Project Management Professional PMI Questions + Answers Part 13

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QUESTION 1272
Your project is proceeding according to schedule. You have just learned that a new regulatory requirement will cause a change in one of the project's performance specifications. To ensure that this change is incorporated into the project management plan, you should______________.
A. Call a meeting of the change control board
B. Change the WBS, project schedule, and project plan to reflect the new requirement
C. Prepare a change request
D. Immediately inform all affected stakeholders of the new approach to take on the project
Correct Answer: C Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
The change request should detail the nature of the change and its effect on the project. Documentation is critical to provide a record of the change and who approved it, in case differences of opinion arise later. A change request is an output from the direct and manage project work process and an input to the perform integrated change control process.
QUESTION 1273
Different types of project phases are used on projects, and each phase culminates in the completion of at least one deliverable. The high-level nature of these phases means they are an element of the project life cycle. Some phases start before others complete. If this approach is followed, it may result in______________.
A. An increase in the number of issues B. Increasing the schedule
C. The need for a CCB
D. More rework
Correct Answer: D Section: Mix Questions Explanation



Explanation/Reference:
Explanation:
The question is an example of an overlapping relationship between phases. It is used to compress the schedule through fast tracking as an example. By overlapping phases more resources may be needed, risks may increase, and more rework may result if a significant phase progresses before accurate information is available from the previous phase.
QUESTION 1274
Projects are supposed to succeed, not fail. However, termination is an option to consider when all but which one of the following conditions exist?
A. The customer's strategy has changed.
B. There are new stakeholders.
C. Competition may make the project results obsolete. D. The original purposes for the project have changed.
Correct Answer: B Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
As long as the new stakeholders agree with the project's business case, the work should continue. However, if any of the other events occur, termination should be considered. Cleland and Ireland 2007, 365-375
QUESTION 1275
All projects involve some extent of change, because they involve work that is unique in some fashion. Therefore, it is important that a project management plan includes a______________.
A. Description of the change request process
B. Configuration management plan
C. Methodology for preventive action to avoid the need for excessive changes D. A work authorization system
Correct Answer: B Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
A configuration management plan is part of a project management plan to document how configuration management will be performed on the project.



QUESTION 1276
Progressive elaboration of product characteristics on your project must be coordinated carefully with the______________
A. Proper project scope definition B. Project stakeholders
C. Scope change control system D. Customer's strategic plan
Correct Answer: A Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Progressive elaboration of a project's specification must be coordinated carefully with proper scope definition, particularly when the project is performed under contract. When properly defined, the project scope the work to be done should remain constant even when the product characteristics are elaborated progressively.
QUESTION 1277
You and your project team recognize the importance of project scope management to a project's overall success; therefore, you include only the work required for successful completion of the project. The first step in the Project Scope Management process is to______________
A. Clearly distinguish between project scope and product scope
B. Prepare a scope management plan
C. Define and document your stakeholders' needs to meet the project's objectives D. Capture and manage both project and product requirements
Correct Answer: B Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
The work involved in the six Project Scope Management processes begins by preparing a scope management plan, which is a subsidiary plan for the project management plan. It describes the Project Scope Management processes from definition to control.
QUESTION 1278
An example of an organizational process asset that could affect how project scope is to be managed is______________
A. Personnel administration B. Marketplace conditions



C. Historical information D. Organizational culture
Correct Answer: C Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Organizational process assets that can influence plan scope management include formal and informal policies, procedures, and guidelines impacting project scope management. Historical information and the lessons learned knowledge base are other examples.
QUESTION 1279
You are managing a complex project for a new method of heating and air conditioning in vehicles. You will use both solar and wind technologies in this project to reduce energy costs. Therefore, you must ensure that the work of your project will result in delivering the project's specified scope, which means that you should measure completion of the product scope against the______________
A. Scope management plan
B. Project management plan
C. Product requirements
D. Requirements management plan
Correct Answer: C Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Completion of the project scope is measured against the project management plan, and completion of the product scope is measured against the requirements. In the project context, product scope consists of features and functions that characterize the product, service, or result. Project scope is the work that must be done to deliver the product, service, or result with specified features and functions.
QUESTION 1280
Alternatives generation often is useful in defining project scope. An example of a technique that can be used is______________
A. Sensitivity analysis B. Decision trees
C. Mathematical model D. Lateral thinking



Correct Answer: D Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Lateral thinking, brainstorming, and analysis of alternatives are examples of alternatives generation that can be used to develop as many potential options as possible to execute and perform the project's work.
QUESTION 1281
Product analysis techniques include all the following EXCEPT______________
A. Value engineering B. Value analysis
C. Systems analysis D. Bill of materials
Correct Answer: D Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Product analysis techniques vary by application area, and each application area generally has accepted methods to translate project objectives into tangible deliverables and requirements. Other product analysis techniques include product breakdown, requirements analysis, and systems engineering.
QUESTION 1282
The baseline for evaluating whether requests for changes or additional work are contained within or outside the project's exclusion is provided by the______________
A. Project management plan
B. Project scope statement
C. Project scope management plan D. WBS dictionary
Correct Answer: B Section: Mix Questions Explanation
Explanation/Reference:



Explanation:
Project exclusion identifies generally what is included within the project, and state explicitly what is excluded from the project, if a stakeholder might assume that a particular product, service, or result could be a project component. Project boundaries are described as part of the detailed project scope statement.
QUESTION 1283
Collecting requirements is critical in project scope management as it becomes the foundation for the project's______________
A. Scope management plan
B. WBS
C. Schedule
D. Scope change control system
Correct Answer: B Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Collecting requirements provides the basis for defining project scope and product scope. It also involves determining, documenting, and managing stakeholder needs to meet project objectives. The requirements become the foundation for the WBS; moreover, cost, schedule, and quality planning are built upon the requirements.
QUESTION 1284
Quality function deployment is one approach for collecting requirements. Assume that you have studied the work of numerous quality experts, such as Deming, Juran, and Crosby, and your organization has a policy that states the importance of quality as the key constraint of all project constraints. You and your team have decided to use quality function deployment on your new project to manufacture turbines that use alternative fuels. The first step you should use is to______________
A. Determine the voice of the customer
B. Build the house of quality
C. Address the functional requirements and how best to meet them D. Hold a focus group of prequalified stakeholders
Correct Answer: A Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Quality function deployment is an example of a facilitated workshop used in the manufacturing industry as a tool and technique to collect requirements. It helps to



determine the critical characteristics for new product development and starts by collecting customer needs, known as the voice of the customer.
QUESTION 1285
On the WBS, the first level of decomposition may be displayed by using all the following EXCEPT______________
A. Phases of the project life cycle B. Subcomponents
C. Major deliverables
D. Project organizational units
Correct Answer: D Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
The WBS includes all work needed to be done to complete the project. The organizational breakdown structure (OBS) includes the organizational units responsible for completing the work.
QUESTION 1286
Change is inevitable on projects. Uncontrolled changes are often referred to as______________
A. Rework
B. Scope creep
C. Configuration items D. Emergency changes
Correct Answer: B Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Project scope creep is typically the result of uncontrolled changes. Scope control works to control the impact of any project scope changes.
QUESTION 1287
You have been appointed project manager for a new project in your organization and must prepare a project management plan. You decide to prepare a WBS to show the magnitude and complexity of the work involved. No WBS templates are available to help you. To prepare the WBS, your first step should be to______________



A. Determine the cost and duration estimates for each project deliverable B. Identify and analyze the deliverables and related work
C. Identify the components of each project deliverable
D. Determine the key tasks to be performed
Correct Answer: B Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Identifying and analyzing the deliverables and related work is the first step in the decomposition of a project. The deliverables should be defined in terms of how the project will be organized. For example, the major project deliverables may be used as the second level.
QUESTION 1288
Assume that you are a major subcontractor doing work for a prime contractor on a major project. Your change control system should______________
A. Be identical to that of the prime contractor
B. Follow the rigor of international configuration management standards C. Comply with relevant contractual provisions
D. Only consider approved change requests
Correct Answer: C Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
In addition to complying with any relevant contractual provisions, scope change control must be integrated with the project's overall change control system and with any systems in place to control project and product scope.
QUESTION 1289
You are leading a project team to identify potential new products for your organization. One idea was rejected by management because it would not fit with the organization's core competencies. You need to recommend other products using management's guideline as______________
A. An assumption
B. A risk
C. A specification
D. A technical requirement



Correct Answer: A Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Assumptions are factors that, for planning purposes, are considered to be true, real, or certain without proof or demonstration. They are listed in the project scope statement.
QUESTION 1290
Any step recommended to bring expected future performance in line with the project management plan is called______________
A. Performance evaluation B. Corrective action
C. Preventive action
D. Defect repair
Correct Answer: B Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Recommended corrective action is an output from control scope. In addition to bringing expected future performance in line with the project management plan, it also serves to bring expected future performance in line with the project scope statement.
QUESTION 1291
Updates of organizational process assets that are an output of control scope include all the following EXCEPT______________
A. Causes of variations
B. Lessons learned
C. Work authorization system
D. Reasons certain corrective actions were chosen
Correct Answer: C Section: Mix Questions Explanation
Explanation/Reference:



Explanation:
The work authorization system is not used in control scope. The others are examples of organizational process assets that may require update as a result of scope control.
QUESTION 1292
The key inputs to the validate scope process include all the below items EXCEPT______________
A. The project management plan (scope management plan and scope baseline) B. Change requests
C. Validated deliverables
D. Requirements traceability matrix
Correct Answer: B Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
The change requests are not an input of the validate scope process but are an output. The other items are all inputs to help the project manager validate the scope of the project.
QUESTION 1293
You and your team are documenting requirements on you project to control fatigue as people need to work more hours to keep up with the competition. You decided to set up components for the requirements on your project. Acceptance criteria are an example of______________
A. Stakeholder requirements B. Transition requirements C. Project requirements
D. Business requirements
Correct Answer: C Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Various components of requirements documentation can be used. Examples are: business requirements, stakeholder requirements, solution requirements, project requirements, and requirements assumptions, dependencies, and constraints. Project requirements consist of acceptance criteria and levels of service performance, safety, and compliance.



QUESTION 1294
You are the project manager for a subcontractor on a major contract. The prime contractor has asked that you manage your work in a detailed manner. Your first step is to______________
A. Follow the WBS that the prime contractor developed for the project and use the work packages you identified during the proposal B. Develop a subproject WBS for the work package that is your company's responsibility
C. Establish a similar coding structure to the prime contractor's to facilitate use of a common project management information system D. Develop a WBS dictionary to show specific staff assignments
Correct Answer: B Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Work packages are items at the lowest level of the WBS. A subproject is a smaller portion of the original project when a project is subdivided into more manageable components or pieces. A subproject WBS then breaks down work packages into greater detail. A subproject WBS generally is used when the project manager assigns a scope of work to another organization, and the project manager at that organization must plan and manage the scope of work in greater detail.
QUESTION 1295
How is a context diagram used?
A. To depict product scope
B. To trace requirements as part of the traceability matrix C. To develop the scope management plan
D. To develop the requirements management plan
Correct Answer: A Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
It is a tool and technique in collect requirements and is an example of a scope model. The context diagram visually depicts the product scope as it shows a business system (process, equipment, or computer, etc.) and how people and other systems (actors) interact with it. The diagram shows inputs to the business system, the actor(s) providing the input, outputs from the business system, and actor(s) receiving the output.
QUESTION 1296
You are establishing a PMO that will have a project management information system that will be an online repository of all program data. You will collect descriptions of all work components for each project under the PMO's jurisdiction. This information will form an integral part of the______________



A. Chart of accounts
B. WBS dictionary
C. WBS structure template
D. Earned value management reports
Correct Answer: B Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
The WBS dictionary typically includes a code of accounts identifier, a statement of work, responsible organization, a list of schedule milestones, associated schedule activities, required resources, cost estimates, quality requirements, acceptance criteria, technical references, and agreement information.
QUESTION 1297
Diagram:
What is the duration of the critical path in this network?
A. 10 B. 12 C. 14



D. 15
Correct Answer: D Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
The total duration for the path B-C-D-E-I is 15. The duration of any other path in the network is less than 15.
QUESTION 1298
Diagram:
What is the float for Activity G?
A. -2 B. 0 C. 1 D. 4
Correct Answer: C Section: Mix Questions Explanation



Explanation/Reference:
Explanation:
Float = (late finish - early finish) or (Late start - early start)
Activity G LF = 12 (12 - 11) = (1) EF = 11
LS = 7 (7 - 6) = (1)
ES = 6
QUESTION 1299
Diagram:



If a project planner imposes a finish time of 14 on the project with no change in the start date or activity durations, what is the total float of Activity E?
A. -1
B. 0
C. 2
D. Cannot be determined
Correct Answer: A Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
The imposed finish date becomes the late finish for Activity I. The late dates for each activity need to be recalculated. The dates for Activity E become______________
ES = 10
EF = 13
LS = 9LF = 12
Total float = LS - ES or 9 - 10 = (-1) or
LS - EF or 12 - 13 = (-1)



QUESTION 1300
Of the following tools and techniques, which one is NOT used for schedule control?
A. Fast tracking
B. What-if scenario analysis C. Three-point estimates
D. Adjusting leads and lags
Correct Answer: C Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Three-point estimates are used to determine the estimates that go into the schedule. [Planning and Monitoring and Controlling]
QUESTION 1301
You are planning to conduct the team-building portion of your new project management training curriculum out-of-doors in the local park. You are limited to scheduling the course at certain times of the year, and the best time for the course to begin is mid-July. One of the more common date constraints to use as you develop the project schedule is______________
A. "Start no earlier than"



B. "Finish no earlier than" C. "Fixed late start"
D. "Fixed early finish"
Correct Answer: A Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Imposed dates on schedule activity starts of finishes can be used to restrict the start of finish to occur either no earlier than a specified date or no later than a specified date. Although all four date constraints typically are available in project management software, "start no earlier than" and "finish no later than" constraints are more commonly used.
QUESTION 1302
Your lead engineer estimates that a work package will most likely require 50 weeks to complete. It could be completed in 40 weeks if all goes well, but it could take 180 weeks in the worst case.
What is the PERT estimate for the expected duration of the work package?
A. 45 weeks B. 70 weeks C. 90 weeks D. 140 weeks
Correct Answer: B Section: Mix Questions Explanation
Explanation/Reference:
Explanation:



QUESTION 1303
Activity A has a duration of three days and begins on the morning of Monday the 4th. The successor activity, B, has a finish-to-start relationship with A. The finish-to- start relationship has three days of lag, and activity B has a duration of four days. Sunday is a non workday. Such data can help to determine______________
A. The total duration of both activities is 8 days
B. Calendar time between the start of A to the finish of B is 11 days C. The finish date of B is Wednesday the 13th
D. Calendar time between the start of A to the finish of B is 14 days
Correct Answer: B Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
The duration of A, which is three, is added to the duration of B, which is four, for a total of seven. The three days between the activities is lag and not duration. The lag is a constraint and must be taken into account as part of the network calculations, but it does not consume resources. The total time by the calendar is 11 days as counted from the morning of Monday the 4th. The lag occurs over Thursday, Friday, and Saturday. Sunday is a non workday, so activity B does not start until Monday the 11th. Therefore, the calendar time is 11 days, and activity B ends on Thursday the 14th.
QUESTION 1304
You can use various estimating approaches to determine activity durations. When you have a limited amount of information available about your project, especially when in the early phases, the best approach to use is______________
A. Bottom-up estimating B. Analogous estimating C. Reserve analysis
D. Parametric analysis
Correct Answer: B Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Although limitations exist with all estimating approach, analogous estimating is often used when there is a limited amount of information for the project. It uses historical information and expert judgment.
QUESTION 1305



Working with your team to provide the basis for measuring and reporting schedule progress, you agree to use the______________
A. Schedule management plan B. Network diagram
C. Project schedule
D. Technical baseline
Correct Answer: C Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
The approved project schedule is a key input to schedule control. It is the schedule baseline, as it is the approved version of a schedule model, and it provides the basis for measuring and reporting schedule performance.
QUESTION 1306
Your approved project schedule was based on resource leveling because of a scarcity of resources. Management has now mandated that the project be completed as soon as possible. Which of the following methods will you use to recalculate the schedule?
A. Resource manipulation
B. Reverse resource allocation C. Critical chain scheduling
D. Resource reallocation
Correct Answer: D Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
While resource leveling will often result in a project duration that is longer than the preliminary schedule as the original critical path probably will change and increase, it can also be used to get a schedule back on track by reassigning activities from noncritical to critical path activities.
QUESTION 1307
Review the following network diagram and table.



Of the various activities, which ones would you crash and in what order?
A. A,C,E,andF B. A,B,D,andF C. A, B, E, and F D. C, A, F, and G
Correct Answer: D Section: Mix Questions Explanation
Explanation/Reference:



Explanation:
First, it is necessary to determine the critical path, which is A, C, F, and G. To determine the lowest weekly crashing cost, start with C at $1,500 per week. The next activity is A, followed by F and G.
QUESTION 1308
Decomposition is a technique used for both WBS development and activity definition. Which following statement best describes the role decomposition plays in activity definition as compared to creating the WBS?
A. Final output is described in terms of work packages in the WBS.
B. Final output is described as deliverables or tangible items.
C. Final output is described as schedule activities.
D. Decomposition is used the same way in scope definition and activity definition.
Correct Answer: C Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Final output is described as schedule activities.
In the create WBS process, final output is described as deliverables or tangible items. In the define activities process, final output is described as activities.
QUESTION 1309
When sequencing project activities in the schedule, all the following are true EXCEPT______________
A. There may be scheduled dates for specific milestones
B. Every activity is connected to at least one predecessor and at least one successor C. Lead or lag time may be required
D. Necessary sequencing of events may be described by the activity attributes
Correct Answer: B Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
The sequence activity process involves identifying and documenting relationships among the project activities. However, the last activity or milestone are not connected to at least one successor.
QUESTION 1310



A schedule performance index of less than 1.0 indicates that the______________
A. Project is running behind the monetary value of the work it planned to accomplish B. Earned value physically accomplished thus far is 100%
C. Project has experienced a permanent loss of time
D. Project may not be on schedule, but the project manager need not be concerned
Correct Answer: A Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
The SPI represents how much of the originally scheduled work has been accomplished at a given period in time, thus providing the project team with insight as to whether the project is on schedule.
QUESTION 1311
Various tools and techniques are available to sequence activities, and several factors can help to determine which tool or technique to select. When a project manager decides to include sub-networks or a fragment network as part of his or her scheduling technique, what does this decision say about the project?
A. The work is unique requiring special network diagrams at various stages.
B. Software that manages resources is available over an existing electronic network.
C. Several identical or nearly identical series of activities are repeated throughout the project. D. Multiple critical paths exist in the project.
Correct Answer: C Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
When identical network descriptions are repeated throughout a project, templates of those activities can be developed. If those series of tasks are repeated several times, the template can be updated several times. Software can be used with the templates to facilitate documenting and adapting them for future use. The sub- network or fragment tends to represent a sub-project or a work package and is often used to illustrate or study some potential or proposed schedule condition, such as a change in preferential schedule logic or the scope of the project.
QUESTION 1312
To meet regulatory requirements, you need to crash your project schedule. Your first step is to compute______________ A. The cost and time slope for each critical activity that can be expedited



B. The cost of additional resources to be added to the project's critical path
C. The time saved in the overall schedule when tasks are expedited on the critical path D. Three probabilistic time estimates of PERT for each critical path activity
Correct Answer: A Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Slope = (Crash cost - Normal cost)/(Crash time - Normal time). This calculation shows the cost per day of crashing the project. The slope is negative to indicate that as the time required for a project or task decreases, the cost increases. If the costs and times are the same regardless of whether they are crashed or normal, the activity cannot be expedited.
QUESTION 1313
Unlike bar charts, milestone charts show______________
A. Scheduled start or completion of major deliverables and key external interfaces B. Activity start and end dates of critical tasks
C. Expected durations of the critical path
D. Dependencies between complementary projects
Correct Answer: A Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Scheduled start or completion of major deliverables and key external interfaces Milestones are singular points in time, such as the start or completion of a significant activity or group of activities.
QUESTION 1314
Project managers should pay attention to critical and subcritical activities when evaluating project time performance. One way to do this is to analyze 10 sub critical paths in order of ascending float. This approach is part of______________
A. Variance analysis
B. Simulation
C. Earned value management D. Trend analysis



Correct Answer: A Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Performance of variance analysis during the schedule monitoring process is a key element of time control. Float variance is an essential planning component for evaluating project time performance.
QUESTION 1315
An activity has an early start date of the 10th and a late start date of the 19th. The activity has a duration of four days. There are no non workdays. From the information given, what can be concluded about the activity?
A. Total float for the activity is nine days.
B. The early finish date of the activity is the end of the day on the 14th.
C. The late finish date is the 25th.
D. The activity can be completed in two days if the resources devoted to it are doubled.
Correct Answer: A Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Total float or slack is computed by subtracting the early start date from the late start date, or 19 - 10 = 9. To compute the early finish date given a duration of 4, we would start counting the activity on the morning of the 10th; therefore, the activity would be completed at the end of day 13, not 14 (10, 11, 12, 13). If we started the activity on its late start date on the morning of the 19th, we would finish at the end of day 22, not 25. Insufficient information is provided to determine whether this activity can be completed in 2 days if the resources are doubled.
QUESTION 1316
Which of the following is a key input to define activities?
A. Project management plan
B. Project scope management plan C. Schedule management plan
D. Project management software
Correct Answer: C Section: Mix Questions



Explanation
Explanation/Reference:
Explanation:
While there are a number of inputs to define activities, the schedule management plan is a key input. It shows the level of detail necessary to manage the work.
QUESTION 1317
The purpose of using what-if analysis in schedule control is to______________
A. Review scenarios to bring the schedule in line with the plan
B. Document requested changes
C. Provide additional details as to when the schedule baseline should be updated D. Update the activity attributes
Correct Answer: A Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
A corrective action is anything that is done to bring expected future schedule performance in line with the schedule baseline. Regarding the project schedule, it usually means taking action to speed up the project. One way to determine why the schedule performance is not in line with the plan is what-if analysis, which may address schedule activities and other scenarios other than the activity that is actually causing the variance. It evaluates scenarios in order to predict their effect on the project's outcomes, either positive or negative.
QUESTION 1318
Several types of float are found in project networks. Float that is used by a particular activity and does NOT affect the float in later activities is called______________
A. Extra float
B. Free float
C. Total float
D. Expected float
Correct Answer: B Section: Mix Questions Explanation
Explanation/Reference:
Explanation:



Free float is defined as the amount of time an activity can be delayed without delaying the early start of any immediately succeeding activities.
QUESTION 1319
The risk register may need to be updated as an output of which following process:
A. Define activities
B. Sequence activities
C. Estimate activity resources D. Control schedule
Correct Answer: D Section: Mix Questions Explanation
Explanation/Reference:
QUESTION 1320
To account for uncertainty in a schedule, reserve analysis may be used. All the following are examples of contingency reserves EXCEPT ______________
A. Fixed number of work periods
B. Percent of the estimated activity duration C. Buffers
D. Productivity metrics
Correct Answer: D Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Duration estimates may include contingency reserves, and contingency should be identified clearly in schedule documentation. They are built into the overall project schedule to account for uncertainty. They also may be developed using quantitative analysis methods. When more information is known about the project, the contingency reserve may be used, reduced, or eliminated.
QUESTION 1321
The reason that the schedule performance index (SPI) is shown as a ratio is to______________
A. Enable a detailed analysis of the schedule regardless of the value of the schedule variance B. Distinguish between critical path and noncritical path work packages



C. Provide the ability to show performance for a specified time period for trend analysis D. Measure the actual time to complete the project
Correct Answer: C Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Because schedule performance index (SPI) and cost performance index (CPI) are expressed as ratios, they can be used to show performance for a specific time period or trends over a long-time horizon.
QUESTION 1322
You are using earned value progress reporting for your current project in an effort to teach your software developers the benefits of earned value. You plan to display project results on the cafeteria bulletin board so that the team knows how the project is progressing.
PV = $2,200 EV = $2,000 AC = $2,500 BAC = $10,000
According to earned value analysis, the SV and status of the project described above is______________
A. -$300; the project is ahead of schedule B. +$8,000; the project is on schedule
C. +$200; the project is ahead of schedule D. -$200; the project is behind schedule
Correct Answer: D Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
SV is calculated as EV - PV (in this case, $2,000 - $2,200). A negative variance means that the work completed is less than what was planned for at that point in the project.
QUESTION 1323
You are using earned value progress reporting for your current project in an effort to teach your software developers the benefits of earned value. You plan to display project results on the cafeteria bulletin board so that the team knows how the project is progressing.



PV = $2,200 EV = $2,000 AC = $2,500 BAC = $10,000
What is the CPI for this project, and what does it tell us about cost performance thus far?
A. 0.20; actual costs are exactly as planned
B. 0.80; actual costs have exceeded planned costs C. 0.80; actual costs are less than planned costs D. 1.25; actual costs have exceeded planned costs
Correct Answer: B Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
CPI is calculated as EV/AC (in this case, $2,000/$2,500). EV measures the budgeted dollar value of the work that has actually been accomplished, whereas AC measures the actual cost of getting that work done. If the two numbers are the same, work on the project is being accomplished for exactly the budgeted amount of money (and the ratio will be equal to 1.0). If actual costs exceed budgeted costs (as in this example), AC will be larger than EV, and the ratio will be less than 1.0. CPI is also an index of efficiency. In this example, an index of 0.80 (or 80 percent) means that for every dollar spent on the project only 80 cents worth of work is actually accomplished.
QUESTION 1324
All the following are outputs of the estimate cost process EXCEPT______________
A. Activity cost estimates B. Basis of estimates
C. Documented constraints D. Cost baseline
Correct Answer: D Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Cost baseline is an output from the determine budget process.



QUESTION 1325
If the cost variance is the same as the schedule variance and both numbers are greater than zero, then______________
A. The cost variance is due to the schedule variance B. The variance is favorable to the project
C. The schedule variance can be easily corrected
D. Labor rates have escalated since the project began
Correct Answer: B Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
A positive schedule variance indicates that the project is ahead of schedule. A positive cost variance indicates that the project has incurred less cost than estimated for the work accomplished; therefore, the project is under budget.
QUESTION 1326
If operations on a work package were estimated to cost $1,500 and finish today but, instead, have cost $1,350 and are only two-thirds complete, the cost variance is______________
A. $150 B. -$150 C. -$350 D. -$500
Correct Answer: C Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
CV is calculated by EV - AC, or $1,500(2/3) - $1,350 = -$350.
QUESTION 1327
When you review cost performance data on your project, different responses will be required depending on the degree of variance or control thresholds from the baseline. For example, a variance of 10 percent might not require immediate action, whereas a variance of 100 percent will require investigation. A description of how you plan to manage cost variances should be included in the______________
A. Cost management plan



B. Change management plan
C. Performance measurement plan D. Variance management plan
Correct Answer: A Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
The management and control of costs focuses on variance thresholds. Certain variances are acceptable, and others, usually those falling outside a particular range, are unacceptable. They are typically expressed as percentage deviations from the baseline plan. The actions taken by the project manager for variances are described in the cost management plan.
QUESTION 1328
If you want to calculate the ETC based on your expectations that similar variances to those noted to date will not occur, you should use which of the following formulas?
A. ETC = BAC - EV
B. ETC = (BAC - EV)/CPI C. ETC = AC + EAC
D. ETC = AC + BAC - EV
Correct Answer: A Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
This formula assumes that the estimate to complete is based on the same cost efficiency level.
QUESTION 1329
You receive a frantic phone call from your vice president who says she is going to meet with a prospective client in 15 minutes to discuss a large and complex project. She asks you how much the project will cost. You quickly think of some similar past projects, factor in a few unknowns, and give her a number. What type of estimate did you just provide?
A. Definitive
B. Budget
C. Order-of-magnitude D. Detailed



Correct Answer: C Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
An order-of-magnitude estimate, which is referred to also as a ballpark estimate, has an accuracy range of -25% to 75% and is made without detailed data.
QUESTION 1330
Your approved cost baseline has changed because of a major scope change on your project. Your next step should be to______________
A. Estimate the magnitude of the scope change B. Issue a change request
C. Document lessons learned
D. Execute the approved scope change
Correct Answer: B Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Before a revised cost baseline leading to a budget update can be prepared, it is necessary to issue a change request, which may include preventive or corrective action. These change requests then are reviewed and processed through the Perform Integrated Change Control process.
QUESTION 1331
Which of the following is a tool for analyzing a design, determining its functions, and assessing how to provide those functions' cost effectively?
A. Pareto diagram
B. Value analysis
C. Configuration management D. Value engineering
Correct Answer: D Section: Mix Questions Explanation
Explanation/Reference:



Explanation:
Value engineering considers possible cost trade-offs as a design evolves. The technique entails identifying the functions that are needed and analyzing the cost effectiveness of the alternatives available for providing them. It helps optimize project life cycle costs, save time, increase profits, improve quality, increase market share, solve problems, and contribute toward more effective resource use.
QUESTION 1332
The undistributed budget is part of the______________
A. Management reserve
B. Performance measurement baseline C. Level-of-effort cost accounts
D. General and administrative accounts
Correct Answer: B Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
The undistributed budget is applied to project work that has not yet been linked to WBS elements at or below the lowest level of reporting. It is, therefore, part of the performance measurement baseline and is expected to be used in the performance of project work.
QUESTION 1333
It is expensive to lease office space in cities around the world. Office space can cost approximately USD $80 per square foot in Tampa, Florida. And it can cost approximately $50,000 per square meter in Tokyo. These "averages" can help a person to determine how much it will cost to lease office space in these cities based on the amount of space leased. These estimates are examples of______________
A. Variance analysis
B. Parametric estimating C. Bottom-up estimating D. Reserve analysis
Correct Answer: B Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Parametric estimating involves using statistical relationships between historical data and other variables to calculate or estimate for activity parameters, such as cost, budget, or duration. The example is representative of a simple parametric model.



QUESTION 1334
Which of the following calculations CANNOT be used to determine EAC?
A. EV to date plus the remaining project budget
B. Accepts actual costs and predicts future ETC work will be done at the budgeted rate C. Assumes what the program has experienced can be expected to continue
D. ETC will be performed at an efficiency rate considering both the CPI and SPI
Correct Answer: A Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
EAC is a forecast of the most likely total value based on project performance and risk quantification. To calculate EAC, the AC of a project must be known and used in the calculation. Any calculation that relies solely on the EV will not yield an accurate measure of cost performance.
QUESTION 1335
By reviewing cumulative cost curves, the project manager can monitor______________
A. EV B. PV C. CVs D. CPI
Correct Answer: C Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Cumulative cost curves, or S-curves, enable the project manager to monitor cost variances at a glance. The difference in height between the planned-expenditure curve and the actual-expenditure curve represents the monetary value of variances at any given time.
QUESTION 1336
Control accounts______________
A. Are charge accounts for personnel time management B. Summarize project costs at level 2 of the WBS



C. Identify and track management reserves
D. Represent the basic level at which project performance is measured and reported
Correct Answer: D Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Control accounts represent a management control point where scope, budget (resource plans), actual costs, and schedule are integrated and compared to earned value for performance measurement.
QUESTION 1337
Performance review meetings are held to assess schedule activity and work packages over-running or under-running the budget and to determine any estimated funds needed to complete work in progress. Typically, if EV is being used, all but which of the following information is determined?
A. Variance analysis
B. Trend analysis
C. Time reporting systems
D. Earned value performance
Correct Answer: C Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Variance analysis focuses on cost and schedule to help explain the cause, issue, and corrective action. Trend analysis examines project performance over time to determine performance status. Earned value performance compares the performance measurement baseline to actual schedule and cost performance.
QUESTION 1338
Overall cost estimates must be allocated to individual activities to establish the cost performance baseline. In an ideal situation, a project manager would prefer to prepare estimates______________
A. Before the budget is complete
B. After the budget is approved by management
C. Using a parametric estimating technique and model specific for that project type D. Using a bottom-up estimating technique
Correct Answer: A



Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Often project cost estimates are prepared after budgetary approval is provided. However, activity cost estimates should be prepared before the budget is complete.
QUESTION 1339
The method of calculating the EAC by assuming the ETC work will be performed at the same cumulative CPI incurred by the project to date is used most often when______________
A. Current variances are viewed as atypical ones
B. Original estimating assumptions are no longer reliable because conditions have changed C. Current variances are viewed as typical of future variances
D. Original estimating assumptions are considered to be fundamentally flawed
Correct Answer: C Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Past performance is indicative of future performance; therefore, EAC = BAC/CPI.
QUESTION 1340
Increased attention to return on investment (ROI) now requires you to complete a financial analysis of the payback period on your project. Such an analysis identifies the______________
A. Ratio of discounted revenues over discounted costs B. Future value of money invested today
C. Amount of time before net cash flow becomes positive D. Point in time where costs exceed profit
Correct Answer: C Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Payback period analysis determines the time required for a project to recover the investment in it and become profitable. A weakness of this approach is a lack of



emphasis on the magnitude of the profitability.
QUESTION 1341
A revised cost baseline may be required in cost control when______________
A. CVs are severe, and a realistic measure of performance is needed
B. Updated cost estimates are prepared and distributed to stakeholders
C. Corrective action must be taken to bring expected future performance in line with the project plan EAC shows that additional funds are needed to complete the project even if a scope change is not needed
Correct Answer: A Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
After the CVs exceed certain ranges, the original project budget may be questioned and changed as a result of new information.
QUESTION 1342
As project manager, you identified a number of acceptable tolerances as part of your earned value management system. During execution, some "unacceptable" variances occurred. After each "unacceptable" variance occurred, you did which one of the following first?
A. Updated the budget
B. Prepared a revised cost estimate C. Adjusted the project plan
D. Documented lessons learned
Correct Answer: D Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Lessons learned but not documented are "lessons lost." The lessons learned knowledge database will help current project members, as well as people on future projects, make better decisions. Accordingly, the reasons for the variance, the rationale supporting the corrective action, and other related information must be documented. They require updates as part of updates to organizational process assets as an output of control costs in terms of corrective actions taken and why they were selected.
QUESTION 1343
Assume that the project cost estimates have been prepared for each activity and the basis of these estimates has been determined. Now, as the project manager


for your nutrition awareness program in your hospital, you are preparing your budget. Because you have estimates for more than 1,200 separate activities, you have decided to first______________
A. Aggregate these estimates by work packages
B. Aggregate these estimates by control accounts to facilitate the use of earned value management C. Use the results of previous projects to predict total costs
D. Set your cost performance baseline
Correct Answer: A Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
The WBS provides the relationship among all the project deliverables and their components and should be reviewed before the budget is developed. As the budget is determined, the cost estimates for the activities should be aggregated by the work packages in the WBS. Then, later, they are aggregated for the control accounts and finally for the entire project.
QUESTION 1344
The reason that the cost performance index (CPI) is shown as a ratio is to______________
A. Enable a detailed analysis of the schedule regardless of the value of the schedule variance B. Distinguish between critical path and noncritical path work packages
C. Provide the ability to show performance for a specified time period for trend analysis
D. Measure the actual time to complete the project
Correct Answer: C Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Because schedule performance index (SPI) and cost performance index (CPI) are expressed as ratios, they can be used to show performance for a specific time period or trends over a long-time horizon. Additionally, there is no need to disclose confidential financial data to convey the project's status to one's customers; they should not have a need to know such information, unless there is a contractual requirement to do so.
QUESTION 1345
Assume that your actual costs are $800; your planned value is $1,200; and your earned value is $1,000. Based on these data, what can be determined regarding your schedule variance?



A. At +$200, the situation is favorable as physical progress is being accomplished ahead of your plan.
B. At -$200, the physical progress is being accomplished at a slower rate than is planned, indicating an unfavorable situation. C. At +$400, the situation is favorable as physical progress is being accomplished at a lower cost than was forecasted.
D. At -$200, you have a behind-schedule condition, and your critical path has slipped
Correct Answer: B Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Schedule variance is calculated: EV - PV or $1,000 - $1,200 = -$200. Because the SV is negative, physical progress is being accomplished at a slower rate than planned.
QUESTION 1346
The CPI on your project is 0.84. This means that you should______________
A. Place emphasis on improving the timeliness of the physical progress
B. Reassess the life-cycle costs of your product, including the length of the life-cycle phase
C. Recognize that your original estimates were fundamentally flawed, and your project is in an atypical situation D. Place emphasis on improving the productivity by which work was being performed
Correct Answer: D Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
CPI = EV/AC and measures the efficiency of the physical progress accomplished compared to the baseline. A CPI of 0.84 means that for every dollar spent, you're only receiving 84 cents of progress. Therefore, you should focus on improving the productivity by which work is being performed.
QUESTION 1347
Benchmarking is a technique used in______________
A. Inspections
B. Root cause analysis
C. Plan quality management D. Perform quality control



Correct Answer: C Section: Mix Questions Explanation
Explanation/Reference:
Explanation:
Benchmarking involves comparing actual or planned practices to those practices of comparable projects to identify best practices, to note ideas for improvement, and to provide a way to measure performance.