

66. You are in the process of implementing approved changes,

corrective actions, preventive action, and defect repairs in the project.
You are in which of the following process groups?
Initiation
 Planning

Execution

Monitor and Control

Explanation:
Answer (c) The executing process group involves coordinating people and resources, as well
as integrating and performing the activities of the project in accordance with the project
management plan.

67. You are a finance specialist who has been assigned to an

organization wide project in a Strong matrix structure. The Project
Manager requests you to work on a report, which you do not feel is
necessary. You have tried to reason with the Project Manager about this
but the Project Manager insists it is required. What should you do?
Escalate to your functional Manager

Provide the report

Set up a meeting with the Project Manager to discuss the issue

Ignore the request and work on other important tasks

Explanation:
Answer (b) As a team member, you need to respond to the request - even if you do not
personally agree with it. Since you have already tried to reason with the Project Manager,
option-C is also not appropriate.

68. A Project Manager realizes that a lot of time and effort is spent by
his team in capturing the data during product testing. The best option to
address the issue is?
To stop capturing the data as it doesn't add any value to the project activity
 Allocate a time at the end of the day to update all the data together

Ask for an additional resource to capture project data

Automate the data capturing process

Explanation:
Answer (d) The best alternative is the one which eliminates the root cause of the problem
and prevents subsequent changes. Here the main problem is the inefficient use of time and
effort of team members in capturing the data. The best way to address this is to automate the
process thus reducing both time and effort. Option B, could result in incorrect and incomplete
data because it's not recorded at the time of capturing. Whereas Option A and Option C,
suggest the Project Manager evade the responsibility of producing valid project data.

69. A Project Manager is facing many serious issues in his project to

create an application for a hospital management system. The project's
final deliverable is scheduled for two weeks from now. It needs to fulfill
compliance to mandatory government health standards. In addition to
that there are some changes required to improve performance which the
Project Manager feels will make the customer happy. Amidst all of this, a
senior test engineer asks the Project Manager for a long leave. Which is
the most critical issue the Project Manager needs to address FIRST?
Ensure product is compliant to government health standards

Find a replacement for the senior tester and ensure he completes knowledge

transfer before leaving

Complete change control process to incorporate changes to enhance

performance

Notify the customer about probable delay in the final deliverable to avoid

surprise later
Explanation:
Answer (a) Ensure product is compliant to government health standards. This question
exemplifies a typical scenario when a Project Manager needs to integrate information and
prioritize the most critical issue. In this scenario, Option C, is part of gold plating and is not
actually required in the project. Option B, can pose some trouble to the Project Manager. The
question doesn't clearly establish whether the resource is leaving before or after the final
delivery. There is no indication that his absence would adversely affect the project delivery. In
this situation, the most important thing to focus on should be the compliance testing because
it is a mandatory requirement on the project.

70. You are a Project Manager taking over a project midway. It is in the
execution phase. You would like to know more about project
deliverables, work required to complete those deliverables, project
constraints, assumptions, etc. Which of the following documents would
be MOST useful?
Work Breakdown Structure (WBS

Requirements Documentation

Activity List

Project Scope Statement

Explanation:
Answer (d) The Project Manager should refer to the project scope statement as it captures all
of the details related to the project scope including product acceptance criteria, scope
description, project deliverables, constraints, assumptions, etc. Option A, and Option C,
define project scope at the smaller work package and activity level respectively. Option B,
Requirements Documentation captures requirements of the project related to quality,
functional and non-functional requirements, support requirements, etc. and is an incorrect.

71. Which of the following is an output of the Direct and Manage project
work process?
Project Charter updates
 Work performance information

Approved change requests

Change requests

Explanation:
Answer (d) Change request is one of the outputs of this process.

72. A project is relying on a contractor to deliver a component. The

contract informs the Project Manager about the likelihood of a 3 week
delay in the delivery date. What should the Project Manager do?
Meet with the team to discuss the issue

Escalate the matter to the senior management of the contractor as per the

escalation matrix

Issue a formal show-cause notice asking why the contract should not be

submitted

Inform the senior management and customer about the possibility of delay to

the overall project due to the delayed component

Explanation:
Answer (a) The first thing to do is to understand the impact and find out how the impact can
be contained. Only after this is done, can other steps be considered.

73. You are managing an e- banking solution project when the Vice-
President of the company calls you to discuss an opportunity to manage
a critical company project which can boost your career and professional
experience. Your e-banking solution project is due to complete in 3
weeks. What is your best response to the Vice-President?
 You would surely like to manage both the projects together as the latter is a

critical project for the company

You would use a compression technique to finish your current project faster

and then take up this new project

Since the new project is more critical to the organization, you could take this

project immediately and your earlier project can be managed by someone else. It
is coming to a close anyway.

The project should first develop an approved project charter which would

formally initiate the project

Explanation:
Answer (d) The project should develop an approved project charter which would formally
initiate the project. An approved project charter formally initiates a project and authorizes a
Project Manager to apply resources to the project. A project without a project charter is not a
project. With this in mind, a Project Sponsor should first develop a project charter. All the
other Options A, B, and C are not suitable until the new project is formally initiated.

74. You are managing a large project team that has some new members
joining. You would like to take the entire team through the project
schedule and update them on where the project stands with respect to
the original plan. Which of the following charts would be most helpful for
this purpose?
Gantt Chart

Milestone Chart

Work Breakdown structure

Schedule Baseline
Explanation:
Answer (a) A Gantt chart is a bar chart that shows the activities of a project, when each must
take place, and how long each will take. As the project progresses, bars are shaded to show
which activities have been completed. People assigned to each task also can be
represented. This is the most effective tool to show the people assigned to the project where
they are with respect to the original plan.

75. An infrastructure company had an option of bidding for a toll highway

project, with an NPV of $5 million, but they opted for bidding for a power
plant project with an NPV of $6 million. $5 million represents the
_________ for the company.
Opportunity cost

Depreciation

Sunk Costs

Internal Rate of Return

Explanation:
Answer (a) Opportunity cost is the cost of the opportunity that was foregone in choosing a
different option.

76. You are a Project Manager for an IT company in the final phases of
project execution. Your project status is well within the budget and you
are almost a week ahead of your schedule. During the final testing
phase of the project, you realize that the performance of the product can
be increased by almost 20% of the expected value by doing minor code
changes in two modules. This change would require an additional 2
days of work. What should you do NEXT?
Analyze the various alternatives and do a detailed impact analysis before

proceeding with the change

 Update the change management form and send it to change control board

for consideration

Discuss the change and impact with customer and seek his approval

Ignore the change as it is gold plating and should be avoided

Explanation:
Answer (d) Ignore the change as it is gold plating and should be avoided. This is an example
of gold plating because this requirement is not actually part of the contract. Such additions
are usually based on a perceived notion of what the customer would like rather than a
specific requirement from the customer. Gold plating is defined in simple words as adding
more to the system than is specified in the requirements. Gold plating can increase operation
and maintenance costs, as well as reduce quality.

77. A Project Manager is going through the defect report reviewing the
bugs reported during the testing cycle of a software project. The report
has information on the severity of the bug, origin of the bug, possible
resolutions, along with the owner and reporter of the bug. The Project
Manager wants to prioritize the bug fixing activities by evaluating the top
three most frequent reasons for the defects. Which of the following tools
should he use?
Control chart

Fishbone diagram

Scatter diagram

Pareto chart

Explanation:
Answer (d) Pareto charts works on the Pareto principal which states 80% of the problems
usually stem from 20% of the causes. Pareto charts can be used for defect analysis by
arranging defects data so that the few vital factors that are causing most of the problems
reveal themselves. Concentrating improvement efforts on these few will have a greater
impact and be more cost-effective than undirected efforts.

78. A team is complaining that every quality audit invariable audits their
module, but other modules are not audited at the same frequency. What
is the best explanation that can be provided?
A module gets audited more frequently because it has maximum issues

A module may get audited more because it is the most critical

Modules to be audited are picked up based on the quality management plan

Next time, we shall make sure that all modules get audited at the same

frequency
Explanation:
Answer (c) The logic for selecting modules for audit should be outlined in the quality
management plan and should be followed.

79. You are managing a critical project with frequent changes in

requirements. You are in the testing phase of the project and the
customer has requested an additional new feature. You have assessed
the impact of the change on the triple constraints with your team. What
should be your NEXT step?
Raise a change request form and send it for approval to change control

board

Look for alternative options including schedule compression techniques like

crashing and fast tracking

Analyze the impact of the change on project quality objectives and quality

planning
 Update the project management plans and other project documents

including project baselines

Explanation:
Answer (c) Analyze the impact of the change on project quality objectives and quality
planning. It is important to analyze the impact of change on not only the triple constraints, but
also on quality. The Project Manager needs to determine whether the quality objectives and
quality planning needs to be modified to address the changes. Option B, is already
addressed as part of assessing the impact on the triple constraints.

80. The method of examining work or a product to determine whether it

conforms to documented standards is called?
Inspection

Statistical Sampling

Audit

Verification

Explanation:
Answer (a) Inspection is the examination of work or a product to determine whether it
conforms to documented standards. It is also called peer reviews, reviews audits, or
walkthroughs. Inspection can be done at any level in the project and can also be used to
validate defect repairs.

81. What is the best time to engage in team building activities?

In the beginning of the project

At the end of the project

Throughout the project

 Some in the beginning and some in the end

Explanation:
Answer (c) Team building is an ongoing activity and these activities must be planned
throughout the project.

82. You are managing one of the most technically challenging and
complex projects for your company. In the beginning of the project, there
used to be heated arguments on the team regarding the best approach
to solving a problem. However, the project is well into the execution
stage and the team has finished designing the architecture of the
product. They seem to have developed a good understanding of the
system. What is the most appropriate way to handle project conflicts at
this stage?
You should continue to determine the best solution and ask team to

implement it

You should let the team explore the best alternatives amongst themselves

while you facilitate and support them.

You should invite ideas from everyone in the team to arrive at the best

solution

You should make the decision based on consensus from majority of the team

Explanation:
Answer (b) You should let the team explore the best alternatives amongst themselves while
you facilitate and support them. A Project Manager needs to provide more direction in the
beginning of the project because he knows the best way to plan the project. However, as the
project team matures and develops an understanding during project execution phase, the
Project Manager needs to transition to a support role. Your leadership style could be
coaching, facilitating, or supporting.

83. Your software project is in the critical system testing stage when two
of the senior members of the team come to you with a conflict on usage
of the simulation software during testing. One senior member claims
that the other person keeps the software engaged for almost all of the
working hours of the project. You decide to change their working
schedules so that they no longer overlap. You are using which of the
following techniques for conflict resolution?
Compromising

Collaborating

Forcing

Smoothing

Explanation:
Answer (b) The collaborating or problem solving approach is the best bet as the PM is
solving the project problem by taking out the overlapping of activities.

84. As a Project Manager you decide to create an issue log which

captures issue description, owner, and the target date for issue closure.
All of the following are common examples of issues in the project
EXCEPT?
Differences in Opinion

Probable delay in the next delivery

Pending Root cause Analysis

Delay in receiving feedback from the customer

Explanation:
Answer (b) Probable delay in the next delivery represents a project risk and is not an issue
as the event is uncertain. This may or may not happen in future.
85. A Project Manager is working on shortlisting, interviewing, and
selecting candidates for the open positions within the project as per the
job descriptions. Which process group is being worked on here?
Planning

Initiating

Controlling

Executing

Explanation:
Answer (d) The process being worked on is Acquire project team, which is part of the
executing process group.

86. A Project Manager likes to involve his team in the decision making
process. Whenever there are issues which require urgent decisions, he
calls the team to work out a solution together. This approach is
Correct, because it helps to get team buy- in and as well as their

commitment to the change

Correct, as brainstorming technique helps to bring out creative ideas to solve

the problem

Incorrect, as lot of time and effort of the project team is spent on decisions

which could be singularly made by the Project Manager

Incorrect, as not all the solutions coming of brainstorming session cannot be

implemented resulting in disappointment in the team

Explanation:
Answer (c) The key words here are 'involve his team in all the decision making process'. It is
important for the Project Manager to involve his project team to work out solutions to critical
project issues. However, he should use this approach judiciously as the amount of time spent
in the meetings could lead to an inefficient use of the team's time. Furthermore, in many
situations meetings actually delay the decision making process due to internal conflicts.

87. A Project Manager working in a matrix project environment feels

there is some discontent in the team members related to their dual
reporting and the role of Project Manager on the project. The Project
Manager wants to communicate with the team to clarify their doubts.
What is the BEST form of communication for addressing this problem ?
Formal Written mail

Informal chat with the team

Face-to-face-meeting

Informal written mail

Explanation:
Answer (c) A face-to-face meeting is ideal for project communication. It gives the Project
Manager an avenue to understand the reasons for discontent and clarify their doubts. Face-
to- face meetings have an added advantage of being accompanied with non-verbal (body
movements, physical mannerisms) and paralingual (pitch and tone of voice) communication
methods.

88. A Project Manager in an information technology project is discussing

a complex algorithm with a new team member. After a long and
thorough verbal discussion, the Project Manager asks the person if he
understood the algorithm and can put it in the document. The team
member implies that he has understood. However, when the Project
Manager goes through the document, he realizes that the member didn't
understand what was actually said thus resulting in an inefficient use of
time and effort.. Who is responsible for this loss of time and how could it
have been avoided?
 Project Manager, he shouldn't have given the complex assignment to a new

team member

Team Member, since he implied he understood the discussion and didn't ask

his doubts immediately

Project Manager, as he should have also helped the team member in

preparing and reviewing the document

Project Manager, since it is his responsibility to ensure his message is clear

and concise and confirm that team member truly understands the message
Explanation:
Answer (d) In the communication model, it is the sender's responsibility to make the
message clear, complete, and concise so that the recipient can receive it. The sender must
also confirm that the recipient truly understands the message. In this scenario, the Project
Manager is at fault. For more information refer to PMBOK 5th edition Project
Communications Management PN 293.

89. You are managing a project with project teams in different

geographical locations. There are approximately 25 team members in 3
different locations each being led by a team lead. Additionally, there are
3 members from a supporting group that are working part- time on the
project. How many communication channels are possible in your
project?
496

992

424

32
Explanation:
Answer (a) 496. This is directly based on the formula n*( n-1 )/2. If n is the number of
stakeholders in the project, the total possible communication channels = n*( n-1 )/2. The
project has 25 team members, 3 team leads, 3 support team members, and the Project
Manager. That makes it 32 people and 496 possible communication channels. Please Refer
PMBOK 5th edition Project Communications Management PN 292.

90. A Project Manager is documenting the normal process for escalating

the issues on a project. Which document usually contains this
information?
Risk management plan

Stakeholder management plan

Project Communication Management Plan

Quality management plan

Explanation:
Answer (c) A project communication management plan would capture the details of the
escalation paths on a project.

91. A key stakeholder of the project is contacted for a requirements

document approval, but shows no interest. The Project Manager
decides to have a friendly, informal discussion with him to understand
the reason for his lack of interest. During the conversation, the
stakeholder expresses his displeasure that two of his key suggestions
were not addressed on the project. He feels as though his approval or
feedback doesn't really matter since his main requirements are not
being captured. What is the best option for the Project Manager in this
case?
Agree with stakeholder and doesn't take his approval on requirements.

Remove his name from the list of stakeholders and avoid communicating with
him further on project status
 Incorporate the requirements of the stakeholder and then take his approval

Talk to your Project Sponsor about the issue and take his approval before

taking any further action

Explain to the stakeholder that although his suggestions were appreciated, it

is not possible to address all of them in this release due to project constraints.
You will revisit them for the next phase.
Explanation:
Answer (d) This should be addressed as part of 'manage stakeholder expectations'. A
Project Manager should proactively work with stakeholders to manage their expectations,
address concerns and resolve issues. For more information please refer to PMBOK 5th
edition Project Communication Management PN 287.

92. A key stakeholder expresses his concern over lack of project

visibility and progress. He says that project status reports received by
him lacks information relevant to his department. How should the
Project Manager respond?
Review the Project Communication Management Plan to determine

stakeholder's needs

Relook at Manage Communications process to identify the gaps

Raise a change request to address the stakeholder's feedback

Relook at Control Communications process to understand the problem

Explanation:
Answer (a) The communication management plan determines the project stakeholder
information needs and defines the communication approach. It is the document that needs to
be referred to resolve stakeholder's issues. Since the stakeholder is receiving timely
performance reports options (b) and (c) are not correct.
93. A Project Manager in an e-learning project is using free
downloadable tutorials via the Internet to reach out to large audiences.
This communication method is called:
Interactive Communication

Pull Communication

Push Communication

Personal communication

Explanation:
Answer (b) This is an example of a pull communication method which is used for large
volumes of information or for large audiences that require the recipients to access the
communication content at their own discretion. It is easier to recall pull communication as
'pulling of information' as desired by the receiver at his discretion. For more information
please refer to PMBOK 5th edition Project Communication Management PN 295.

94. In one of the project status meetings, two of the senior team
members get into an argument regarding the introduction of a new tool
to automate time sheet filling. Which of the following would provide you
maximum insight on the conversation?
The content and timing of conversation

The content and timing of the conversation and the communication

technology used

Body Language and the words in the conversation

Body language and voice modulation including pitch and tone

Explanation:
Answer (d) Option D, includes non-verbal and paralingual forms which are critical for
effective communication and form more than 55% of all communication.

95. A CEO from his Paris office wishes to communicate with the
technical officer in China. The correct procedure would be?
The CEO will encode the message from French to Chinese, the technical

staff will decode it from Chinese to French

The CEO will decode the message from French to Chinese, technical staff

will encode it from Chinese to French

The CEO will encode the message from Chinese to French; technical staff

will decode it from French to Chinese

The CEO will decode the message from French to Chinese, technical staff

will encode it from Chinese to French

Explanation:
Answer (a) Each message is encoded by the sender and decoded by the receiver based on
the receiver's education, language, experience, and culture. For more information please
refer to PMBOK 5th edition Project Communication Management PN 293.

96. As a Project Manager you are worried about continuous bad

performance of one of your team members. You have spoken to him
over coffee, but there seems to be no improvement. What is the MOST
suitable way to communicate your dissatisfaction?
Formal, Verbal

Formal Written

Informal, Written

Informal, Verbal
Explanation:
Answer (b) As this is the second notice to the team member for poor performance, it should
be communicated in a formal written manner.

97. Which of the following is NOT an input to the process Manage

stakeholders engagements?
Stakeholder Management Plan

Communication Management Plan

Change Log

Issue Log

Explanation:
Answer (d) An issue log is the output of Manage stakeholder engagements. All the other
options are inputs to the process.

98. Which of the following is the output of the manage stakeholder

engagements?
Issue Log

Stakeholder management plan

Communication management plan

Stakeholder register

Explanation:
Answer (a) Issue log is an output to manage stakeholder expectations.

99. A Project Manager shares project performance through status

reports via email to all the stakeholders of the project. He is using which
of the following techniques?
 Kick off meeting

Pull Communication

Push Communication

Communication model

Explanation:
Answer (c) Push communication is sending information to specific recipients who need to
know the information. This ensures that the information is distributed, but doesn't actually
certify that it actually reached or was understood by the intended audience. Examples of
push communication include letters and press releases. For more information please refer to
PMBOK 5th edition Project Communication Management PN 295.

100. As a Project Manager, you need to estimate the regression testing

for your product. You would like to do 5 full testing cycles. Each cycle is
estimated to take 4 days. What should be your estimated duration for
the testing activity?
25 days

18 to 22 days

18 days

22 to 24 days

Explanation:
Answer (b) The estimated duration for 5 testing cycles of 4 days each is 20 days. The correct
estimation range is 18 to 22 days.

101. Which of the following is at the lowest level of the Maslow's

hierarchy?
 Self actualization

Esteem

Social

Safety

Explanation:
Answer (d) Actually physiological is at the lowest level of the hierarchy. But among the given
choices, safety is at the lowest tier.

102. A project team is working on constantly reviewing and making sure

that the right processes are being followed. Which process is being
worked on?
Perform Quality Assurance

Control Quality

Plan Quality Management

Quality Metrics

Explanation:
Answer (a) Quality assurance focuses on the process and is done throughout the project
execution.

103. A Project Manager working on a construction project identifies a

risk of a heavy storm in the coming months which might affect the
construction activity. However, he doesn't have any reliable information
on the weather forecast or the severity of the storm. In this case, what is
the BEST Project Manager can do?
 Capture the Risk in the Risk Register

Ignore the Risk as nothing can be done to avoid it

Actively accept the risk and allocate time and cost reserve in contingency

fund

Proceed with Risk Response Strategy to counter the Risk

Explanation:
Answer (c) In this situation the Project Manager has no information on the timing, anticipated
frequency, or impact of the expected rough weather. Option D, will not give any valuable
information. The best option is (c) to accept the risk, but plan a contingency reserve in terms
of cost and time in case the risk occurs. Option A, and B are passive approach and are not
recommended for a good Project Manager who should be always proactive in his approach
towards risk management.

104. Which of the following is NOT a likely outcome of trying to fast track
a project?
Reduce the level of risk

Reduce the time taken

Increase the level of risk

Cause more rework

Explanation:
Answer (a) Fast tracking (getting more tasks to go in parallel) will likely increase risk, rework
in order to reduce the time taken.

105. You are a Project Manager of a software development project. You

have outsourced a component of your product to third-party vendor
which is due to be delivered next week. You find out that the delivery of
the component may be delayed due to political unrest in the vendor's
location. What is the BEST you can do in this situation?
Report your senior Manager about probable delay along with details on the

current political situation at vendor's place

Communicate to the vendor that any possible delay would attract a fine and

affect future payments

Revisit your project schedule and look at alternatives to reduce the impact of

the delay

Since there is no official communication from the vendor, you need to use

wait and watch policy

Explanation:
Answer (c) This question can be tricky as it doesn't clearly state whether or not the Project
Manager received a formal communication of the delay from the vendor. Since a Project
Manager should proactively look for any event that may delay the project schedule, Option C,
is the best alternative. Option B, is harsh, especially in a situation which is beyond the
vendor's control (e.g. political unrest in the country).

106. A Project Manager is conducting a bidder conference to select the

most suitable sellers. Which of the following tools will NOT be helpful?
Independent Estimates

Analytical techniques

Procurement Negotiations

Make-or-buy analysis

Explanation:
Answer (d) The Project Manager is in the process of conduct procurements and all of the
above are tools and techniques that can be used in the process except teaming agreements
which is part of the plan procurement process. For more information refer PMBOK 5th edition
Project Procurement Management PN 354.

107. Under the execution, implementation of approved actions happens

by following risk management plan, risk register. For this action, which
option is correct?
Minimize the negative risk and take the opportunities

Minimize the opportunities and increase the negative risk

Only negative risk

Only opportunities

Explanation:
Answer A. As per the new examination content outline, take the advantage of opportunities.

108. While working on a contract, a supplier's factory was severely

damaged due to an earthquake and the supplier could not deliver the
contracted items on time. The liability of the supplier to pay penalty for
delays is probably restricted due to which of the following clauses in the
contract?
Doctrine of waiver

Privity

Dispute resolution

Force Majeure

Explanation:
Answer (d) The Force Majeure clause protects both parties from liabilities due to unforeseen
events on which nobody has control.

109. You have recently joined a new construction company and you find
that your employer is violating the construction permit issued by the
local city government. What should you do?
Inform the city authority of the violation

Talk to your employer to find out if they are aware they are breaking the law

Complain the legal department of the company

Do nothing as you are new in the organization

Explanation:
Answer (b) The best option is to first talk to your employer to discuss your findings and know
their perspective. It would also help you verify your observation.

110. As a Project Manager, you understand the importance of effective

communication with stakeholders. You want to present a project
progress report to the stakeholders in the next project meeting. What
should be your approach?
Make the report concise, restricted to specific technical details of the project

Prepare a verbose report but filter the information to remove details

Focus on specific stakeholders with whom there is good personal relation

Research and understand the experience level and expectations of

stakeholders
Explanation:
Answer (d) Since a project's success is heavily dependent on stakeholders favorable
acceptance of the project, it is important to have effective communication with stakeholders,
especially during project meetings. For this purpose, the Project Manager should research
and understand his stakeholders expectations before presenting project progress reports.

111. You are managing a multinational project with team members

sitting across different countries with varying time zones. In this
scenario, you wish to choose a communication medium which is most
efficient for the project requirements. What is the most appropriate way
to address this?
Explore communication tools available in the market and ask for quotation

exclusively for your project instead of using existing tool in the organization

Use the most cost effective technique and involve everyone to explain its

usage

Use a combination of communication technology as being done in your

peers project

Discuss these communication requirements and available options with

stakeholders to seek their input

Explanation:
Answer (d) It is important to have an effective communication medium in this project,
especially since the team is in different geographical locations and communication
requirements are complex. It is best to take input from the stakeholders of the project and
understand their communication requirements before finalizing a technique.

112. You are interviewing candidates for a position in the project, when
you receive the resume of a distant relative who is desperately in need
of a job. What should you do?
Give him the job but insist on good performance

Ask the candidate to apply somewhere else

 Excuse yourself from the selection process declaring your position

Do nothing and go with the panel decision

Explanation:
Answer (c) The right thing to do is to declare your personal interest and excuse yourself from
the selection process.

113. As a Project Manager you have a large team reporting to you with
two members working on this technology for the first time. At the
beginning of the project, you were concerned that the members wouldn't
be able to contribute as much due to technical complexity of the project.
However, you spent time and gave them the required training in order to
perform. During your assessment, you find some areas which still
require improvement. What should you do next ?
Discuss this with the functional Manager asking him to assign these

resources in some other project as you have already spent enough effort of them

Give them more challenging assignments so that they fail and you have

reasons to expel them from the team

Assess their current weak areas and provide more focused training with

regular feedback

Call them in your chamber and give them a warning that this is their last

chance to perform in the project

Explanation:
Answer (c) The role of a Project Manager is also that of a leader. The question seems to
suggest that improvement in the team's performance would give much better results. Option
A, would have been good if the Project Manager would have suggested the members move
to a project which matches their skill set. Since this is not the case, the best option is Option
C.
114. After working as a Project Manager for more than 25 years, you
want to share your learning and best practices with your industry. You
do this by writing articles in international journals and giving interviews
to share your experience. This act can be BEST described as?
Enhancement of professional skills by learning project management and

technical skills

Contribution to project management knowledge base by virtue of vast

personal experience

Capturing professional stint in autobiography purely from retrospection

exercise

Informing others about project management principles and helping

profession grow
Explanation:
Answer (b) The Project Manager is sharing his lessons learned and best practices to the
project management knowledge base.

115. During project execution, the customer interprets a clause in the

contract differently and demands an elaborate design document as part
of the next deliverable. According to you this is not included in the
deliverable list. What is the best you can do to resolve the situation?
Change the contract and continue with your project work

Accept customer's demand as he is the one responsible for project's success

Raise a complain to Project Sponsor along with the implications of accepting

such request on schedule and cost of the project

 Document the dispute and refer to the claims administration

Explanation:
Answer (d) In case of conflicting claims, it is best to refer them to claims administration.
Claims administration resolves claims according to the contract's dispute resolution
procedures when the buyer and seller cannot resolve a claim on their own. Claims
administration documents, processes, monitors, and manages claims during the life of the
contract, usually according to the contract terms.

116. You are working at a customer location in a foreign country where it

is customary to exchange gifts during their New Year celebrations. Your
company forbids you to accept any form of gifts from your customer, but
you have a strong feeling that if you refuse to accept and reciprocate the
gesture, it can severely affect your relationship with the customer. In this
case, it is BEST to:
Politely refuse to accept any gifts explaining your company policy

Discuss this situation with your Project Sponsor or legal department

Accept the gift and keep it confidential so that there is no loss of face for your

organization

Take a break from project work to go on a small vacation during local New

Year time
Explanation:
Answer (b) Since the company policy forbids the Project Manager from accepting any gifts,
he should consult his Project Sponsor and legal department.

117. Your project has faced some unforeseen issues that have delayed
it. The project is very critical for the company and it has to meet the
scheduled deadline. In order to meet the deadline your team would have
to work over the weekends for the next two weeks. However, you know
that many of the team members will have some personal commitments
and it will be very difficult for them to work for seven consecutive days.
What is the BEST option for you?
Hire additional resources and brief them about the project

Inform the customer that this deadline can't be met

Discuss the situation with the team and give them the choice to willingly work

overtime

Send an official mail making it compulsory for the team to come and work

over the weekends

Explanation:
Answer (c) The Project Manager should explore all the options to avoid delay in the project.
In this case, there might be some team members willing to work over the weekends and the
Manager can re-plan the schedule once their availability is confirmed.

118. You are a Project Manager who is in the process of performing the
work defined in the project management plan to achieve the project
objectives. Which process are you in ?
Develop Project Management Plan

Monitor and Control Project work

Direct and Manage project work

Execution process group

Explanation:
Answer (c) The Project Manager is currently in the process of direct and manage project
work which is a part of the execution process group.
119. A Project Manager is discussing the observed variations between
planned and actual values of the defects with his quality engineer. He
realizes that he has forgotten to identify one of the important metrics to
analyze defects. Which process group is the Project Manager in if he
evaluates the current result for the metric to see if it requires corrective
actions?
Planning

Executing

Monitor and Control

Quality Audit

Explanation:
Answer (c) The activity of identifying applicable quality standards, processes, and metrics is
completed as part project planning. In this case, the Project Manager is evaluating the
variation in the current results for the new metric and whether it requires corrective action. He
is in the 'monitor and control' process group.

120. A Project Manager wants to monitor the performance of a process.

She set up thresholds for this purpose and any observation beyond the
threshold would trigger a root cause analysis and corrective/preventive
actions. This is an example of:
Specification limits

Control limits

Pareto charts

Tolerances
Explanation:
Answer (b) Tolerances or specification limits are customer specified limitations. These limits
are meant for the purpose of controlling the process - hence they are control limits.

121. The Project Manager is reviewing the issue log as part of his
execution activity. Which of the following would be the least appropriate
activity for the Project Manager to perform as part of the monitoring and
controlling process group activity?
Assess the corrective actions on the issue register

Determine the next steps for unresolved issues

Use appropriate tools and techniques in order to minimize the impact on

project schedule, cost and resources

Review the issue and determine if the issue should be avoided, mitigated,

transferred or accepted
Explanation:
Answer (d) Avoid, Mitigate, Transfer and Accept are risk response strategies where there is
an element of uncertainty involved. It is not appropriate for issue management, because
issues are present in here and now.

122. You are assigned as a Project Manager to a project in the

execution stage. Current schedule and performance indices for the
project, SPI and CPI are 1.12 and 1.15 and project performance are well
within the baseline. The defects found during internal testing for the last
deliverable were well below the organization limits. However, the
customer doesn't seem to be happy with the project progress. What
should be the FIRST thing the Project Manager should do?
Start managing project as you gain more insight into day to day

responsibilities
 Meet with the project team to understand open issues in the project

Conduct a meeting with the customer to understand his concern over project

progress

Improve project schedule and cost control measure so that SPI and CPI

reaches above 1.5

Explanation:
Answer (c) The most important thing for the Project Manager who is taking over the project
midway is to understand why the customer is unhappy in spite of the project performance
being well within the baseline. Option A, wouldn't address the main problem and Option D,
has no valid justification. Option B, could be a good Option After talking to the customer to
address his concerns and other issues on the project.

123. A Project Manager working in an iterative model of the product

development lifecycle expects many changes during the course of the
project. He wants to establish a robust configuration management
system and also make his team aware of the process. Which of the
following statements is NOT true about configuration management?
The purpose of configuration management is to maintain integrity of work

product

Configuration management includes configuration audits, configuration

control, configuration status accounting and configuration identification

Configuration management focuses on establishing and maintaining

consistency of a product's requirements

Configuration management involves measuring project performance with

baselines and taking corrective action when necessary

Explanation:
Answer (d) This is done as a part of the process 'monitor and control project work'. All the
other statements describe the configuration management process.

124. A Project Manager has made a major release in the project. The
customer comes back a week after the release saying that he is not
entirely satisfied with the deliverable. What should the Project Manager
do NEXT?
Continue with the next deliverable as needs to finish the project on time

Talk to the senior Manager to discuss the customer concern and resolution

Ensure that next deliverables has enough features which customer would

like to have to exceed his expectations

Do a scope verification of this deliverable to check if it satisfies project

objectives
Explanation:
Answer (d) Verifying the project scope includes reviewing deliverables to ensure that each is
completed satisfactorily. If this is successful, it should provide customer satisfaction. Option
C, is gold plating i.e. providing the customers something they didn't ask for and wouldn't
solve the problem. Option A, and B avoid addressing the main problem directly and are not
recommended.

125. The decision to close a project is taken during which process

group?
Planning

Executing

Controlling

Closing
Explanation:
Answer (c) The decision to close a project (normal or abnormal termination) is taken during
the controlling processes.

126. Your project is in the final stages of testing and the team is
interacting with the customer on daily basis to update him with the
project status and incorporate his feedback. Which of the following
would be the most critical process to be followed in this scenario?
Control Quality

Control Scope

Manage Communications

Control Risks

Explanation:
Answer (b) In this case, based on customer feedback, frequent changes are expected to be
done by the team. Remember, when a change is presented, a part of considering the change
involves additional planning. The Project Manager and the team must examine how the
change affects the project work and knowledge areas. Thus Control scope ensures the
project scope is protected from unnecessary changes and all eligible changes are done
using the scope change control system. Option A, Control Quality is more focused on
ensuring conformance to documented standards and is not the correct choice.

127. A Project Manager is proactively managing the change through the

scope control process. Which of the following should he be MOST
worried about?
Value Added Changes

Errors and Omissions

Risk Response
 Verbal communication from key stakeholders

Explanation:
Answer (d) Undocumented changes should never be allowed by the Project Manager. He
should ensure that whenever a change is requested, the impact on features and functions of
the product (including that on the triple constraints) is documented with a change request.
Only then should the change continue through integrated change control. Option A, value-
added changes describe changes in the scope that would provide benefits in terms of cost
reduction etc. Option B, errors and omissions could be both in project scope, which is the
work to complete the project and the product scope which are the features and functions of
the deliverables. Option C, risk response involves changes in the scope required to mitigate
an identified risk. Of all the above events which would result in possible change of scope,
Option D, verbal undocumented changes poses maximum potential threat to a project.

128. The ES of an activity is 2 days and the duration of the activity is 5

days. The LF for the activity is 8 days. What is the total float for this
activity?
6 days

3 days

1 day

5 days

Explanation:
Answer is C. We can calculate EF=ES+D=2+5=7 and LS=LF-D=8-5=3. The formula for Total
float is LS-ES or LF-EF. The answer is 1 day.

129. As a Project Manager and member of the PMO (Project

Management Office), you want to present a snapshot of the status of
various projects undergoing in the organization to senior management.
Which of the following charts would be most suitable for the purpose?
Milestone chart
 Gantt Chart

Precedence diagram

Control chart

Explanation:
Answer (a) A milestone chart depicts key events along a timescale. It is used for top level
reporting, so management does not become bogged down in the minutia of the project or
projects. Milestones on a milestone chart can be shown in various colors or with markings
that indicate status. It can also contain other information related to the project(s) like
customer, responsibility, duration, or phase of the milestone etc.

130. You are trying to figure out if there is a correlation between the
slack time available in a shift with the number of rejected components
produced during the shift. Which is the tool that you will use to analyze
this?
Pareto charts

Ishikawa diagrams

Histograms

Scatter diagrams

Explanation:
Answer (d) Scatter diagrams are used to plot data between two variables to figure out if there
is a pattern or correlation between them.

131. You are managing an infrastructure project which is nearing

completion when a major stakeholder points out a flaw in the design
which could make the entire structure weak. He suggests you construct
two support pillars which would provide the necessary support. You are
worried that this change could impact the schedule and cost of the
project significantly. What is your BEST response to the stakeholder?
Refuse him as the project is already nearing completion and it's not possible

to make any changes at this stage

Do a Root cause analysis with the team to determine how this design flaw

could have been missed and if there could be more potential problems with the
design

Proceed with the change and communicate the impact on project schedule

and cost to the customer

Use a schedule compression technique as part of integrated change control

to investigate and minimize the adverse impact of the change

Explanation:
Answer (d) Schedule compression technique is useful not only during project planning to see
if the desired completion date can be met but also during integrated change control to look at
the schedule impacts of changes to time, cost, scope, or risk. Option B, though seems to be
in good faith, but doesn't address the immediate problem. Option C should be done once all
the alternatives are explored to minimize the adverse effect of the change on the project
schedule and other constraints.

132. Project performance reviews using earned value management

would typically incorporate information from all the following EXCEPT?
Variance Analysis

Cost Benefit Analysis

Trend Analysis

Earned Value Technique

Explanation:
Answer (b) Cost benefit analysis is a technique that compares positive factors or benefits
with negative ones to determine the net result of doing the action. It is a popular technique for
the project selection method, but will not be useful during the project performance review.
Please refer to PMBOK 5th edition Project Cost Management PN 193 for more details.

133. As a Project Manager you realize that the initial budget cost,
Budget at Completion (BAC) for your project is no longer viable. You
need to develop a new Estimate At Completion (EAC) forecast
assuming current variances would continue in the future. Which of the
following formula should you use for calculating EAC? Here AC is the
Actual Cost, EV is the Earned Value, PV is the Planned Value.
EAC = AC + ETC

EAC= AC+ (BAC - EV

EAC = EV/PV

EAC = BAC/ cumulative CPI

Explanation:
Answer (d) This method assumes current variances to be typical of the future. The remaining
work is assumed to be performed at the same cumulative cost performance index (CPI) as
what has been incurred by the project to date.

134. Earned value management is the tool and technique of which

process?
Perform Integrated Change Control

Control Costs

Direct and Manage project work

 Control Schedule

Explanation:
Answer (b) Earned value management is a tool and technique of the Control Costs process.
See page 215 of PMBOK, 5th edition.

135. A project team with a CPI of 0.78 is looking for options to reduce
cost. Which of the following should be the BEST option to choose?
Reduce a test cycle, in the System Testing phase

Reduce scope by cutting down non- essential features

Add more resources to expedite the schedule

Revisit estimates and eliminate risks; re- estimate

Explanation:
Answer (d) Option C, wouldn't reduce cost. Option A, and (b) would always have a negative
effect as they compromise on quality or scope. Of all the available Options, D is the one with
the minimum negative effect.

136. You are a Project Manager evaluating a decision whether to buy

insurance for a temporary manufacturing facility. The likelihood of a
mishap is assessed at 10% and the likely impact is evaluated at
$500,000. The cost of insuring is $20,000 and has a $10,000
deductible. Would you advice buying insurance?
Yes. Because 50,000 > 21,000

Yes. Because 50,000 > 30,000

No. Because 30,000 < 500,000

 No. Because 21,000 < 50,000

Explanation:
Answer (a) EMV when there is no insurance is -500,000 * 0.1 = $50,000. EMV when there is
insurance is -(20,000+ 0.1*10,000) = -21,000. Therefore, it makes sense to buy insurance.

137. A project has a CV of -$500 and SPI of 1.2. What can be said
about the project?
Your project is over budget and behind schedule

Your project is under budget and behind schedule

Your project is over budget and ahead of schedule

Your project is under budget and ahead of schedule

Explanation:
Answer (c) CV < 0 means over budget; SPI > 1 means ahead of schedule

138. As a manager you would like to get the status on the remaining
work with respect to the funds remaining. Which of the following
measures will give you the information?
To-Complete Performance Index

Earned Value Technique Performance

Variance Analysis

Trend Analysis

Explanation:
Answer (a) To-Complete Performance Index (TCPI) is the calculated projection of cost
performance that must be achieved on the remaining work to meet a specified management
goal. The formula to calculate TCPI is = Work Remaining (BAC-EV)/Funds Remaining (BAC-
AC) or (EAC-AC) where AC is the Actual Cost, EV is the Earned Value, EAC is Estimate at
Completion and BAC is Budget at Completion.

139. Which of the following is the best use of Pareto charts?

To visualize a workflow

To prioritize issues

To perform deeper causal analysis

To examine trends

Explanation:
Answer (b) Pareto charts based on the 80-20 rule are useful for prioritizing from among a
number of possible causes - because it helps focus on the 20% causes that result in 80% of
the issues.

140. In a normal distribution, what is the probability of finding the actual

value between 1 standard deviation distance from the mean?
0.95

0.9973

0.5

0.68

Explanation:
Answer (d) Based on the property of the normal distribution.

141. A team is inspecting specific project deliverables to ensure that

they are in accordance with the specifications. Which process is being
worked on?
 Perform Quality Assurance

Validate Scope

Plan Quality Management

Control Quality

Explanation:
Answer (d) Quality control is the process of examining specific project deliverables to ensure
they are in accordance with the requirements/specifications.

142. Your project is going through an audit cycle when one of the senior
auditor points out that the target value for Schedule Performance Index
(SPI) is set to low value and it should be increased by at least 5 percent.
You try to tell him that this target value is as per the organization
baseline and cannot be changed. Which of the following is CORRECT
statement in this case?
The Auditor is right, as the project has critical deadline to meet and hence

target SPI should be increased

The Auditor is right; as the target value for SPI is a benchmark for the project

it should be kept high and thus increased

The Project Manager is right, the schedule is not critical in the project and

hence target SPI value needn't be kept too high

The Project Manager is right; target SPI is based on organization baseline

derived from its process maturity level and should be followed by the project
Explanation:
Answer (d) Most organizations set up an organization level baseline called process capability
baselines. PCB or Process Capability Baseline specifies what results to expect when a
process is followed. Using PCB a project can predict at the gross level, effort required at
various stages, defect densities, overall quality, and productivity. In this case, the Project
Manager is right to set the target values of his project metrics based on the organization
baseline value.

143. The customers are performing User Acceptance Tests on the

product that was delivered by the project team. Which process is likely
being performed?
Control Quality

Control Schedule

Perform Integrated Change Control

Validate Scope

Explanation:
Answer (d) Scope validation is the process of accepting or rejecting the project's
deliverables.

144. A Project Manager is working towards improving the competencies,

team interaction, and overall team environment to enhance project
performance. Which of the following tools and techniques would NOT be
helpful here?
Training

Recognition and Rewards

Conflict Management

Co-location

Explanation:
Answer (c) The Project Manager is in the process of developing project teams and all the
others except conflict management are tools and techniques used in the process. Conflict
management is part of manage project team. For more information please refer to PMBOK
5th edition Project Human Resource Management PN 282.

145. What is the top source of conflict on a project from the following?
Schedule

Project priorities

Administrative procedures

Personality

Explanation:
Answer (a) The top-ranking source of conflict is schedule. Scheduling is probably one of the
toughest obligations of most Project Managers. Next in the list are project priorities because
Managers need to attend to the projects of the organization, sometimes conflict arises when
not all projects are given attention and importance. Third, on the list is manpower resource.
Lack of individuals to work on a certain project may cause pressure. When people start to
feel the intensity of pressure, they also start cramming and become less motivated to work
on it. Technical conflict and administrative procedures come next on the list. Finally, cost
objectives and personality conflicts complete the list of seven sources of conflict.

146. Which of the following is NOT an input to the Control

Communications process?
Issue Log

Work performance information

Work performance data

Project management plan

Explanation:
Answer (b) Work performance information is an output (not input) to the Control
communications process. See page 303 of PMBOK 5th edition.

147. A Project Manager wants to present a project performance report

to the management which captures project results over the last 3 years
to see if the performance is improving or deteriorating. Which of the
following reports should he use?
Earned Value

Status Report

Forecasting Report

Trend Report

Explanation:
Answer (d) A trend report would capture this information. Option A, earned value integrates
scope, cost, and schedule measures to assess current project performance. Option B, status
reports describes where the project is currently based on the performance measurement
baseline. Option C, forecasting report is used to predict future project status and
performance.

148. As part of project stage review, you are presenting project

performance reports to the stakeholders. The reports show both cost
and schedule variances are positive for the project. What does it
indicate about the current project status?
Project is under budget and behind schedule

Project is over budget and behind schedule

Project is under budget and ahead of schedule

 Project is over budget and ahead of schedule

Explanation:
Answer (c) Cost Variance = Earned Value (EV) - Actual Cost (AC). Positive cost variance
indicates that the project is under budget. Similarly, Schedule Variance = Earned Value (EV)
- Planned Value (PV). Positive schedule variance indicates that the project is ahead of
schedule.

149. A Project Manager wants to perform some tests on the product that
might end up destroying the product. What technique can be used to get
around this problem?
Statistical sampling

Regression testing

Automated testing

Stability testing

Explanation:
Answer (a) In case the test is likely to prove destructive, they are typically performed on a
sample.

150. A project team is in the process of risk tracking and control. The
risk control action defined by the mitigation and contingency plans is
being implemented in accordance with the details of those plans. Who is
responsible for implementing these actions?
Project Manager

Project Team

Risk Owner
 Risk Manager

Explanation:
Answer (c) Risk owner for that particular risk is responsible for implementing the actions
defined by mitigation and contingency plan in risk management. A risk owner for a risk is
identified during the planning stage of risk management and he helps to assess the risk and
produce probability and impact information. He also develops risk mitigation and contingency
plans, provides status data for respective risk issues and assists in evaluating risk control
action effectiveness. The risk owner also documents threshold criteria of high and medium
risks and supports the identification of new risks.

151. In the PDCA cycle, C stands for?

Control

Check

Card

Carryover

Explanation:
Answer (b) PDCA stand for Plan-Do-Check-Act.

152. You are managing a project with a total budget of $36,000 to be

finished in one year. You are in the end of the 6th month and currently
the project is on schedule; however, the actual cost of the project is
$20,000. What is the cost variance on the project?
2000

-2000

16000
 -6000

Explanation:
Answer (b) Cost variance = Earned Value (EV) - Actual Cost (AC). Here, Earned Value is
uniformly spread over entire project duration. So earned value at the 6th month = [(Total
Cost)/ (Total Project months)] * Months completed i.e.=( $36,000/12)*6 = $ 18,000. Cost
Variance = $18,000-$20,000 = -$2,000

153. Which of the following statements is true about control charts ?

Special causes are easier to predict and handle than common causes

Common causes are easier to predict and handle than Special causes

A process is stable if it has only special causes

None of the above

Explanation:
Answer (a) There are two types of variation that can be distinguished using control charts
namely, the variations inherent in a process, for example, product design or choice of
materials and special causes of variation i.e., variations from unexpected sources, for
example, human error or a power failure. When the process is in control it is solely governed
by common causes and is indicated as data points lying within control limits. In this case the
only way to improve a process is to make a fundamental change, for example, upgrade
equipment, change procedures, or provide more training. Whereas, the presence of a special
cause would result in data points falling outside the control limit or show trend. Special
causes of variation must be removed before the control chart can be used to monitor the
performance of a process to make it stable and predictable.

154. After awarding contract to one of the sellers, you realize you have
missed a clause for delay in the contract and want to modify it. How
should you proceed further?
Contract is legally binding and cannot be changed once signed

Project Manager should inform the seller about the change in next meeting
 Project Manager should inform the seller about the change through a formal

written communication

Project Manager should proceed with Contract Change control System at his

end
Explanation:
Answer (d) Project Manager should proceed with Contract Change control System at his
end.

155. Your firm awarded a cost reimbursable contract to a

pharmaceutical company for some research related activity. Over time, a
large number of changes have taken place on the project and it is
difficult to keep track of the status of these change requests. What is the
BEST alternative for a Project Manager in this case?
Terminate the existing contract and negotiate a new one with the seller

Capture all the change requests, along with their current status and follow

the contract change control system

Terminate the existing contract and sign a similar one based on the same

terms and conditions as the earlier one

Seek advice from the senior management of your organization

Explanation:
Answer (a) There are strong reasons for the Project Manager to terminate the existing
contract and re-negotiate the terms and conditions. As the earlier contract was cost
reimbursable, the Project Manager had limited information on the contract scope of work. It
may not be true now since some work has been done and Project Manager would be in a
better position to negotiate. Also since there are too many change requests with no clarity on
how many of them would be approved, it is difficult for Project Manager to continue work. The
best option for Project Manager in this case is Option A,.
156. As a Project Manager, you are conducting a structured review of
the seller's progress to deliver the project within the contract
specifications. Your objective is to determine progress with respect to
the procurement statement of work. You would be doing this review in
which stage of the project?
Before contract closure

Before awarding the contract

As part of project status review

In case of nonconformance by seller

Explanation:
Answer (c) The Project Manager is doing a procurement performance review as part of the
process 'administer procurements'. It is a structured review of the seller's progress to deliver
project scope and quality, within cost and on schedule, as compared to the contract. For
more information refer PMBOK 5th edition Project Procurement Management PN 379.

157. You are managing a complex, critical project and have made a lot
of efforts to make the team technically competitive during the process.
The project is in the final acceptance testing stage when a senior
resource comes to discuss his plans of continuing his education and
leaving this current assignment. He would require a positive
recommendation for work from you to fulfill admission requirements.
What should you do?
Tell him that you wouldn't recommend him as he has broken your trust by

leaving project before closure

Immediately ask functional Manager to remove him from the project and give

him a bad recommendation

 Discuss and plan his smooth exit which would least affect the project

schedule

Compliment him on his decision and suggest him to leave project whenever

he likes as you would handle his additional responsibilities

Explanation:
Answer (c) The Project Manager should take steps to minimize the impact of any change on
the project which can affect the 'triple constraints' in the project. Option D, is wrong and it
sets a wrong example.

158. You are managing a software project which is due for design
document release next week. You are currently reviewing the document,
when an influential stakeholder asks you to add a feature to the existing
design. This stakeholder has earlier also tried to bother you with
unreasonable demands at the last days of release. What is the best you
can do in this situation?
Report his behavior to the senior Manager suggesting them why he should

no longer be associated to your project as a stakeholder

As this person is influential, you have no option but to listen to him and add

the functionality

Determine the impact of this change on your schedule and their constraints

before taking a decision

Ask him to raise a written change request form and then follow integrated

change control
Explanation:
Answer (d) It is important that a Project Manager should consider written and well
documented change requests for the project.
159. Of the following, which conflict resolution technique is believed to
generate the LEAST enduring positive results?
Problem Solving

Avoidance

Compromising

Forcing

Explanation:
Answer (d) Forcing is the only technique that can generate the LEAST positive enduring
results.

160. While monitoring the project you find that an accepted risk is going
to occur. Which of the following will you use to develop for the response:
Risk Response Plan

Fallback Plan

Mitigation Plan

Risk Register

Explanation:
Answer (b) The fallback plan includes an alternative set of actions and tasks available in the
event that the primary plan needs to be abandoned because of issues, risks, or other
causes.

161. Tom has been recently promoted to Project Manager for a short
term IT project. Jim, an experienced Project Manager, has suggested to
him that the most important task for a Project Manager to be successful
is communication with the stakeholders. He explains to him that Tom
should communicate the project status to the stakeholders to get some
feedback. How will this help Tom on his project?
All the stakeholders will be happy with Tom

This will ensure that the project aligns with the business needs

The Project Sponsor will be happy

Tom has to do this as this defined in the organizational policies

Explanation:
Answer (b) A Project Manager may send detailed project information and project status to
concerned stakeholders but he needs to communicate the project status, in different formats,
with the stakeholders to get their feedback which will ensure that his project aligns with the
business needs and there will be less unsatisfied stakeholders.

162. A Project Manager has made the final delivery to the customer and
the team is in the process of completing administrative and contract
closure. The team has also completed the final version of the lessons
learned in corporate database. Which of the following is a critical activity
that the Project Manager should complete before formally closing the
project?
Confirm that all the requirements in the project are met

Ensure that all project management processes are complete

Obtain formal sign-off of the project from the customer

Index and archive the project records

Explanation:
Answer (c) The most important part of project closure is to get formal sign-off from the
customer. As it indicates, the customer considers the project completed and accepts the
completed project. Formal sign-off in a contracting situation constitutes legal acceptance.

163. Which of the following is typically NOT part of project closure

activities?
Get formal sign off from the customer to confirm customer acceptance of

final deliverable

Measure customer satisfaction as a key performance indicator of project's

success

Hand off completed project deliverables to operations and management

Use the findings of the project to plan future projects

Explanation:
Answer (d) Documenting lessons learnt is part of closure, but applying those learning or
findings happens during the project planning (not closure) processes.

164. Just a couple of weeks before the close of a project, the customer
submits a request for a new feature, which has a major impact. The
customer further expects this to be completed within the original cost
and schedule baseline. What should the Project Manager do?
Meet with the team to understand the impact

Refuse the customer request

Ask the team to voluntarily work extra hours to get the feature completed

Inform senior management about the request

Explanation:
Answer (d) The impact is already known to be significant and there doesn't seem to be
enough time to rally the situation around. The best course of action is to ask senior
management to take a call on this situation, because the customer is expecting a change
which is not easily achievable.

165. During final payment for a contract, you were surprised to see 2
line items in the invoice pertaining to features that were requested by
some members of your team. These items were not really necessary for
your project. What should you do about the invoice?
Ask the team members why they requested the unnecessary items

Pay only for the essential items

Pay as per original contract and start arbitration proceedings for the rest

Pay for the additional items as well

Explanation:
Answer (d) Irrespective of whether they were necessary or not, it is a fact that they were
requested by your team members and therefore you cannot escape the liability to pay for
them.

166. You need to determine when to release resources from your

project. Which part of the staffing management plan will be most useful
for this?
Resource Histogram

Safety procedures

Recognition and rewards

Training needs
Explanation:
Answer (a) A Resource Histogram is a bar chart that shows the amount of time that a
resource is scheduled to work over a series of time periods.

167. Which of the following is the correct order of actions that you take
during the closing processes?
Get formal acceptance, release the team, write lessons learned, close the

contract

Write lessons learned, release the team, get formal acceptance, close the

contract

Get formal acceptance, write lessons learned, hand over deliverable to

stakeholder(s), close the contract

Get formal acceptance, close the contract, write lessons learned, release the

team
Explanation:
Answer (c) One important fact is that you need your team's help when you're writing the
lessons learned. That's why you can't release the team until the lessons learned are
documented and added to the organizational process assets. Also, the last thing you do on
the project is close the contract. Remember, release the project team is no longer part of
closing as per the new RDS study conducted by PMI. This was amended in 2011 itself.

168. Your project just completed, and one of your subcontractors has
sent you the tickets for the next IPL cricket match to thank you for your
business. What is the BEST way to respond?
Thank the subcontractor, but do not give him preference in the next RFP

Thank the subcontractor, but politely refuse the gift

Ask for tickets for the entire team, so that it is fair to everyone
 Report the subcontractor to PMI

Explanation:
Answer (b) The PMP Code of Professional Conduct says that you're not allowed to accept
any kind of gift, not even if it's after the project has finished. That would be the same thing as
taking a bribe.

169. A Project Manager is reporting the final status of the closed

contract to the stakeholders. Which form of communication is
appropriate?
Informal Written

Informal Verbal

Formal Written

Formal Verbal

Explanation:
Answer (c) All project reports must be communicated as formal written documents.

170. Which of the following is an input of the close project or phase

process?
Transitioning of the final product, service or result

Updates to the Organizational process assets

Accepted Deliverables

Enterprise environmental factors

Explanation:
Answer (c) Accepted deliverables is an input to the Close project or phase process.
171. Which of the following is NOT a possible use for historical records?
To establish organizational performance benchmarks

To document best practices that were discovered during the project

To be used in closure reports of subsequent projects

To document potential pitfalls that future projects can avoid

Explanation:
Answer (c) Historical records from one project cannot become part of the closure reports of
other (future) projects.

172. During the closing, final project report needs to be sent based on
which document?
Stakeholder management plan

Communications management plan

Project charter

Contract

Explanation:
Answer (B). As per the new examination content outline, it is communications management
plan.

173. Which one of the following is the last step of project closing?
Archive Project Documents

Measure customer satisfaction at the end of the project

 Client appreciates your product

Lessons learnt are documented

Explanation:
Answer (b) All of the stated options are activities conducted during project closing. Measure
customer satisfaction at the end of the project is the last step in the closing process group.
This is as per the new changes suggested by the PMI RDS Study.

174. What are the two closing procedures in project lifecycle known as?
Contract close out and Verify Scope

Contract close out and administrative closure

Project closure and product verification

Project closure and lessons learned

Explanation:
Answer (b) The two closing procedures in project lifecycle are known contract close out and
administrative closure. Contract closeout is the administrative procedure associated with the
end of the business agreement with the supplier and the archiving of documents in the
contract file. Administrative closure is a procedural mechanism to temporarily stop removal
proceedings by removing the case from the immigration judge's or BIA's calendar.

175. Which of the following statements is FALSE?

Project closure documents and project files are outputs of the Close Project

Process

The project files consists of documentation resulting from project activities,

such as the project management plan, scope, cost, risk registers, quality
baselines
 The formal acceptance documentation formally indicates that the customer

or sponsor has officially accepted the project deliverables

After the Close Project or Phase process is complete, the Project Manager

should identify and document the lessons learnt

Explanation:
Answer (d) D is incorrect. The creation of lessons learnt documentation is part of the Close
project or phase process.

176. As a Project Manager, if you had to choose amongst projects A, B,

C, and D which one would be the BEST option? Here NPV is Net
Present Value
Project A :NPV $ 50,000 to be completed in 3 years

Project B :NPV $ 40,000 to be completed in 2 years

Project C :NPV $ 70,000 to be completed in 9 years

Project A :NPV $ 60,000 to be completed in 1 years

Explanation:
Answer (c) Project C:NPV $ 70,000 to be completed in 9 years. The project with highest
value of NPV should be selected. The information on number of years to complete the
project is irrelevant as it is already considered while calculating the value of NPV. NPV is
defined as: The difference between the present value of cash inflows and the present value
of cash outflows. Remember, NPV is used in capital budgeting to analyze the profitability of
an investment or project.

177. The popular iterative four step approach of Plan-Do-Check-Act was

advocated by which of the following quality theorists ?
Joseph Juran
 W. Edwards Deming

Philips Crosby

Genichi Taguchi

Explanation:
Answer (b) PDCA (plan-do-check-act) is an iterative four-step problem solving process
typically used in business process improvement. It is also known as the Deming cycle,
Shewhart cycle, Deming wheel, or plan-do-study-act. It was proposed by W. Edwards
Deming in the 1950's and suggests that business processes should be analyzed and
measured to identify sources of variations that cause products to deviate from customer
requirements. He recommended that business processes be placed in a continuous
feedback loop so that Managers can identify and change the parts of the process that need
improvements. Plan: Design or revise business process components to improve results. Do:
Implement the plan and measure its performance. Check: Assess the measurements and
report the results to decision makers. Act: Decide on changes needed to improve the
process.

178. All of the statements about the Arrow Diagramming Method (ADM)
or Activity-on-Arrow (AOA) are true EXCEPT
The nodes are used to represent activity and arrows show activity

dependency

Uses only Finish to Start relationship between activities

May use dummy activities

It's a popular method of drawing network diagram

Explanation:
Answer (a) In the arrow diagramming method (ADM), the arrows are used to represent
activities. The nodes represent activity dependency.
179. A project team working on a water purification plant is determining
the right combination of flow rate, dosage of chlorine and residence time
in the oxidation chamber to achieve the best results. What is the
technique being applied?
Benchmarking

Statistical Sampling

Design of Experiments

Qualitative risk analysis

Explanation:
Answer (c) Design of experiments is the technique of finding out the optimum combination of
factors that help achieve a certain target objective.

180. A technique for performing root cause analysis is called:

Ishikawa diagram

Kaizen

Deming cycle

Total Quality Management

Explanation:
Answer (a) Ishikawa diagrams or fish-bone diagrams are used to perform root cause
analysis.

181. As a buyer, the best possible outcome of a negotiation process is:

For the buyer to get the best possible price
 For both parties to get the best possible deal

To get a watertight guarantee on timely delivery

To get a guarantee for best quality

Explanation:
Answer (b) The outcome of negotiations is to work out a fair deal.

182. All of the following are true for decision trees except,
Clearly lay out the problem so that all options can be challenged

Provide a framework to quantify the values of outcomes and the probabilities

of achieving them.

Allow us to analyze fully the possible consequences of a decision

Get a financial approval from the CFO

Explanation:
Answer (d) The financial approval which is required by the finance department may be
dependent on multiple parameters, not only the result evaluated from the decision trees.

183. Pareto Analysis is a simple technique for prioritizing problem

solving work, so that the first piece of work you do resolves the greatest
number of problems. It is based on which of the following principles?
Tom Pareto Principle

80/20 Rule

Root Cause Analysis

 Whys Principle

Explanation:
Answer (b) Although Option A, appears correct, Tom Pareto is an ambiguous name. If it had
only been the Pareto Principle then that would've been a correct answer.

184. Once the risks have been identified on the project, the next step is
to manage the risks. Of the following, which is NOT a suitable way of
managing the risks?
By using existing assets

By contingency planning

By investing in new resources

By Brainstorming

Explanation:
Answer (d) Brainstorming is a tool and technique for risk identification. All of the other options
are ways of managing the risks. Existing assets may involve improvements to existing
methods and systems, changes in responsibility, etc. Contingency planning may help you in
minimizing the effect, if it happens. Investing in new resources may help in reducing or
insuring you against risk.

185. Which of the following is NOT part of McKinsey's 7S's approach?

Shared Values

Strategy

Share

Styles
Explanation:
Answer (c) McKinsey's 7S's are Strategy, Structure, Systems, Shared Values, Skills, Styles,
and Staff.

186. A method used for making decisions includes the following steps:
a. List your options as rows on a table and the factors you need to
consider as columns b. You score each option/factor combination and
weight this score by the relative importance of the factor. Add these
scores up to give an overall score for each option. Of the following,
which is NOT this tool?
Decision Matrix Analysis

Pugh Matrix Analysis

Multi-Attribute Utility Theory (MAUT

Paired Comparison Analysis

Explanation:
Answer (d) This tool is referred to as Grid Analysis or Decision Matrix Analysis or Pugh
Matrix Analysis or Multi-Attribute Utility Theory. Paired Comparison Analysis is an estimation
tool.

187. An influence map is a visual model showing the people who

influence and make decisions about your project. The map helps you
understand how stakeholders relate to one another, so that you can
quickly see the way in which influence flows. While constructing the
influence map, which of the following should NOT be considered?
Importance or weight of a stakeholder's overall influence

Relationships between stakeholders

Amount of influence stakeholders have over others

 Types of stakeholders

Explanation:
Answer (d) For influence maps, you require the importance, relationships among
stakeholders, and the amount of influence stakeholders have over others.

188. Which of the following is the power that is based on the ability to
reward?
Coercive Power

Reward Power

Legitimate Power

Prize Power

Explanation:
Answer (b) The power that a Project Manager may possess to reward is referred to as
reward power.

189. Which of the following is NOT the personal style defined by Merrill
and Reid in their employee motivation theory?
Driver

Amiable

Expressive

Affiliation

Explanation:
Answer (d) Merill and Reid in their employee motivation theory define the following personal
styles, viz. Driver, Amiable, Expressive, and Analytical.
190. Which statement is correct for human resource management plan?
HR plan assists how resource will be utilized

HR plan assists how resource will be assigned

HR plan assists how communication flows

HR plan assists how Stakeholder management happens

Explanation:
Answer (B). As per new examination content outline, 'assigned' replaces 'utilized'. Option (c)
and (d) are part of communication and stakeholder management plan respectively.

191. According to F.C. Moore, 'Delegation means assigning work to the

others and giving them authority to do so'. Which of the following
suggests the right order for Delegation?
Assignment of Duties to Subordinates, Transfer of Authority, Acceptance of

Assignment, Creation of Responsibility

Transfer of Authority, Assignment of Duties to Subordinates, Acceptance of

Assignment, Creation of Responsibility

Assignment of Duties to Subordinates, Acceptance of Assignment, Creation

of Responsibility, Transfer of Authority

Acceptance of Assignment, Creation of Responsibility, Assignment of Duties

to Subordinates, Transfer of Authority

Explanation:
Answer (a) Assignment of Duties to Subordinates, Transfer of Authority, Acceptance of
Assignment, Creation of Responsibility.
192. Which of the following does not signify the obstacles to effective
delegation of authority?
Unwillingness of the Manager to delegate authority

Fear of competition

Lack of confidence in subordinates

Unwillingness of the subordinate to delegate authority

Explanation:
Answer (d) Unwillingness of subordinate to delegate authority.

193. What does the DMAIC process in Six Sigma stand for?
Define the Problem, Measure and Analysis, Improve and Control

Define the Problem, Measure and Analysis, Indicate and Control

Define the Problem, Monitor and Analysis, Improve and Control

Discuss the Problem, Measure and Analysis, Improve and Control

Explanation:
Answer (a) DMAIC stands for Define the Problem, Measure and Analysis, Improve and
Control.

194. During the executing, the change requests are raised in the project.
The project manager is implementing these changes by following the
change management plan. Which parameter/s should be implemented?
Choose the best answer.
Corrective actions
 Preventive actions

Approved changes

Approved changes and corrective actions

Explanation:
Answer (D). As per new examination content outline, implement approved changes and
corrective actions. Earlier it was only corrective actions.

195. Which of the following activities is part of initiating?

Conduct procurement

Acquire project team

Inform stakeholders of the approved project charter, in order to ensure

common understanding of the key deliverables, milestones, and their roles and
responsibilities.

Create WBS

Explanation:
Answer (c). Options (a) and (b) are part of executing. Option (d) is part of planning. Inform
stakeholders of the approved project charter, in order to ensure common understanding of
the key deliverables, milestones, and their roles and responsibilities is the new task defined
in the examination content outline.

196. Out of the following, who is not a QUALITY guru, i.e. one who has
stated a theory on quality?
Joseph M. Juran

Merby U. Crosmy
 Edwards Deming

Kaoru Ishikawa

Explanation:
Answer (b) The correct name is Merby U. Crosmy.

197. Procurement management plan is developed based on:

Only Budget

Scope and Schedule

Scope, budget, and schedule

Only scope

Explanation:
Answer (c). As per the new examination content outline, budget is also included. Earlier it
was based on scope and schedule.

198. Baselines are an important input to a number of project processes.

Outputs of many processes raise change requests to these baselines.
Of the following, which is not a valid project baseline?
Scope baseline

Risk baseline

Cost baseline

Schedule baseline

Explanation:
Answer (b) Risk baseline is not a valid project baseline. It is an accepted and approved
project plan.

199. Why is verification and validation of the deliverables required?

To satisfy the customer requirements

To satisfy the sponsor requirements

To satisfy the senior management requirements

To meet the business needs and project requirements

Explanation:
Answer (D). As per new examination content outline, it is not to satisfy customer
requirements. It is to meet business needs and project requirements.

200. Control risk process needs to be carried out by considering which

factor/s?
Impact of risk

Impact of risk and opportunities in the project

Only opportunities

Customer need

Explanation:
Answer (B). As per new examination content outline, even the opportunities should be
considered.

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