PMsyudy Exam4 PDF

Question No : 1
Which of the following is NOT a characteristic of a project?
Choice 1 Constrained by limited resources
Choice 2 Planned, executed, and controlled
Choice 3 Creates a unique product or service
Choice 4 Ongoing and repetitive
Correct Choice : 4
Justification :
A project is a temporary endeavor undertaken to create a unique product, service, or result. The temporary nature of
projects indicates that a project has a definite beginning and end.
Reference: PMBOK® Guide - Fifth Edition, page 3

Question No : 2
In your project, you create a document to record the code of account identifier, description of work, responsible
organization, and schedule milestones. This document can be referred to as:
Choice 1 WBS
Choice 2 WBS dictionary
Choice 3 PERT/CPM charts
Choice 4 Roles and responsibilities matrix
Correct Choice : 2
Justification :
Information in the WBS dictionary may include, but is not limited to, code of account identifier, description of work,
assumptions and constraints, responsible organization, schedule milestones, associated schedule activities, resources
required, cost estimates, quality requirements, acceptance criteria, technical references, and agreement information.

Question No : 3
In which document will you find the code of account identifier, description of work, responsible organization, and list of schedule
milestones?
Choice 1 WBS
Choice 2 WBS Dictionary
Choice 3 PERT/CPM Charts
Choice 4 Roles and Responsibilities Matrix
Correct Choice : 2
Justification :
Information in the WBS dictionary may include, but is not limited to: code of account identifier, description of work, assumptions and
constraints, responsible organization, schedule milestones, associated schedule activities, resources required, cost estimates, quality
requirements, acceptance criteria, technical references,and agreement information.
Question No : 4
The project manager has created the project schedule. In this context, which of the following activities would the project
manager NOT use schedule control for?
Choice 1 Influencing the factors that create schedule changes
Choice 2 Determining if the project schedule has changed
Choice 3 Determining planned start and finish dates for project activities
Choice 4 Managing actual schedule changes as they occur

Correct Choice : 3
Justification :
Option 3 is an activity performed as part of the Develop Schedule process. The remaining options are activities that are
performed as part of the Control Schedule process.
Reference: PMBOK® Guide - Fifth Edition, pages 173 (figure 6-16) and 185 (figure 6-22)
Question No : 5
As a project manager, in approximating costs, you consider the possible causes of variation of the cost estimates, including
risks. For your project, which is in the initiation phase, your team has suggested a rough order of magnitude estimate. This
could be in the range of:
Choice 1 -75% to +90%
Choice 2 -25% to +75%
Choice 3 -10% to +25%
Choice 4 -5% to +10%
Correct Choice : 2
Justification :
A project in the initiation phase may have a rough order of magnitude (ROM) estimate in the range of -25% to +75%
Question No : 6
You are working for a semi-conductor company. There have been several instances in the past week when a few circuits
have not been giving accurate results. You have been assigned the task of determining the probable cause for the
variations. Which tool would you use?
Choice 1 Control Chart
Choice 2 Ishikawa Diagrams
Choice 3 Pareto Diagrams
Choice 4 Inspection
Correct Choice : 2
Justification :
Ishikawa diagrams is also known as Cause-and-effect diagrams or fishbone diagrams. The problem statement placed at
the head of the fishbone is used as a starting point to trace the problem`s source back to its actionable root cause. The
problem statement typically describes the problem as a gap to be closed or as an objective to be achieved.
Question No : 7
Which of the following statements about the project management team and the project team is inaccurate?
Choice 1 The project management team is also called the core, executive, or leadership team.
Choice 2 The project team is responsible for activities like planning, controlling, and closing.
Choice 3 The project management team is a subset of the project team.
Choice 4 For small projects, the project management responsibilities are shared by the entire team or administered solely
by the project manager.
Correct Choice : 2
Justification :
The project management team is a subset of the project team and is responsible for the project management and
leadership activities such as initiating, planning, executing, monitoring, controlling, and closing the various project phases.
This group can also be referred to as the core, executive, or leadership team. For smaller projects, the project
management responsibilities can be shared by the entire team or administered solely by the project manager.
PMstudy.com comments: The entire project team is not responsible for Initiating, Controlling and Closing, although they will
be involved in these processes to varying degrees. Only the project management team (which is a subset of the project
team) is responsible for these activities.
Question No : 8
You have recently assumed charge of a project from another project manager. You want to know what kind of information
you should provide to different stakeholders and what methods to adopt for this purpose. You will find this information in
the:
Choice 1 Communications management plan
Choice 2 Performance reports
Choice 3 Project records
Choice 4 Communications plan
Correct Choice : 1
Justification :
The communications management plan provides stakeholder communication requirements, information that needs to be
communicated, including language, format, content, level of detail, methods or technologies used to convey the
information, such as memos, e-mail, and/or press releases, etc.
Question No : 9
In your project, you are creating a diagram that describes the decision under consideration and implications of choosing
one or another of the available alternatives. This will help to:
Choice 1 Get a qualitative analysis of the risk
Choice 2 Determine which risks may have the most impact on the project
Choice 3 Translate the uncertainties at a detailed level into potential impact on objectives expressed at the level of the total
project
Choice 4 Determine which decision yields the greatest expected value
Correct Choice : 4
Justification :
Decision Tree Analysis is a diagramming and calculation technique for evaluating the implications of a chain of multiple
options in the presence of uncertainty.
PMstudy.com comments: Solving the decision tree indicates which decision yields the greatest expected value to the
decision-maker when all the uncertain implications, costs, rewards, and subsequent decisions are quantified.
Question No : 10
A contract obligates the seller to provide the specified product and obligates the buyer to pay for it. In this context, which of
the following is a mandatory feature of a contract?
Choice 1 Mutually binding
Choice 2 Complicated
Choice 3 Very detailed statement of work
Choice 4 Signatures of senior leadership of the buyer
Correct Choice : 1
Justification :
A contract is a mutually binding agreement that obligates the seller to provide the specified product, or service or product
and obligates the buyer to pay for it.
Question No : 11
The responsibility of stakeholder expectations management usually lies with the:
Choice 1 Project management team
Choice 2 Project manager
Choice 3 Project team
Choice 4 Project manager, project sponsor, and project management team
Correct Choice : 2
Justification :
The project manager is responsible for engaging and managing the various stakeholders in a project.
Reference: PMBOK® Guide Fifth Edition, page 406
Question No : 12
In an automobile company in which you are the project manager, the allowable standard deviation for a product to be
delivered by the contractor is less than 0.002 inches. However, product testing has revealed that the actual deviation is
slightly more than 0.002 inches. You believe that the variation from the permissible deviation is negligible. In this case, you
must:
Choice 1 Allow the product, since deviation from the company standards is small.
Choice 2 Document the low quality level of the product, ask the contractor for an explanation, and find a solution.
Choice 3 Reject the product outright.
Choice 4 Allow the product this time, but mentor the contractor to be more quality conscious henceforth.
Correct Choice : 2
Justification :
Any decrease in quality level in the product should be documented and discussed with the contractor. If there is a slight
decrease in the required quality level, rejecting the product outright (option 3) will be an extreme step. Similarly, approving
a product of a lower quality (option 1 and option 4) is also not advisable.
Reference: PMstudy.com comments

Question No : 13
In a kick-off meeting for your project, you provided information to your team members about the different process groups to
be followed in the project. According to PMI, which are the project management process groups?
Choice 1 Conceptualizing, Initiating, Executing, Monitoring and Controlling, and Closing
Choice 2 Initiating, Planning, Executing, Monitoring and Controlling, and Closing
Choice 3 Initiating, Verifying, Executing, Monitoring and Controlling, and Closing
Choice 4 Initiating, Planning, Executing, Controlling, and Administrative Closure
Correct Choice : 2
Justification :
The five Process Groups are Initiating, Planning, Executing, Monitoring and Controlling, and Closing.
PMstudy.com comments: Conceptualizing, Verifying, and Administrative Closure are not process groups.
Question No : 14
In your project, you are in the process of leading and performing the work defined in the project management plan and
implementing approved changes to achieve the project`s objectives. This is done during:
Choice 1 Direct and Manage Project Work
Choice 2 Develop Project Management Plan
Choice 3 Monitor and Control Project Work

Choice 4 Create Deliverables
Correct Choice : 1
Justification :
Direct and Manage Project Work is the process of leading and performing the work defined in the project management plan
and implementing approved changes to achieve the project`s objectives.
PMstudy.com comments: Please note that option 4 (Create Deliverables) is not a process.
Question No : 15
You are a project manager in a large software development organization. It is a primary objective in your company to
deliver quality products, with a low rate of errors and a high product acceptance rate by your customers. The company has
made significant investments in a robust system to support these corporate objectives and goals. When developing
contracts for software development projects, it is standard that the customer is required to follow rigorously defined
processes for user acceptance testing which must be conducted each time a module is completed. The customer is also
required to notify the project manager, in writing, that the software module was tested and whether it was acceptable or
not. This user acceptance testing, and the resulting notification is part of which process?
Choice 1 Control Scope
Choice 2 Collect Requirements
Choice 3 Validate Scope
Choice 4 Perform Quality Assurance
Correct Choice : 3
Justification :
Validate Scope is the process of formalizing acceptance of the completed project deliverables. The key benefit of this
process is that it brings objectivity to the acceptance process and increases the chance of final product, service, or result
acceptance by validating each deliverable. The verified deliverables obtained from the Control Quality process are
reviewed with the customer or sponsor to ensure that they are completed satisfactorily and have received formal
acceptance of the deliverables by the customer or sponsor.
Reference: PMBOK® Guide - Fifth Edition, pages 133 and 134
PMstudy.com comments: This question describes an inspection of the deliverable by the customer (i.e., testing). The
process of accepting deliverables (Validate Scope) should include written notification that the deliverable has been either
accepted or rejected.
Question No : 16
You are taking over a project that is currently in the planning stage. The previous project manager worked with the team to
finalize the process of defining activities, and you joined the team at the end of this process. The next process requires the
determination and documentation of the relationships among project activities. Of the following, which is a tool and
technique used in this process?
Choice 1 Schedule Baseline
Choice 2 Dependency Determination
Choice 3 Activity List
Choice 4 Schedule Compression
Correct Choice : 2
Justification :
The process being described is Sequence Activities. Dependency Determination is a tool/technique for the Sequence
Activities process. None of the other options are tools or techniques for this process.
Reference: PMBOK® Guide - Fifth Edition, pages 143 (figure 6-1) and 153
Question No : 17
As a project manager, you are estimating the costs required to complete the project activities. In this context, which of the
following tools or techniques cannot be used?
Choice 1 Analogous estimating
Choice 2 Vendor bid analysis
Choice 3 Historical relationships
Choice 4 Cost of quality
Correct Choice : 3
Justification :
Estimate Costs is the process of developing an approximation of the monitory resources needed to complete project
activities. Analogous estimating, vendor bid analysis, and cost of quality are some of the tools used in this process.
Reference: PMBOK® Guide - Fifth Edition, page 200 (figure 7-4)
Question No : 18
You are managing the tools/spare parts section for an aircraft manufacturing company. Your team members have
discovered some defective tools/spare parts. The probable cause for these could be materials used, defective
measurement systems, inaccurate tolerances in the machines, or other factors. To determine what caused the defect, you
will:
Choice 1 Use a control chart
Choice 2 Draw an Ishikawa diagram
Choice 3 Create a flowchart
Choice 4 Draw a Pareto chart
Correct Choice : 2
Justification :
Ishikawa or fishbone diagrams (also called cause and effect diagrams) illustrate how various factors might be linked to
potential problems or effects (please refer to figure 8-7 on PMBOK® Guide - Fifth Edition, page 239).
Question No : 19
As a project manager, you are interested in the personal activities of team members. Other than working with you on the
project, the team members love to go out with you for lunch or play an occasional game of golf. The power that you have
over the team members is:
Choice 1 Penalty power
Choice 2 Expert power
Choice 3 Legitimate power
Choice 4 Referent power
Correct Choice : 4
Justification :
The five interpersonal influences are:
Legitimate Power: The ability to gain support, because project personnel perceive the project manager as being officially
empowered to issue orders.
Reward Power: The ability to gain support, because project personnel perceive the project manager as capable of directly
or indirectly dispensing valued organizational rewards such as salary, promotion, bonus, and future work assignments.
Penalty Power: The ability to gain support, because the project personnel perceive the project manager as capable of
directly or indirectly dispensing penalties that they wish to avoid. Penalty power usually derives from the same source as
reward power, with one being a necessary condition for the other.
Expert Power: The ability to gain support, because personnel perceive the project manager as possessing special
knowledge or expertise.
Referent Power: The ability to gain support, because project personnel feel personally attracted to the project manager or
her project.
Reference: Project Management - A Systems Approach to Planning, Scheduling and Controlling, pages 206 and 207
Question No : 20
In your project, you have drawn up the project management plan and identified the various stakeholders. You are ready to
distribute information to stakeholders as planned. Which of the following inputs will you use for this purpose?
Choice 1 Work Performance Reports
Choice 2 Deliverables
Choice 3 Requested changes
Choice 4 Information methods

Correct Choice : 1
Justification :
Manage Communications is the process of creating, collecting, distributing, storing, retrieving, and the ultimate disposition
of project information in accordance to the communications management plan. One of the inputs to the Manage
Communications process is work performance reports.
Question No : 21
As a project manager, you are concerned with determining which risks may affect the project. What is the process by which
such risks are determined?
Choice 1 Plan Risk Management
Choice 2 Identify Risks
Choice 3 Perform Qualitative Risk Analysis
Choice 4 Plan Risk Responses
Correct Choice : 2
Justification :
Identify Risks is the process of determining which risks may affect the project and documenting their characteristics.
Question No : 22
In your project, you are entering into a fixed-price contract in the form of a purchase order. The contract is for a specified
item to be delivered by a specific date for a specified price. In the contract, the profit is:
Choice 1 Determined by the buyer during contract sign-off
Choice 2 Determined by the seller during contract sign-off
Choice 3 Provided by the buyer to the seller at the end of the project if defined performance criteria are met
Choice 4 Not known at the time of the contract sign-off
Correct Choice : 4
Justification :
Fixed-price contracts involve setting a fixed total price for a defined product or service or result to be provided.
PMstudy.com comments: The profit is not known at the time of contract sign-off; only the fixed price of the contract is
determined at that time.
Question No : 23
You, as the project manager, are planning to document relevant information on interests, involvement, influence, and
impact of project stakeholders. Which of the following processes should you follow?
Choice 1 Stakeholder Analysis
Choice 2 Plan Communications Management
Choice 3 Manage Stakeholder Engagement
Choice 4 Identify Stakeholders

Correct Choice : 4
Justification :
Option 1: Stakeholder Analysis is a technique used to identify and classify stakeholders and their interests. It is used when
identifying stakeholders; however, it is not the name of the process itself.
Option 2: Plan Communications Management is the process of determining the information needs of the project
stakeholders and defining a communication approach to satisfy those needs.
Option 3: Manage Stakeholder Engagement is an executing process which involves working with stakeholders to meet
their expectations. The current project is in the initiating phase as stakeholder-related details are just being gathered.
Option 4: Identify Stakeholders is the process used to identify all those people or organizations impacted by the project and
document relevant information on their interests, involvement, and impact on the success of the project.
Question No : 24
Which of the following is not approved by PMI as part of the PMI Code of Ethics and Professional Conduct?
Choice 1 Satisfying scope and objectives of professional services
Choice 2 Refusing to accept gifts under any circumstances
Choice 3 Maintaining confidentiality of sensitive information
Choice 4 Reporting a violation of PMI Code of Ethics and Professional Conduct to PMI
Correct Choice : 2
Justification :
PMI suggests that one should refrain from offering or accepting inappropriate gifts or other forms of personal compensation
unless the action is in agreement with the laws or customs of the country where project management services are offered.
Question No : 25
You are managing the release of a new drug in the market. Your role is that of a:
Choice 1 Functional Manager, because you have good functional knowledge of the pharmaceutical industry
Choice 2 Project Manager, because you are creating a unique product within specific time schedules
Choice 3 Operations Manager, because you have to do several repetitive tasks
Choice 4 Program Manager, because you have to manage several projects to do your job effectively
Correct Choice : 2
Justification :
Every project creates a unique product, service, or result. A project can create a service or a capability to perform a service
(e.g., a business function that supports production or distribution).
PMstudy.com comments: Since this is the release of "one" new drug, it is a project. Multiple releases may qualify it as a
program.
Question No : 26
You are preparing a document using project statement of work, business case, agreements, enterprise environmental
factors, and organizational process assets. These are valid inputs for:
Choice 2 Direct and Manage Project Work
Choice 3 Develop Project Charter
Choice 4 Perform Integrated Change Control
Correct Choice : 3
Justification :
Project statement of work, business case, agreements, enterprise environmental factors, and organizational process
assets are inputs for the Develop Project Charter process.
Reference: PMBOK® Guide - Fifth Edition, page 66, figure 4-2
Question No : 27
In your project, you use product analysis to translate high-level product descriptions into tangible deliverables and
requirements. Which of the following techniques is not used in product analysis?
Choice 1 Value engineering
Choice 2 Value analysis
Choice 3 Product breakdown
Choice 4 Alternatives identification

Correct Choice : 4
Justification :
Product analysis includes techniques such as product breakdown, systems analysis, requirements analysis, systems
engineering, value engineering, and value analysis.
Question No : 28
You are taking over a project during the planning stage. You have managed to identify five tasks to be completed during
the project. Please refer to the table given below:
What is the length of the critical path in months?
Choice 1 12
Choice 2 10
Choice 3 11
Choice 4 14
Correct Choice : 1
Justification :
The tasks are shown as a network diagram below.
The lengths of different paths are:
Start→ 1→ 2→ End: 10 Months

Since the longest path is Start→ 4→ 5→ End; this is the critical path. Length of the critical path is 12 months.
Question No : 29
In your company, payback period is primarily used as the decision criterion for project selection. Payback period is the:
Choice 1 Number of years a company takes to get back the invested amount
Choice 2 Discount rate on an investment that makes present value of all cash inflows equal to present value of all cash
outflows
Choice 3 Duration in which the project gets completed
Choice 4 Number of years a company takes to make profits equal to the amount invested
Correct Choice : 1
Justification :
Payback Period
 Number of years required for an organization to recapture an initial investment.

 Discount rate is not taken into account in calculations for payback period.
 Project Selection Criterion: Select a project with lower payback period.
Example: There are two projects. Project A has an investment of $500,000 and a payback period of 3 years. Project B has
an investment of $300,000 and a payback period of 5 years. Using the payback period criterion, which project will you
select?
Answer: Project A will be selected. The fact that project B has a smaller investment than project A will not impact the
selection.
Reference: PMstudy.com study notes
Question No : 30
Quality management complements project management, as both recognize the importance of:
Choice 1 Exceeding customer expectations using additional features
Choice 2 Providing customer satisfaction

Choice 3 Decreasing total scope of ownership of the project
Choice 4 Decreasing risks associated with outsourcing
Correct Choice : 2
Justification :
Modern quality management complements project management, as both disciplines recognize the importance of customer
satisfaction, prevention over inspection, continuous improvement, management responsibility, and cost of quality (COQ).
Reference: PMBOK® Guide - Fifth Edition, pages 229
PMstudy.com comments: Option 1 refers to "exceeding customer expectations by providing additional features" - this
constitutes gold plating and is not recommended by PMI.
Question No : 31
As a project manager, you want to have an appropriate recognition and rewards system to encourage better performance
and reinforce desired behavior. Which of the following statements on recognition and rewards system is incorrect?
Choice 1 Recognition and reward systems should promote or reinforce desired behavior.
Choice 2 Recognition and rewards should consider cultural differences.
Choice 3 Recognition for team members who work extra hours on the weekends.
Choice 4 Give the team recognition throughout the life cycle of the project rather than wait until the project is completed.
Correct Choice : 3
Justification :
Part of the team development process involves recognizing and rewarding desirable behavior..........A good strategy for
project managers is to give the team recognition throughout the life cycle of the project rather than waiting until the project
is completed.
Question No : 32
In your project, you are monitoring and controlling communications throughout the entire project life cycle to ensure the
information needs of the project stakeholders are met. The information typically provides status and progress information
on the project at the level of detail required by the various stakeholders. This is done through:
Choice 1 Plan Communications Management process
Choice 2 Control Communications process
Choice 3 Manage Communications process
Choice 4 Earned Value management
Correct Choice : 2
Justification :
Control Communications is the process of monitoring and controlling communications throughout the entire project life
cycle to ensure the information needs of the project stakeholders are met. Work performance information is an output of
Control Communications process. Generally, this information provides status and progress information on the project at the
level of detail required by the various stakeholders.
Question No : 33
In your project, you have identified important risks and planned appropriate responses to the risks. Some risks, such as the
possibility of natural disasters impacting the project, have been documented and accepted in the risk register. What are the
remaining risks called?
Choice 1 Unidentifiable Risks
Choice 2 Residual Risks
Choice 3 Secondary Risks
Choice 4 Accepted Risks
Correct Choice : 2
Justification :
Residual risks are those risks that remain after risk responses have been implemented. Residual risks are expected to
remain after planned responses have been taken, as well as those that have been deliberately accepted.
Question No : 34
Which of the following is a hybrid type of contractual arrangement?
Choice 1 Time and material contracts
Choice 2 Fixed-price contracts
Choice 3 Cost-reimbursable contracts
Choice 4 Fixed price with redetermination
Correct Choice : 1
Justification :
The time and material contracts are a hybrid type of contractual management that contain aspects of both cost-
reimbursable and fixed-price contracts.
Question No : 35
In your project, you actively manage stakeholders engagement in order to meet their needs and expectations. Doing this is
very beneficial, however, it may not help to:
Choice 1 Increase the likelihood of stakeholders` acceptance of the project goals
Choice 2 Influence and negotiate expectations of stakeholders to achieve project goals
Choice 3 Ensure stakeholders` awareness of all project details
Choice 4 Uncover and discuss stakeholder issues and concerns
Correct Choice : 3
Justification :
Manage Stakeholder Engagement involves communicating and working with project stakeholders to meet their needs and
expectations. Actively managing the expectations and engagement of stakeholders should increase the likelihood of
project acceptance and support, and should also minimize stakeholder resistance. This process also involves negotiating
and influencing stakeholders in favor of achieving the project goals. Addressing concerns that have not yet become issues
and anticipating future problems is useful for managing project risks. Doing all this however, does not ensure that
stakeholders are fully aware when they should be, and in fact, it is not always desirable for stakeholders to be aware of
ALL project details.
Option 3 (i.e., Ensure stakeholders` awareness of all project details) is not recommended. The project manager should try
to manage information, so that only appropriate and relevant information reaches the appropriate stakeholders.
Reference:PMstudy.com comments
Question No : 36
You recently went on an official trip to another country to discuss a business proposition with a potential vendor. The
vendor took you out for lunch and offered you gifts, as it is customary in that country. You must:
Choice 1 Tell the vendor that you cannot accept the gifts as per company policy
Choice 2 Accept the gifts as it is a local custom and promptly inform your manager
Choice 3 Return the gifts, because accepting them could be interpreted as a personal gain
Choice 4 Accept the gifts, as they are not very expensive
Correct Choice : 2
Justification :
A project manager has the responsibility to refrain from offering or accepting inappropriate payments, gifts, or other forms
of compensation for personal gain, unless it is in agreement with applicable laws or customs of the country where the
project management services are being provided.
Reference: PMI Code of Ethics and Professional Conduct
PMstudy.com comments: In some cultures where offering gifts is a custom, rejecting or returning the gifts may be
considered rude and inappropriate behavior. Appreciation of cultural differences is the way to win the trust of people from
divergent cultures.
Question No : 37
Your company is responsible for developing an anti-virus software. You are responsible for managing both the individual
product releases and the coordination of multiple releases. Your role is that of a:
Choice 1 Program manager
Choice 2 Project manager
Choice 3 Functional manager
Choice 4 Operations manager
Correct Choice : 1
Justification :
A program is defined as a group of related projects, subprograms, and program activities managed in a coordinated way to
obtain benefits not available from managing them individually. Programs may include elements of related work outside the
scope of the discrete projects in the program.
Question No : 38
You are a project manager. You have received a request from the stakeholders to provide more features to the product.
Which tools and techniques do you use to process the request through "Perform Integrated Change Control" process?
Choice 1 Expert judgment and risk identification
Choice 2 Change control tools and project document updates
Choice 3 Expert judgment, meetings, and change control tools
Choice 4 Expert judgment, meetings, and stakeholder analysis
Correct Choice : 3
Justification :
Option 3: Expert judgment, meetings, and change control tools are the tools and techniques for Perform Integrated Change
Control process.
Option 1: Risk identification is a separate process, which is not done as part of Perform Integrated Change Control
process.
Option 2: `Change control tools` is a tool and technique of Perform Integrated Change Control process, but project
document updates is not a tool and technique for any process.
Option 4: Expert judgment, meetings, and stakeholder analysis are tools and techniques of Identify Stakeholders process.
Reference: PMBOK® Guide - Fifth Edition, page 65, figure 4-1 (for options 1, 2, and 3) and page 392, figure 13-1 (for
option 4).
Question No : 39
Your project sponsor recently attended a project management conference where the purposes of the Management-By-
Objectives (MBO) approach were discussed. In this context, which of the following is NOT a purpose of MBO?
Choice 1 Aligning project goals with organization goals
Choice 2 Aligning project goals with the goals of other sub-units of the organization
Choice 3 Aligning project goals with the goals of previous projects
Choice 4 Aligning project goals with individual goals
Correct Choice : 3
Justification :
Management by objectives is a systems approach for aligning project goals with organizational goals, project goals with the
goals of other subunits of the organization, and project goals with individual goals.
Reference: Project Management - A Systems Approach to Planning, Scheduling and Controlling, page 297
Question No : 40
You have managed to identify the five main tasks in your project. You represent the dependency and duration in the table
given below:
What is the slack of task 5?
Choice 1 0
Choice 2 1
Choice 3 2
Choice 4 -1
Correct Choice : 1
Justification :
The network diagram for the project tasks can be represented as shown below.
The lengths of different paths are:
Start→ 1→ 2→ End: 10 months

Since the longest path is Start→ 4→ 5→ End; this is the critical path.
Task 5 lies on the critical path; hence the slack for task 5 is "0".
Question No : 41
In your project, you have reasons to believe that the current variances occurred because of extraneous factors, and you do
not expect similar variances to occur in future. What should be the estimate at completion (EAC) for your project? BAC =
$300,000; AC = $100,000; EV = $150,000; CPI = 1.5
Choice 1 $250,000
Choice 2 $220,000
Choice 3 $280,000
Choice 4 $200,000
Correct Choice : 1
Justification :
Since current variances are atypical, Estimate at Completion, EAC = AC + BAC - EV = $100,000 + $300,000 - $150,000 =
$250,000
Acronym Term Description Formula

Forecast of most likely total project cost
based on project performance
1. Original estimating assumptions 1. AC+ ETC

no longer valid 2. AC + BAC – EV
Estimate at
EAC 2. Current Variances are atypical; 3. AC + (BAC –
Completion
similar variances will not occur in EV)/CPI
the future
3. Current Variances are typical of
future variances
Budget at
BAC Budget for the whole project EAC x CPI
Completion
Estimate to From this point, how much time is
ETC EAC – AC
complete required to complete the project
Variance at
VAC Over or under budget BAC – EAC
completion
Also refer to PMBOK® Guide - Fifth Edition, page 220

Question No : 42
Your company has developed a software product to analyse ‘big data’ From Multiple Sources. While performing beta
testing with a small sample of users, you notice that the product has defects because of the following reasons:
- Non-compatibility with the operating system (20%)
- Bugs in the software (22%)
- Difficulty in understanding instruction manuals (20%)
- Non-availability of desired features (15%)
- Others (23%)
To illustrate the causes of these problems, you could use a:
Choice 1 Flowchart
Choice 2 Quality Checklist
Choice 3 Scatter Diagram
Choice 4 Histogram
Correct Choice : 4
Justification :
A histogram is a vertical bar chart showing how often a particular variable state occurs. Each column represents an
attribute or characteristic of a problem/situation. The height of each column represents the relative frequency of the
characteristic. This tool helps illustrate the most common cause of problems in a process by the number and relative
heights of the bars.
PMstudy.com comments:
Option 4: If all causes are equally important, then histogram should be used.
Option 1: Flowchart is not used to rank order defects
Option 2: Quality Checklist is not a tool; it is an output of Plan Quality process.
Option 3: Scatter Diagram shows how change in an independent variable will cause changes in dependent variables
Question No : 43
In a project life cycle, the least number of conflicts occur over:
Choice 1 Priorities
Choice 2 Schedules
Choice 3 Personality
Choice 4 Costs
Correct Choice : 4
Justification :
Question No : 44
You have eight people in your project, and one more person will be joining next week. Once the new person joins, the
number of communication channels will increase by:
Choice 1 0
Choice 2 8
Choice 3 12
Choice 4 20
Correct Choice : 2
Justification :
For calculating the number of communication channels, the formula used is n (n-1)/2, where n is the number of
stakeholders. So, in this instance, number of communication channels with 8 people = 8x(8 -1)/2 =(8x7)/2= 28.
Number of communication channels with 9 people = 9x(9-1)/2 = (9x8)/2= 36. So, the communication channels will increase
by: 36 - 28 = 8.
Question No : 45
Workarounds differ from contingency plans in that:
Choice 1 Contingency plans are planned in advance and workarounds are not planned in advance.
Choice 2 Workarounds are planned in advance and contingency plans are not planned in advance.
Choice 3 Contingency plans include plans for force majeure events, e.g. natural calamities, but workarounds are the
residual risks in the project.
Choice 4 Workarounds only include plans for force majeure events, e.g. natural calamities
Correct Choice : 1
Justification :
Workaround: A response to a threat that has occurred, for which a prior response had not been planned or was not
effective. Contingency plan or Fallback plan includes an alternate set of actions and tasks available in the event that the
primary plan needs to be abandoned because of issues, risks, or other causes.
PMstudy.com comments: Workaround is distinguished from contingency plan in that a workaround is not planned in
advance of the occurrence of the risk event.
Question No : 46
In your project, your subcontracting requirements of the machining of high-value equipment are very demanding. Hence,
you have determined the technical criteria to evaluate the sellers. This is an example of:
Choice 1 Objective evaluation criteria
Choice 2 Source selection criteria
Choice 3 Statement of work
Choice 4 Work breakdown structure

Correct Choice : 2
Justification :
Selection criteria are developed and used to rate or score seller proposals, and can be objective or subjective.
Question No : 47
The processes used in Project Stakeholder Management are
Choice 1 Identify Stakeholders, Plan Stakeholder Management, Manage Stakeholder Expectations, and Control
Stakeholder Expectations
Choice 2 Identify Stakeholders, Plan Stakeholder Communications, Manage Stakeholder Engagement, and Control
Stakeholder Engagement
Choice 3 Identify Stakeholders, Plan Stakeholder Management, Manage Stakeholder Engagement, and Control
Choice 4 Identify Stakeholders, Stakeholder Management Plan, Manage Stakeholder Engagement, and Control
Correct Choice : 3
Justification :
Project Stakeholder Management includes the following processes - Identify Stakeholders, Plan Stakeholder Management,
Manage Stakeholder Engagement, and Control Stakeholder Engagement.
Reference: PMBOK® Guide Fifth Edition, page 392, figure 13-1
PMstudy.com comments: Manage Stakeholder Expectations, Control Stakeholder Expectations, Plan Stakeholder
Communications, and Stakeholder Management Plan are not processes. The Stakeholder Management Plan is an output
of Plan Stakeholder Management.
Question No : 48
You recently took over the responsibilities of a project manager from another person. While reviewing the project cost, you
realize there has been an item of $100,000 waiting to be paid, which, you think, is a disputed item. Your project CPI is 1.2.
In this case:
Choice 1 Since this is a small amount compared to the total project value, it can be paid ignoring all objections.
Choice 2 Since the project CPI is greater than one, you do not have any difficulties with the cost of the project. You can,
hence, bury the payment in contingency account and move on with the project.
Choice 3 You should inform your manager and ascertain the facts of the matter before making the payment.
Choice 4 You must refuse the payment.
Correct Choice : 3
Justification :
Option 3 is the best answer because, as a project manager, you are supposed to deal with any issue or alleged unethical
practice and not ignore it.
Option 1 and option 2 ask you to ignore the issue and hence are not recommended. Option 4 is recommended only after
ascertaining the facts of the matter as stated in option 3.

Question No : 49
You have reached the end of the design phase of your project. You decide to call a "phase end review" for obtaining
authorization to close the design phase and initiate the next phase (i.e., execution phase) of your project. Your manager
disagrees with your suggestion. He wants a "kill point" to formally end the design phase of the project. In this context, you
should:
Choice 1 Disagree with your manager because you know that phase end reviews should be used at the end of each phase
of the project
Choice 2 Agree with your manager as kill point is a phase-end review
Choice 3 Escalate this issue to the project sponsor
Choice 4 Take advice from a senior project manager about what should actually be done at the end of each phase of the
project
Correct Choice : 2
Justification :
A phase end represents a natural point to reassess the activities underway and to change or terminate the project if
necessary. This point may be referred to as a stage gate, milestone, phase review, phase gate, or kill point.
PMstudy.com comments: The answer is option 2, as the manager is justified in asking for a kill point. Kill point is another
term for phase end review.
Question No : 50
You are the project manager of a project, which has the objective of producing bearings with a margin of error of .002 mm
according to Six Sigma specifications used in your company. You have been asked to create documents that can help you
apply technical and administrative direction to audit the bearings and ensure that they conform to requirements. You
should use:
Choice 1 Product scope description
Choice 2 Configuration management system
Choice 3 Statement of work
Choice 4 Project management plan
Correct Choice : 2
Justification :
Option 2: Configuration management system: This is a collection of formal documented procedures used to apply technical
and administrative direction and surveillance... to verify conformance to requirements.
Option 1: Product scope description: This documents the characteristics of the product, service, or results that the project
will be undertaken to create.
Option 3: The statement of work (SOW) is a narrative description of products or services, or results to be delivered by a
project.
Option 4: Project management plan defines how the project is executed, monitored and controlled, and closed.
Reference: PMBOK® Guide - Fifth Edition, page 532 (for option 2), page 68 (for options 1 and 3), and page 74 (for option
4).
Question No : 51
During the Validate Scope process, you formalize acceptance of the project deliverables and keep the project focused on
the business need for which it was undertaken. This should be done:
Choice 1 At the beginning of the project
Choice 2 At the end of the project
Choice 3 When required by the project sponsor
Choice 4 After getting verified deliverables from the Control Quality process
Correct Choice : 4
Justification :
Verified deliverables are project deliverables that are completed and checked for correctness through the Control Quality
process.
Reference: PMBOK® Guide - Fifth Edition, page 135.
PMstudy.com comments: Validate Scope is the process of formalizing acceptance of the completed project deliverables.
This should be done after getting individual deliverables from the Control Quality process. Verified deliverables are an input
to the Validate Scope process.
Question No : 52
You are a project manager overseeing the construction of a Baseball Stadium. The activity of laying the Grass Sod has an
optimistic estimate of 10 days, pessimistic estimate of 16 days, and most likely estimate of 13 days. If your company has a
quality requirement of Six Sigma, what is the duration within which this task must be completed?
Choice 1 10 days to 16 days
Correct Choice : 2
Justification :
In a normal distribution, the PERT duration (also called mean)
= {Pessimistic + (4* Most Likely) + Optimistic}/6
= {16 + (4 * 13) + 10}/6
= 13
1 Standard Deviation (1 σ)
= (Pessimistic - Optimistic) / 6
= (16 - 10) / 6
=1
So, if the company has Six Sigma quality requirements,

Mean - 6 σ = 13 - 6 * 1 = 7
Mean + 6 σ = 13 + 6 * 1 = 19
The task can be completed within 7 days to 19 days.

Question No : 53
Your finance manager informs you that, for accounting purposes, your company assets depreciate by the same amount
every year. This type of depreciation is known as
Choice 1 Reducing balance depreciation
Choice 2 Accelerated depreciation
Choice 3 Straight line depreciation
Choice 4 Double declining balance
Correct Choice : 3
Justification :
Depreciation
 Depreciation is the decrease in value of an asset over a period of time for accounting and tax purposes.
 Depreciation Methods:
o Straight Line Depreciation: Property depreciates the same amount every year
o Accelerated Depreciation: Property depreciates more rapidly in initial years than Straight Line Depreciation.
Some examples are:
 Double Declining Balance
 Sum of the year's digits

Question No : 54
The project team has added some functionalities to the product that are not required as part of the project. However, the
customer is satisfied with the product. From a quality perspective, the action of the team is:
Choice 1 Justified because customer expectations are exceeded.
Choice 2 Not acceptable, because it constitutes gold plating, which is not a good practice.
Choice 3 Desirable as this means repeat business from the customer.
Choice 4 Not ethical as the customer indicated project deliverable is not produced.
Correct Choice : 2
Justification :
Customer satisfaction requires a combination of conformance to requirements (to ensure the project produces what it was
created to produce) and fitness for use (the product or service must satisfy real needs).
PMstudy.com comments: PMI believes that gold plating (providing additional functionalities) is not a good practice, even if
it satisfies the customer.
Question No : 55
In your project, you are in the process of determining the project roles, responsibilities, and reporting relationships for your
team members. Which of the following would you NOT define/create at the end of this process?
Choice 1 Project staff assignments
Choice 2 Roles and responsibilities
Choice 3 Project organization charts
Choice 4 Staffing management plan
Correct Choice : 1
Justification :
Project staff assignments are an output from the "Acquire Project Team" process and not the Plan Human Resource
Management process.
Reference: PMBOK® Guide - Fifth Edition, pages 257 (figure 9-1), 264, 265, 266 and 267
Question No : 56
You are preparing the communications management plan for your project by using communication requirements analysis.
Which of the following statements about communication requirements analysis is inaccurate?
Choice 1 Requirements are defined by combining the type and format of information needed with an analysis of the cost of
that information.
Choice 2 Project resources are expended on communicating information that contributes to success.
Choice 3 Project resources are expended on communicating information where lack of communication can lead to failure.
Choice 4 The intention is to prevent overloading stakeholders with minor details.
Correct Choice : 1
Justification :
The analysis of the communication requirements determines the information needs of the project stakeholders. These
requirements are defined by combining the type and format of information needed with an analysis of the value of that
information.
Question No : 57
You are the project manager of a project which involves off-shore oil exploration. Since you cannot plan for all
eventualities, you establish a contingency reserve, including amounts of time, money, or resources to handle the risks. This
is an example of:
Choice 1 Risk avoidance
Choice 2 Risk transfer
Choice 3 Active risk acceptance
Choice 4 Improper risk planning since all risks should be identified and accounted
Correct Choice : 3
Justification :
The most common active acceptance strategy is to establish a contingency reserve, including amounts of time, money, or
resources to handle the risks.
Question No : 58
In your project, you are preparing procurement documents to seek proposals from prospective sellers. Which of the
following statements about procurement documents are accurate :
A. The buyer structures the procurement documents to facilitate an accurate and complete response from prospective
sellers.
B. Requests to potential sellers to submit a proposal or bid is formally issued in accordance with the policies of the buyer`s
organization.
C. With government contracting, some or all of the content and structure of procurement documents can be defined by
regulation.
D. The term `proposal` is usually used when the seller selection decision will be based on price.
Choice 1 B, C and D
Choice 2 Only B and C
Choice 3 All of the Above
Choice 4 A, B and C
Correct Choice : 4
Justification :
Terms such as bid, tender, or quotation are generally used when the seller selection decision will be based on price (as
when buying commercial or standard items), while a term such as proposal is generally used when other considerations
such as technical capability or technical approach are paramount.

Question No : 59
You are the project manager in a pharmaceutical company and you are involved in managing stakeholders’ engagement to
satisfy their needs and addressing any issues as they are identified. In this context, which of the following is NOT a
relevant output?
Choice 1 Organizational process assets updates
Choice 2 Change requests
Choice 3 Project management plan updates
Choice 4 Stakeholder Management Plan
Correct Choice : 4
Justification :
The Stakeholder Management Plan is created as part of the Plan Stakeholder Management process. The other options are
all outputs of the Manage Stakeholder Engagement process, which is the process being described.

Question No : 60
When your project is nearing completion, the customer requests you to include an additional feature in the final product.
You realize that this feature was discussed with the project sponsor in an earlier meeting and he was against having this
feature. What will be the BEST course of action?
Choice 1 Include the feature, as it will improve customer satisfaction
Choice 2 Include the feature --otherwise, the project will not be accepted by the customer
Choice 3 Talk with the sponsor on the benefits of having this feature
Choice 4 Decline the customer request and advise her to create a change request
Correct Choice : 4
Justification :
Option 4 is the best available choice. Neither option 1 nor option 2 is the best answer, because this requirement was
absent in the scope of work, and inclusion of the same now will impact project deliverables.
The issue was already discussed with the sponsor, and he was against having this feature. So, no purpose is served in
referring the matter once again to the sponsor. Hence, option 3 is not the correct choice.
Question No : 61
You are working in the Project Management Office (PMO) of your organization. Your job responsibility is to:
Choice 1 Manage the operational activities in the company

Choice 2 Manage human resource and risk management issues for individual projects
Choice 3 Provide support functions to project managers in the form of training, providing software, standardizing policies,
etc.
Choice 4 Provide subject matter expertise in the functional areas of the project
Correct Choice : 3
Justification :
A project management office (PMO) is a management structure that standardizes the project-related governance
processes and facilitates the sharing of resources, methodologies, tools, and techniques. The responsibilities of a PMO
can range from providing project management support functions to actually being responsible for the direct management of
one or more projects.
Question No : 62
You are the project manager responsible for developing a software application based on customer requirements. Which
technique do you use in order to consider the customer`s change request?
Choice 1 Additional planning
Choice 2 Project selection methods
Choice 3 Expert judgment
Choice 4 Corrective action

Correct Choice : 3
Justification :
Expert judgment is one of the tools and techniques used in the Perform Integrated Change Control process. The other
tools and techniques used in the Perform Integrated Change Control process are meetings and change control tools.
Reference: PMBOK® Guide Fifth Edition, page 94, figure 4-10.
Question No : 63
As a project manager, you are aware that changes are bound to occur during projects. While monitoring and controlling
change on your projects, you use the term scope creep. What does the term refer to?
Choice 1 Uncontrolled expansion to product or project scope without adjustments to time, cost, and resources
Choice 2 Controlled expansion to product or project scope without adjustments to time, cost, and resources
Choice 3 Manageable expansion to product or project scope without adjustments to time, cost, and resources
Choice 4 Unmanageable expansion to product or project scope with adjustments to time, cost, and resources
Correct Choice : 1
Justification :
Uncontrolled expansion to product or project scope without adjustments to time, cost, and resources is referred to as scope
creep.

Question No : 64
As a project manager, you have developed the Schedule Management Plan. You are now in the process of identifying and
documenting the relationships among the project activities. You want to ensure that every activity and milestone except the
first and last are connected to at least one predecessor and one successor. Which of the following tools can you use for
this purpose?
Choice 1 Published estimating data
Choice 2 Parametric estimating
Choice 3 Precedence diagramming method
Choice 4 Performance reviews
Correct Choice : 3
Justification :
Sequence Activities is the process of identifying and documenting relationships among the project activities. Precedence
diagramming method (PDM) is one of the tools used in this process.
Option 1 (Published estimating data) is used for the Estimate Activity Resources process
Option 2 (Parametric estimating) is used for the Estimate Activity Durations process
Option 4 (Performance reviews) is used for the Control Schedule process
Question No : 66
Which of the following types of costs is not incurred toward ensuring compliance to requirements?
Choice 1 Prevention costs
Choice 2 Appraisal costs
Choice 3 Quality planning costs
Choice 4 Warranty costs
Correct Choice : 4
Justification :
Prevention and appraisal costs (cost of conformance) include costs for quality planning, quality control (QC), and quality
assurance to ensure compliance to requirements (i.e., training, QC systems, etc.). Failure costs (cost of nonconformance)
include costs to rework products, components, or processes that are non-compliant, costs of warranty work and waste, and
loss of reputation.
Reference:PMBOK® Guide - Fifth Edition, page 535
Question No : 65
A company is considering three projects:
Project A has an NPV of $500,000
Project B has an NPV of $300,000

Project C has an NPV of $200,000
What is the opportunity cost if project A is selected?
Choice 1 $500,000
Choice 2 $200,000
Choice 3 $300,000
Choice 4 $0
Correct Choice : 3
Justification :
Opportunity cost is the cost of passing up the next best option. The opportunity cost of choosing project A (over project B,
which is the next best option) is equal to NPV of the next best available option. Net present value of project B is chosen =
$300,000
Question No : 67
Your company has a projectized organization structure. As your project nears completion, you notice that your team
members are more interested in trying to find new positions rather than properly discharging their duties. Their motivation
is:
Choice 1 Safety
Choice 2 Social
Choice 3 Psychological
Choice 4 Self-esteem
Correct Choice : 1
Justification :
Please refer to the diagram below:
Question No : 68
You are in the execution stage of your project. For the information of the stakeholders, you have documents to highlight
project status, lessons learned, issue logs, and outputs from other knowledge areas. These documents should be included
in:
Choice 1 Project reports
Choice 2 Change logs

Choice 3 Lessons learned documentation
Correct Choice : 1
Justification :
Formal and informal project reports describe project status and include lessons learned, issue logs, project closure reports,
and outputs from other Knowledge Areas.
PMstudy.com comments: Project reports is an organizational process asset which gets updated as an output of the
Manage Communications process.
Question No : 69
Please refer to the Decision Tree diagram given below. It shows the analysis of profit/loss for the two alternatives (i.e., to
build or buy).
What is the opportunity cost if the project manager decides to build instead of buy?
Choice 1 - $1,500
Choice 2 $3,500
Choice 3 $1,500
Choice 4 $5,000
Correct Choice : 2
Justification :
Please refer to the diagram below :
Profit of build: $5,000
Profit of buy: $3,500
Opportunity cost of build = Profit you give up if you do not buy = $3,500

Question No : 70
The process of identifying the project needs that can be met by acquiring products outside the project organization is done
as part of:
Choice 1 Conduct Procurements
Choice 2 Control Procurements
Choice 3 Close Procurements
Choice 4 Plan Procurement Management
Correct Choice : 4
Justification :
The key benefit of the Plan Procurement Management process is that it determines whether to acquire outside support,
and if so, what to acquire, how to acquire it, how much is needed, and when to acquire it.
Question No : 71
You are in the process of identifying the relevant stakeholders in the project. In this context, which of the following is/are
relevant output(s) of this process?
Choice 1 Stakeholder register and Stakeholder Management Plan

Choice 2 Stakeholder Management Strategy
Choice 3 Organizational process assets updates
Choice 4 Stakeholder register
Correct Choice : 4
Justification :
The output of the Identify Stakeholders process is the Stakeholder register.
Reference: PMBOK® Guide Fifth Edition, page 392, figure 13-1
Question No : 72
As a project manager, one of your responsibilities is to manage stakeholder expectations to the best of your ability.
However, if there are conflicts among stakeholders, they should usually be resolved in favor of:
Choice 1 Business partner/Project sponsor
Choice 2 Team members
Choice 3 Customers
Choice 4 Stakeholders
Correct Choice : 3
Justification :
In general, differences among stakeholders should be resolved in favor of the customers.
Question No : 73
You are the project manager in a company where you have maximum authority. To which organizational structure does
your company belong?
Choice 1 Functional
Choice 2 Weak Matrix
Choice 3 Strong Matrix
Choice 4 Projectized
Correct Choice : 4
Justification :
Project managers have maximum authority in a company with a projectized organizational structure.
Reference: PMBOK® Guide Fifth Edition, page 22 table 2-1
Question No : 74
In your project, you are performing several actions to execute the project management plan and to complete the work
defined in the project scope statement. You will be involved in:
Choice 1 Identifying corrective or preventive action to control the project performance
Choice 2 Settling or closing any contract agreement established for the project
Choice 3 Creating a document that will formally authorize the project
Choice 4 Collecting information about the completion status of the deliverables and other relevant details about project
performance.
Correct Choice : 4
Justification :
Option 4: During project execution, the work performance data is collected and appropriately actioned and communicated.
Work performance data includes information about the completion status of deliverables and other relevant details about
project performance.
Option 1: This is done as part of the Monitor and Control Project Work process, and not during the project execution phase.
Option 2: This is done as part of Close Procurements process, which is part of the project closure activities.
Option 3: The project charter formally authorizes the project. This document is created in the initiating stage before project
execution.
Question No : 75
You are managing a project. Your company has set a pre-defined budget for you to work with. In this context, a pre-defined
budget is considered as a:
Choice 1 Risk
Choice 2 Assumption
Choice 3 Constraint
Choice 4 Stage point
Correct Choice : 3
Justification :
Constraints: A limiting factor that affects the execution of a project or process. Constraints identified with the project scope
statement list and describe the specific internal or external restrictions or limitations associated with the project scope that
affects the execution of the project, for example, a predefined budget or any imposed dates or schedule milestones that
are issued by the customer or performing organization.

Question No : 76
Five tasks have to be completed one after another in your project. The Contract with your Sponsor contains very strict
penalties for delays. The schedule reveals that the project has a negative float of three months, which of the following
task(s) should be crashed to bring the project on schedule? Please refer to the table given below:
Task Original Duration Crash Savings Original Cost Crash Cost

(months) (months)
M 5 1 $1,600 $1,700
N 6 2 $1,800 $1,900
O 7 1 $2,000 $2,050
P 8 1 $3,000 $3,200
Q 13 3 $2,500 $2,650
Choice 1 Task Q
Choice 2 Task N and Task O together
Choice 3 Either Task Q or Task N and Task O together
Choice 4 Task N and Task P together
Correct Choice : 3
Justification :
Please refer to the table given below showing additional expenses that will be incurred when each task is crashed:
Task Original Duration Crash Savings Original Cost Crash Cost Additional
(months) (months) Expenses
M 5 1 $1,600 $1,700 $100

N 6 2 $1,800 $1,900 $100
O 7 1 $2,000 $2,050 $50
P 8 1 $3,000 $3,200 $200
Q 13 3 $2,500 $2,650 $150
The maximum savings is available in:

Crashing Task N, Task O: $ 150
Crashing Task Q: $ 150
You have two options from which you can choose.
Question No : 77
You recently took over the management of a construction project. The project is in the executing phase and the previous
project manager has left the organization. You realize the project is seriously behind schedule and over budget. After
talking with the project team, and discussions with the project management team regarding the issues, you still have not
been able to discern the reason for the schedule variances.
The team is working well, and from what you can see, should be on schedule and within budget. As you begin to review
the progress that has been made so far, and compare that to the schedule, you see that certain tasks have taken
significantly longer and incurred more costs than originally estimated. The site preparation work was estimated to take one
month, but actually took two months and cost 30% more than anticipated. Pouring the foundation was scheduled to take
two weeks, but actually took three weeks and again cost more than planned. Paving the parking area also took longer than
expected. Your analysis also indicates that the period during which these activities were being carried out had much more
rain than normal.
Based on this information, what would be the MOST LIKELY reason for the variances in the project schedule and budget?
Choice 1 The scope was not well defined
Choice 2 The project manager was not ensuring that scope verification was being done
Choice 3 Assumptions used in the planning processes were not valid
Choice 4 Integrated Change Control was not being performed

Correct Choice : 3
Justification :
Based on the scenario described, the variances appear to be related to weather issues, which weren`t anticipated. Many
time and cost estimates are based on assumptions, and if these assumptions are not valid, actual project performance can
and often will differ from what was estimated.
Assumptions are taken into account when estimating both time and cost. PMI mentions documenting the assumptions on
which estimates are based, in both the Cost Management and Time Management chapters. Assumptions are also a key
part of the project scope statement.
Question No : 78
Your quality process did not meet the four sigma requirements desired by your customer. So, some of your products were
rejected and there is a possibility that you would not receive repeat business from the customer. From a quality
perspective, the costs associated with the rejected products can also be categorized as:
Choice 1 Cost of conformance
Choice 2 Customer retention costs
Choice 3 Failure costs
Choice 4 Performance costs
Correct Choice : 3
Justification :
Failure costs (cost of nonconformance) include costs to rework products, components, or processes that are non-
compliant, costs of warranty work and waste, and loss of reputation.
Question No : 79
In your project, you are in the process of determining the project roles, responsibilities and reporting relationships for your
team members. Which of the following is not used for this process?
Choice 1 Activity resource requirements
Choice 2 Enterprise environmental factors
Choice 3 Organizational process assets
Choice 4 Team performance assessments
Correct Choice : 4
Justification :
Team performance assessments are the output of the Develop Project Team process.
Reference: PMBOK® Guide - Fifth Edition, page 273, figure 9-9
Question No : 80
You are the project manager of a manufacturing firm that produces machine parts required in automobiles. During a
review, you discover some design requirements are not taken into account. You should:
Choice 1 Instruct your team to incorporate the requirements and do an analysis to figure out the potential impact.
Choice 2 Inform your project sponsor that the project may be delayed because of the missed requirements.
Choice 3 Go ahead with production because incorporating the requirements may delay the schedule.
Choice 4 Escalate this issue to your senior management.
Correct Choice : 1
Justification :
Option 1: This is the only option that provides the solution to the problem. Since some requirements are left out, you ask
your team to incorporate the requirements and figure out the potential impact.
Option 2: This is a premature step; you should first do an analysis to figure out the impact of the change before informing
the project sponsor.
Option 3: This is not at all recommended, because it will result in a product, which does not satisfy the requirements and
hence will not be accepted by the customer.
Option 4: This is a premature step; you should first do an analysis to figure out the impact of the change before informing
senior management. Escalating an issue should be the last option.
Question No : 81
As part of the risk management process, you have just created an overall risk ranking of the project and a list of prioritized
identified risks which need additional analysis and determined trends in risk analysis results. What should you do next?
Choice 1 Analyze the effect of identified risks on overall project objectives
Choice 2 Create a list of identified risks
Choice 3 Maintain a risk register

Choice 4 Make a list of potential responses to the risks
Correct Choice : 1
Justification :
Tasks like creating an overall risk ranking of the project, which includes a list of prioritized risks, identifying which risks
need additional analysis and determining trends in risk analysis results are all outputs of Perform Qualitative Risk Analysis
(PMBOK® Guide - Fifth Edition, page 333). So, the next step is Perform Quantitative Risk Analysis (i.e. analyze the effect
of identified risks on overall project objectives) - PMBOK® Guide - Fifth Edition, page 333. Please note that options 2, 3,
and 4 refer to outputs from Identify Risks process which has already been completed - PMBOK® Guide - Fifth Edition, page
327.
Question No : 82
Early termination of a contract is a special case of contract closure. This can happen because of:
Choice 1 Default of the buyer
Choice 2 Default of the seller
Choice 3 Mutual agreement of the parties
Choice 4 Any of the above reasons
Correct Choice : 4
Justification :
Early termination of a contract is a special case of procurement closure that can result from a mutual agreement of both
parties, from the default of one party, or for convenience of the buyer if provided for in the contract.
Question No : 83
Identify Stakeholders is the process of identifying all people or organizations impacted by the project and to document:
Choice 1 Stakeholder interests, involvement, and impact on project success
Choice 2 Stakeholder needs and address issues as they occur
Choice 3 Project requirements from stakeholders
Choice 4 Stakeholder needs and define a communication approach
Correct Choice : 1
Justification :
Option 1: This is the correct answer. Project stakeholders are persons or organizations such as customers, sponsors, the
performing organization, and the public who are actively involved in the project, or impacted by it.
Option 2: Manage Stakeholder Engagement is the process to communicate and work with stakeholders to meet their
needs and address issues as they occur.
Option 3: Collect Requirements is the process where project requirements are gathered and documented.
Option 4: Plan Communications Management is the process which is used to determine the project stakeholder information
needs and to define a communication approach.

Question No : 84
You notice that the financial statements of the company you joined recently do not conform to generally accepted
accounting practice standards and hence are inaccurate. What should be your next course of action?
Choice 1 Inform the government agencies of the inaccurate accounting practices in the company
Choice 2 Talk to your finance managers on why you think that they may be violating the standard accounting norms
Choice 3 Assume that the accounting standards are different and hence do not want to make an issue out of it, since you
are new to the company
Choice 4 Talk to the finance manager in your previous company to get expert opinion on accounting standards of the new
company
Correct Choice : 2
Justification :
Option 2: This is the best choice, as you are trying to understand and resolve the problem.
Option 1: This is the last option to be preferred after all the other alternatives are exhausted.
Option 3: This avoids the issue.
Option 4: This is not recommended, as you may be compromising proprietary information.

Question No : 85
Which of the following exhibits greatest resistance to change?
Choice 1 Business requirements
Choice 2 Technology
Choice 3 People
Choice 4 Environment
Correct Choice : 3
Justification :
People exhibit greatest resistance to change.
Question No : 86
A project manager wants to update a project management plan. You suggest that the updated project management plan
should include:
Choice 1 Work performance information and enterprise environmental factors
Choice 2 Expert judgment and change control tools

Choice 3 Final product, service, or result transition and organizational process assets updates
Choice 4 Quality management plan, cost, and schedule baselines
Correct Choice : 4
Justification :
Option 4: Project management plan elements that may be updated include, but are not limited to: scope management plan,
requirements management plan, schedule management plan, cost management plan, quality management plan, scope
baseline, schedule baseline, and cost baseline.
Option 1: Work performance information and enterprise environmental factors are some of the inputs used in Monitor and
Control Project Work process.
Option 2: Expert judgment and change control tools are some of the tools and techniques used in Perform Integrated
Change Control process.
Option 3: Final product, service, or result transition and organizational process assets updates are the outputs from the
Close Project or Phase process.
Reference: PMBOK® Guide Fifth Edition, page 93 (for option 4) and page 65, figure 4-1 (for options 1, 2, and 3).
Question No : 87
As the project manager for a large, complex project, you have been getting complaints from your team, including some of
the management team, about all the time being spent on planning. You know that by spending time following the
appropriate planning processes, you can prevent many problems during execution. This will save time in the later stages of
the project. One of the primary complaints you are hearing is related to the time it takes to create the Work Breakdown
Structure (WBS). You are explaining the importance of the WBS to your project team members. Which of the following
statements about the WBS is incorrect?
Choice 1 It is a hierarchical decomposition of project work.
Choice 2 Planned work contained in the lowest level WBS components are called WBS dictionaries.
Choice 3 The WBS subdivides the project work into smaller, more manageable pieces of work.
Choice 4 The WBS organizes and defines the total scope of the project work.
Correct Choice : 2
Justification :
The planned work is contained within the lowest level of WBS components, which are called work packages. A work
package can be used to group the activities where work is scheduled and estimated, monitored, and controlled.
Question No : 88
You are managing a project to develop an emergency brake to an upcoming new model of RV. In your project, you have to
complete building a prototype before testing can begin. This is an example of:
Choice 1 Mandatory dependency
Choice 2 Discretionary dependency
Choice 3 External dependency
Choice 4 Preferred logic
Correct Choice : 1
Justification :
Mandatory dependencies are those that are legally or contractually required or inherent in the nature of the work.
Mandatory dependencies often involve physical limitations, such as on a construction project where it is impossible to erect
the superstructure until after the foundation has been built, or on an electronics project, where a prototype must be built
before it can be tested.
Question No : 89
Which of the following statements related to Life Cycle Costs is incorrect?
Choice 1 Life cycle costs include direct and indirect costs.
Choice 2 Life cycle costs include periodic or continuing costs of operation and maintenance.
Choice 3 In the selection criteria for two projects, even if one project has a lower NPV, it may be selected if it has a lower
life cycle cost.
Choice 4 Life cycle costs are the responsibility of a project.
Correct Choice : 4
Justification :
Life cycle costs include the cost of operations, which is beyond the scope of the project.
Life Cycle Cost: The overall estimated cost for a particular program alternative over the time period corresponding to the
life of the program. It includes:
 Direct and Indirect Costs

 Periodic or continuing costs of operation and maintenance
Project Selection Criterion: For two projects having same investment, select a project with lower life cycle cost.
Question No : 90
According to the 80/20 rule, 80 percent of the problems are because of 20 percent of the causes. To identify the most
probable defects and to evaluate nonconformities, you do a rank ordering of the defects using:
Choice 1 Statistical sampling
Choice 2 Control chart
Choice 3 Pareto diagrams
Choice 4 Inspection
Correct Choice : 3
Justification :
A Pareto chart (also referred to as a Pareto diagram) is a specific type of histogram, ordered by frequency of occurrence. It
shows how many defects are generated by type or category of identified cause. Rank ordering is used to focus on
corrective action.

Question No : 91
You are managing the project for setting up an oil rig in the Pacific Ocean. Which of the following could be a valid
constraint when you are doing human resource planning for your project?
Choice 1 Weak matrix organization structure
Choice 2 Unlimited budget, since the project is very critical to meet compliance needs
Choice 3 Oil price increasing to more than $60 a barrel
Choice 4 Oil price decreasing below $40 per barrel
Correct Choice : 1
Justification :
In a weak matrix organization structure, the project manager`s role is more of a coordinator or expediter than that of a true
project manager.
PMstudy.com comments: Unlimited budget is not a constraint (limited budget could be a potential constraint and limit the
project team`s options). Oil price increasing to more than $60 per barrel is also not a constraint (it is an assumption). Oil
price increasing to more than $60 per barrel is also not a constraint (it is an assumption).
Question No : 92
You have fifteen members in your project team. You have called for a project status meeting without prior notice. There
have been too many sidebar conversations and arguments. As a result, you have achieved nothing substantial from the
meeting. To achieve orderliness in the meeting next time, you should:
Choice 1 Decrease the number of people in the meeting
Choice 2 Publish a meeting agenda
Choice 3 Ensure that you control the channels of communication
Choice 4 Give incentives to team members for conforming to desired meeting norms
Correct Choice : 2
Justification :
Techniques and considerations for effective communications management include, but are not limited to the following:...
Meeting management techniques. Preparing an agenda and dealing with conflicts.
PMstudy.com comments:In order to conduct the meeting in an organized way, you will have to follow the meeting
management techniques of preparing and publishing an agenda and to deal with conflicts.
Option 2: Preparing and publishing a meeting agenda is the best way to ensure that meetings are conducted in an orderly
fashion.
Option 1: Decreasing the number of people may mean that we will not have the required stakeholders.
Option 3: Controlling the channels of communication is not possible as the number of channels is not fixed and can be
determined by the formula N * (N-1) / 2.
Option 4: Giving incentives is not recommended.
Question No : 93
In your project, probabilities are estimated and the alternatives are expected to be as follows:
25% probability for $ 25,000 profit
What is the expected profit in your project?
Choice 1 $ 40,000
Choice 2 $ 50,000
Choice 3 $ 51,250
Choice 4 $ 53,750
Correct Choice : 3
Justification :
Expected Profit = Sum of the products of Probability and Profit for all alternatives i.e. [Sum of (Probability X Profit)] for all
the three alternatives
=(0.25 x $ 25,000) + (0.50 x $ 40,000) + (0.25 x $ 100,000)
= $ 6250 + $ 20,000 + $ 25,000
= $ 51,250
Question No : 94
You are performing a make-or-buy analysis. In which of the following cases would you not prefer making the
product/service in-house?
Choice 1 The item under consideration is a capital item which can be used for other projects in the same organization (in
other words, there is an ongoing need for the item).
Choice 2 Your organization is going through a slack period, and some resources, who can produce the product in-house,
are underutilized.
Choice 3 The item under consideration is a proprietary or business critical product which is a part of the core business for
the company.
Choice 4 The item under consideration is not part of your core business, but your company has the skills for developing the
product in-house, if required.
Correct Choice : 4
Justification :
If it is a non core item, it may make sense to consider outsourcing as an option, as it may be cheaper than making the item
in-house.
Question No : 95
Stakeholder analysis is used to systematically gather and analyze quantitative and qualitative information on stakeholders’
level of interest in the project. In this technique:
Choice 1 Stakeholders are identified based on degree of interest
Choice 2 Stakeholder register templates are created

Choice 3 Stakeholders are influenced to gain support and reduce negative impact
Choice 4 Stakeholder registers from previous projects are used
Correct Choice : 1
Justification :
Stakeholder analysis is a technique of systematically gathering and analyzing quantitative and qualitative information to
determine whose interests should be taken into account throughout the project. It identifies the interests, expectations, and
influence of the stakeholders and relates them to the purpose of the project.
Reference: PMBOK® Guide Fifth Edition, pages 395 and 396
Question No : 96
You are managing a project in a foreign country. You realize that, to get things done for the project, you may have to pay
tips to the government officials. You should:
Choice 1 Pay tips to the officials as otherwise they could cause delays
Choice 2 Refuse to pay tips, as this can be considered unethical
Choice 3 Make a case for payment of tips to government officials and present it to your management
Choice 4 Offer gifts instead of paying cash to government officials to get their support
Correct Choice : 2
Justification :
Options 1, 3, and 4 either suggest or imply payment of bribe, which is unethical and prohibited by PMI Code of Ethics and
Professional Conduct.
Question No : 97
Matrix organizations exhibit features of both projectized and functional organizations. In a weak matrix organization, the
role of a project manager may be that of a:
Choice 1 Coordinator
Choice 2 Manager with considerable authority
Choice 3 Support person
Choice 4 Functional manager
Correct Choice : 1
Justification :
Weak matrix organizations maintain many of the characteristics of a functional organization, and the role of the project
manager is more of a coordinator or expediter.

Question No : 98
You are the project manager of a pharmaceutical company responsible for releasing a new drug in the market. While
managing the project, you have created several documents (e.g., project management plan; risk registers and other
registers; project calendars; change management documentation; etc.). All these documents should be stored in:
Choice 1 Historical information
Choice 2 Project files
Choice 3 Project or phase closure documents
Choice 4 Configuration management system
Correct Choice : 2
Justification :
Option 2: Project files - Documentation resulting from the project`s activities, for example, project management plan;
scope, cost, schedule, and project calendars; risk registers and other registers; change management documentation;
planned risk response actions; and risk impact.
Option 1: Historical information and lessons learned information are transferred to the lessons learned knowledge base for
use by future projects or phases.
Option 3: Project or phase closure documents, consisting of formal documentation that indicates completion of the project
or phase and the transfer of the completed project or phase deliverables to others, such as operations group or to the next
phase.
Option 4: The configuration management system is a collection of formal documented procedures, which are used to apply
technical and administrative direction and surveillance to: identify and document the functional and physical characteristics
of a product,result, service, or component; control any changes to such characteristics; record and report each change and
its implementation status; and support the audit of products, results, or components to verify conformance to requirements.
Reference: PMBOK® Guide Fifth Edition, page 104 (for options 1, 2 and 3) and page 532 (for option 4).
Question No : 99
In your project, a team member suggested the addition of a functionality, which she thinks, will improve customer
satisfaction. Your approach would be to:
Choice 1 Allow for the functionality, because satisfying the customer is your objective.
Choice 2 Disallow the new requirement, because it changes the project scope, and the customer did not explicitly state this
requirement.
Choice 3 Make changes to the project plan to accommodate the new requirement
Choice 4 Ask the customer for additional funding to implement the requirement
Correct Choice : 2
Justification :
Project Scope Management includes the processes required to ensure that the project includes all the work required, and
only the work required, to complete the project successfully. Managing the project scope is primarily concerned with
defining and controlling what is and is not included in the project.
PMstudy.com comments: In case a stakeholder requests an additional feature, the recommended course of action is to
discuss within your group and with the customer before taking a final decision. Since these options are not available, the
next best option is to ensure that you prevent gold plating, i.e., providing a requirement that was not explicitly stated in the
project scope.
A project manager should ensure prevention of "gold plating", i.e., addition of any new requirement that has not been
originally requested for by the customer.
Question No : 100
In the Develop Schedule process, you create a distribution of probable durations for each activity and use it to calculate the
distribution of probable results for the total project. The technique that you are using is:
Choice 2 Mathematical analysis
Choice 3 Simulation
Choice 4 Resource leveling
Correct Choice : 3
Justification :
Simulation involves calculating multiple project durations with different sets of activity assumptions, usually using
probability distributions constructed from the three-point estimates to account for uncertainty.

Question No : 101
Which cost estimating technique costs the least and saves the most time?
Choice 2 Bottom-up estimating
Choice 3 Analogous estimating
Choice 4 Three-point estimates
Correct Choice : 3
Justification :
Analogous cost estimating is generally less costly and time consuming than other techniques, but it is also generally less
accurate.
Question No : 102
Which of the following statements on quality planning is inaccurate?
Choice 1 Quality planning is performed in parallel with the other project planning processes.
Choice 2 During quality planning, you should be aware of governmental regulations, rules, standards, and guidelines
specific to the application area.
Choice 3 You can use DOE to help identify which factors may influence specific variables of a product or process under
development.
Choice 4 During quality planning, you can use change requests to take corrective or preventive action or to perform defect
repair.
Correct Choice : 4
Justification :
Plan Quality Management is the process of identifying quality requirements and/or standards for the project and product,
and documenting how the project will demonstrate compliance. Quality planning should be performed in parallel with the
other project planning processes.
- Option 1: Quality planning should be performed in parallel with other project planning processes.
- Option 2: These refer to enterprise environmental factors, which are inputs to the Plan Quality process.
- Option 3: Design of Experiments is a tool and technique used for Plan Quality process.
- Option 4: This refers to change requests, which is an output from the Perform Quality Assurance Process and not Plan
Quality Management process.
Reference: PMBOK® Guide - Fifth Edition, pages 231, 234, 239, 240 and 243 (figure 8-8)
Question No : 103
To get the work done, the supervisor threatens punishment and strictly supervises the work. The supervisor believes in:
Choice 1 Theory Y (McGregor Model)
Choice 2 Theory X (McGregor Model)
Choice 3 Maslow`s hierarchy of needs

Choice 4 Referent power
Correct Choice : 2
Justification :
Douglas McGregor advocates that most workers can be categorized according to two theories:
Theory X: This assumes that the workers are inherently lazy and require supervision
Theory Y: The average worker finds physical and mental effort on the job satisfying.
Question No : 104
You are managing a critical project with virtual teams located in eight countries. At times, team members find it difficult to
understand and interpret what others are communicating via tele-conferencing. From a communication management point
of view, this difficulty in transmitting and understanding messages can also be referred to as:
Choice 1 Disturbance
Choice 2 Noise
Choice 3 Interference
Choice 4 Breakdown in encode-decode model
Correct Choice : 2
Justification :
The transmission of message may be compromised by various factors (e.g., distance, unfamiliar technology, inadequate
infrastructure, cultural difference, and lack of background information). These factors are collectively termed as noise.
Question No : 105
Project Risk Management includes all the processes concerned with conducting risk management planning, identification,
analysis, response planning, and controlling risk on a project. In this context, which of the following statements about risk is
not accurate?
Choice 1 Risk is an uncertain event or condition.
Choice 2 Risks have to be identified and properly managed.
Choice 3 Risk management should be done throughout the project.
Choice 4 Risk have a negative impact on the project objective.
Correct Choice : 4
Justification :
The objectives of Project Risk Management are to increase the likelihood and impact of positive events, and decrease the
likelihood and impact of negative events in the project.

Question No : 106
Your company has decided to outsource one of its IT product developments to ABC IT Services through a contract. You
clarify the structure and requirements of the contract so that mutual agreement can be reached prior to signing the
contract. Which of the following statements on procurement negotiations are correct?
A. You have to discuss technical and business management approaches, proprietary rights, overall schedule, payments,
and price.
B. At the end of the procurement negotiations, you will have a contract document executed by both buyer and seller.
C. The project manager is the lead negotiator on the procurements.
D. Final contract language will reflect all agreements reached.
Choice 1 B, C an D
Choice 2 Only B and D
Choice 3 A, B and D
Choice 4 All of the Above
Correct Choice : 3
Justification :
The project manager may not be the lead negotiator on procurements.
Question No : 107
During the Identify Stakeholders process, the project manager identifies all people or organizations impacted by the
project, and documents relevant information regarding their interests, involvement, and impact on project success. Once
identified, a plan needs to be created to keep stakeholders engaged throughout the project. In this context, which of the
following statements is incorrect about stakeholder management?
Choice 1 Stakeholders exert influence over the project and its deliverables
Choice 2 It is critical for project success to identify stakeholders early in the project
Choice 3 All critical stakeholders should be engaged at the same time
Choice 4 A strategy or approach may be developed for engaging each stakeholder
Correct Choice : 3
Justification :
It is critical for project success to identify the stakeholders early in the project, and to analyze their levels of interest,
expectations, importance and influence. A management strategy can then be developed for engaging stakeholders and
determining appropriate levels and timing of involvement to maximize positive influences and mitigate potential negative
impacts. Stakeholders should therefore be engaged at the appropriate time, not necessarily at the same time.
Question No : 108
Which of the following is not the responsibility of a PMP certificant?
Choice 1 Ensuring that there is no conflict of interest that can compromise the legitimate interests of a client or customer
Choice 2 Ensuring that technical specifications are appropriately defined

Choice 3 Disseminating PMI Code of Ethics and Professional Conduct to other PMI members
Choice 4 Cooperating with PMI concerning ethics violation related to PMI and PMP Certification, and the collection of
related information
Correct Choice : 2
Justification :
The project manager need not be a technical expert qualified to determine the accuracy of technical specifications.
All other responsibilities stated in options 1, 3, and 4 find a place in the PMI Code of Ethics and Professional Conduct.
Question No : 109
You have recently joined as a project manager in a company where they follow a projectized organizational structure. All
your team members work in the same office where you have a lot of independence and authority. Which of the following is
NOT an advantage of a projectized organizational structure?
Choice 1 Loyalty to the project
Choice 2 Home for the team members after the project is completed
Choice 3 Effective communication
Choice 4 Efficiency in project organization
Correct Choice : 2
Justification :
In a projectized organization, most of the organizational resources are involved in the project work. The project team
members do not belong to a specific functional group and hence do not have any "home" once the project is over.
Question No : 110
When does the project manager review prior phase documentation and customer acceptance documentation from the
Validate Scope process?
Choice 1 Close Project or Phase
Choice 3 Control Quality
Choice 4 Perform Quality Assurance
Correct Choice : 1
Justification :
Option 1 is the correct answer.
Option 1: During project closure, the project manager reviews prior phase documentation, customer acceptance
documentation from the Validate Scope process and the contract (if applicable), to ensure that all project requirements are
completed prior to finalizing the closure of the project.
Option 2: Control Scope is the process of monitoring the status of the project and project scope and managing changes to
the scope baseline.
Option 3: Control Quality is the process of monitoring and recording results of executing the quality activities to assess
performance and recommend necessary changes.
Option 4: Perform Quality Assurance is the process of auditing the quality requirements and the results from quality control
measurements to ensure that appropriate quality standards and operational definitions are used.
Reference: PMBOK® Guide Fifth Edition, page 104 (for option 1), page 136 (for option 2), page 248 (for option 3), and
page 242 (for option 4).
Question No : 111
The Scope Management Plan is an important component of the Project Management Plan since it provides direction on
how the project scope will be managed throughout the project life cycle. The Scope Management Plan documents:
Choice 1 Which product requirements will be incorporated
Choice 2 How project scope will be defined, developed, controlled, and verified
Choice 3 Which stakeholders are most critical for defining the project scope
Choice 4 High-level project scope deliverables
Correct Choice : 2
Justification :
The Scope Management Plan describes how the scope will be defined, developed, monitored, controlled, and verified.

Question No : 112
Which document provides high-level schedule information that is useful when planning for project schedule management?
Choice 1 Schedule management plan
Choice 2 Activity list
Choice 3 Project charter
Choice 4 Schedule baseline
Correct Choice : 3
Justification :
The project charter is an important input to the Plan Schedule Management process since it provides the summary
milestone schedule that will influence project schedule management.
Option 1: The Schedule Management Plan is an output of the Plan Schedule Management process.
Option 2: The Activity list is not created until the Define Activities process.
Option 4: The Schedule baseline is not created until later in the Develop Schedule process.

Question No : 113
There are two projects:
Investment in project A is $1,000,000 and its NPV is $100,000
Investment in project B is $1,200,000, its net cash inflows are $2,000,000, and net cash outflows are $1,900,000
Which project should be selected if net present value (NPV) criterion is used for selection?
Choice 1 Project A
Choice 2 Project B
Choice 3 The information in the question is inadequate
Choice 4 Either project A or project B
Correct Choice : 4
Justification :
NPV of project A = $100,000

NPV of project B = $2,000,000 - $1,900,000 = $100,000.
Both projects have the same NPV; therefore, either project may be selected, if NPV criterion is used.
Net Present Value (NPV) = (Present value of all cash inflows) - (Present value of all cash outflows)
Project Selection Criterion: Select the project with the maximum Net Present Value. The time value of money is already
taken into account while calculating NPV.
Example: There are 2 projects. Project A has a NPV of $1,000 and will be completed in 5 years. Project B has a NPV of
$800 and will be completed in 1 year. Which project will you select?
Answer: Project A will be selected. The fact that project B has a smaller duration than project A does not matter because
time is already taken into account in NPV calculations.
Present Value (PV) is the Future Value (FV) of a payment discounted at a discount rate (r) for the delay in payment.
Question No : 114
You are a project manager tasked with developing a new machine that will be used for producing a unique style of
reusable pop-off bottle cap. You are working with the Quality team to identify potential quality issues with the machine
during testing. When you collected the requirement from stakeholders, the manager of manufacturing explicitly stated that
it was important for the number of defects to be kept to 2% or less. The sponsor asked for consistency and reliability in
order to avoid machine and employee downtime. The CFO said that the machine needed to last a minimum of seven years
without replacement. The customer’s focus was on getting the bottle caps produced in time for the launch of a new product
which uses the new caps.
The team is currently assessing performance of the machine over time and would like to ensure that the measurements of
each bottle cap produced are within the set limits. You collect quality metrics data for a number of bottle caps produced by
the machine and would like to analyze the findings using an appropriate tool. Which tool is the most appropriate for this?
Choice 1 A Histogram as it shows the number of defects
Choice 2 A Run chart; if the chart indicates a run, then you can use this to predict a trend in the data
Choice 3 A Pareto chart as it will show which defects are the ones to focus on fixing
Choice 4 A Control chart as it will show whether the machine performance is stable and predictable
Correct Choice : 4
Justification :
Option 1: This is a correct statement and although a histogram will help by showing the frequency of each defect, it is not
the most appropriate tool for assessing the performance stability of the machine.
Option 2: The team is not currently interested in data trends and the run chart will not provide the required information for
the team.
Option 3: The Pareto chart will show which defects to focus on but currently the team is concerned with the machine
performance and stability.
Option 4: A control chart is the most correct answer as it will provide information on whether the bottle caps are within the
set control limits and whether the process is stable and has predictable performance.
Reference: PMBOK® Guide - Fifth Edition, pages 238 and 239 (figure 8-7)
Question No : 115
Your organization has to follow some guidelines and policies while recruiting people. From your project perspective, these
guidelines and policies will be classified as:
Choice 1 Regulations
Choice 2 Best practices
Choice 3 Assumptions
Choice 4 Constraints
Correct Choice : 4
Justification :
Most of the organizations involved in the project may have policies, guidelines, or procedures governing staff acquisitions.
When they operate, such practices act as a constraint on the staff acquisition process.

Question No : 116
Due to a shift in company objectives, your project is expected to terminate before completion. Team members are scared
and disappointed as they learn they will be out of a project. As the project manager, what should you do in this situation?
Choice 1 Ignore them, they are no longer your concern.
Choice 2 Talk to the sponsor to try to reinstate the project.
Choice 3 Delegate to HR for post project staff assignment.
Choice 4 Call them for a meeting to discuss team members concerns.
Correct Choice : 3
Justification :
The team is concerned with not having a project to work on due to their current project terminating early. This is not a
project-specific issue and should therefore not be handled by the project manager. It is an organizational issue which is
best handled by the Human Resources department who may be able to better address each individual`s situation and
reassign project team members to other projects.
Question No : 117
You have completed the process of developing options and actions to enhance opportunities and to reduce threats to
project objectives. What is your NEXT step?
Choice 1 Determine which risks may affect the project and document their characteristics.
Choice 2 Implement risk response plans, track identified risks, monitor residual risks, identify new risks, and evaluate risk
process effectiveness throughout the project.
Choice 3 Define how to conduct risk management activities for a project.
Choice 4 Assess the priority of identified risks using their probability of occurrence.
Correct Choice : 2
Justification :
Plan Risk Responses is the process of developing options and actions to enhance opportunities and to reduce threats to
project objectives.
Control Risks is the process of implementing. risk response plans, tracking identified risks, monitoring residual risks,
identifying new risks, and evaluating risk process effectiveness throughout the project.
The other options take place prior to the Plan Risk Responses process:
Option 1: This refers to the Identify Risks process.

Option 3: This refers to the Plan Risk Management process.
Option 4: This refers to the Perform Qualitative Risk Analysis process.
PMstudy.com comments: Please note that the Control Risks process should follow the Plan Risk Responses process. So,
option 2 is the correct answer.
Question No : 118
You are considering whether to buy or make a software product. If you want to buy, the cost is $80,000, and the cost of
procuring and integrating the product in your company is $1,000. If you want to build it yourself, the product will require
seven engineers working for three months. The salary of each software engineer is $4,000 per month. The other related
miscellaneous costs allocated to the project are $2,000. Which option will you choose?
Choice 1 Buy
Choice 2 Build
Choice 3 Neither build nor buy
Choice 4 Need more information on suppliers to make a decision
Correct Choice : 1
Justification :
If you buy, the cost is: $80,000 + $1,000 = $81,000. If you build, the cost is: $4,000 x 7 x 3 + $2,000 = $86,000. So, it is
preferable to buy.
Reference: PMstudy.com Study Notes
Question No : 119
While identifying stakeholders, you plan to group project stakeholders based on their level of authority and their active
involvement in the project. You can do this by using:
Choice 1 Power/Interest grid

Choice 2 Power/Influence grid
Choice 3 Influence/Impact grid
Choice 4 Salience model
Correct Choice : 2
Justification :
There are multiple classification models used for stakeholders analysis, such as:
• Power/interest grid, grouping the stakeholders based on their level of authority (power) and their level of concern
(interest) regarding the project outcomes;
• Power/influence grid, grouping the stakeholders based on their level of authority (power) and their active involvement
(influence) in the project;
• Influence/impact grid, grouping the stakeholders based on their active involvement (influence) in the project and their
ability to effect changes to the project’s planning or execution (impact); and
• Salience model, describing classes of stakeholders based on their power (ability to impose their will), urgency (need for
immediate attention), and legitimacy (their involvement is appropriate).
Question No : 120
You had earlier worked as a project manager in a firm specializing in manufacturing semi-conductor chips. Now that you
are working with a competitor,
Choice 1 You should not use the knowledge gained in the first company to improve the competitor`s product quality
Choice 2 You can use the knowledge gained in the first company to improve your present company`s product quality
Choice 3 You should get your first company`s approval before doing anything that may adversely impact them
Choice 4 You should do nothing by way of competing with or undermining the products of the first company
Correct Choice : 2
Justification :
Knowledge gained in one company is not proprietary information and can be used in subsequent jobs. This is acceptable
as long as you do not unethically use any contacts or proprietary information belonging to the first company.
Options 1, 3, and 4 are inappropriate, because they imply that knowledge and experience gained from the first company, if
used in the present company might adversely impact the former company`s business interests.
Question No : 121
Your project stakeholder has asked you to create a financial plan for your project. Preparing a financial plan will require:
Choice 1 Program management skills
Choice 2 Industry specific skills
Choice 3 Financial subject matter expertise
Choice 4 Both project management and industry specific skills

Correct Choice : 4
Justification :
Preparing a financial plan requires both project management and industry specific skills. Although the project manager
need not have the industry-specific skills, she should talk with a person with industry-specific skills in order to prepare the
financial plan.
Question No : 122
As a project manager, you are using the configuration management system to centrally manage approved changes and
baselines within the project. What are the configuration management activities that you will include in the Perform
Integrated Change Control process?
Choice 1 Configuration accounting and verification and audit
Choice 2 Configuration identification, status accounting, and configuration accounting
Choice 3 Configuration identification, status accounting, and verification and audit
Choice 4 Configuration verification, configuration identification, and risk forecast
Correct Choice : 3
Justification :
Some of the configuration management activities included in the Perform Integrated Change Control process are... This
ensures the functional requirements defined in the configuration documentation have been met.

Question No : 123
You are the project manager in a company. You have finished preparing a detailed description of the project and product.
What will you do next?
Choice 1 Collect Requirements
Choice 2 Create WBS
Correct Choice : 2
Justification :
Define Scope is the process of developing a detailed description of the project and product. This process should be
followed by the Create WBS process.
Reference: PMBOK® Guide - Fifth Edition, pages 105 and 106 (figure 5-1)
Question No : 124
As a project manager during the Develop Schedule process, you are now deliberating on the type of schedule
presentations you are going to use. The difference between a milestone chart and a bar chart is that unlike bar charts,
milestone charts:
Choice 1 Show activity start and end dates
Choice 2 Show dependencies among tasks
Choice 3 Identify the scheduled start or completion of major deliverables only and not all the tasks
Choice 4 Show supporting details
Correct Choice : 3
Justification :
Milestone charts are similar to bar charts, but they only identify the scheduled start or completion of major deliverables and
key external interfaces.
PMstudy.com comments: Usually, milestone charts are used for presentations to senior management but bar charts are
used for presentations to middle and junior management.
Question No : 125
In your project, you are estimating schedule activity costs by determining the unit cost rates, e.g., staff costs per hour. In
this context, which of the following cannot be used to determine resource cost rates?
Choice 1 Statistical relationship between historical data and other variables
Choice 2 Gathering quotes

Choice 3 Standard rates with escalation factors (for contracts)
Choice 4 Commercial databases or seller published price lists
Correct Choice : 1
Justification :
Parametric estimating uses a statistical relationship between historical data and other variables. Parametric estimating
uses unit cost rates in calculations, but doesn’t determine those rates.
PMstudy.com comments: All the other options are valid ways to determine unit cost rates.
Question No : 126
During Plan Quality process, you are going to use Design of Experiments (DOE) to determine which factors might influence
specific variables. Which variable can be used in your analysis?
Choice 1 Dollars
Choice 2 Pounds
Choice 3 Weight
Choice 4 Meters
Correct Choice : 3
Justification :
Weight is the only variable here. All the other options refer to units of currency and measurement.
Question No : 127
What is the factor that helps a project manager gain maximum support from the assigned project personnel?
Choice 1 Expertise
Choice 2 Work challenge
Choice 3 Authority of the project manager to penalize team members
Choice 4 Authority of the project manager to recommend promotions to team members on the basis of their performance
Correct Choice : 1
Justification :
Expertise of the project manager is the most important factor that gets him support from the project personnel.
Question No : 128
In your project, you have established tools to ensure that appropriate information is available to project stakeholders in a
timely manner. In this context, if there is a conversation taking place using a sender-receiver model, which of the following
statements is NOT correct?
Choice 1 The sender is responsible for making the information clear, unambiguous, and complete.
Choice 2 The receiver confirms that the information is properly understood.
Choice 3 The receiver is responsible for ensuring that the information is entirely received and understood.
Choice 4 The receiver should agree with the sender about the message being communicated
Correct Choice : 4
Justification :
The sender is responsible for making the information clear, unambiguous, and complete. This is done so that the receiver
can receive it correctly, and confirm that it is properly understood. The receiver is responsible for making sure that the
information is received in its entirety and understood correctly.
Please note that the receiver need not "agree" with the sender about the message being communicated.
Question No : 129
In your project, the project architect met with an accident and will not be available for the next 3 months. You had not
planned for this in risk planning - what should you do NEXT?
Choice 1 Create a Workaround
Choice 2 Create a Fallback Plan
Choice 3 Do additional risk response planning
Choice 4 Create a new risk register for this risk
Correct Choice : 1
Justification :
Workaround. A response to a threat that has occurred, for which a prior response has not been planned or was not
effective.
Question No : 130
As a buyer, during Control Procurements, you have recently conducted an audit of your seller to determine weaknesses in
the seller`s processes that need to be corrected. You want to document the results of the audit and the communications
with the seller. This should be done using:
Choice 2 Correspondence
Choice 3 Change requests
Choice 4 Procurement audits

Correct Choice : 2
Justification :
Correspondence: Contract terms and conditions often require written documentation of certain aspects of buyer/seller
communications, such as the need for warnings of unsatisfactory performance and requests for contract changes or
clarification. This can include the reported results of buyer audits and inspections that indicate weaknesses the seller
needs to correct.
Question No : 131
As the project manager, you are currently involved in monitoring stakeholder relationships and adjusting plans for their
engagement. Which process are you currently working in?
Choice 1 Identify Stakeholders
Choice 2 Control Stakeholder Engagement
Choice 3 Manage Stakeholder Engagement
Choice 4 Plan Stakeholder Management
Correct Choice : 2
Justification :
Control Stakeholder Engagement is the process of monitoring overall project stakeholder relationships and adjusting
strategies and plans for engaging stakeholders.

Question No : 132
You are the project manager of a sewage treatment plant. The government has mandated that you ensure that the
neighborhood is not adversely impacted by your project plant. For your project, this directive is regarded as a/an:
Choice 1 Assumption
Choice 2 Ethical practice
Choice 3 Constraint
Choice 4 Deliverable
Correct Choice : 3
Justification :
From a project management point of view, constraints are factors that will limit the project management team`s options.
Since this is a government mandate, it becomes a constraint for your project.
Question No : 133
Which of the following statements is NOT true about a project life cycle?
Choice 1 All project life cycles are usually identical.
Choice 2 The level of risk is highest at the start of the project and decreases as the project progresses.
Choice 3 The ability of the stakeholders to influence the final characteristics is highest at the start and gets progressively
lower as the project continues.
Choice 4 Cost and staffing requirements usually peak during the intermediate phases.
Correct Choice : 1
Justification :
Although many projects may have similar phase names with similar deliverables, few are identical.
Further, look out for absolute statements with terms like "All", "None", "Never", "Always", "Must", etc. Such options should
be carefully evaluated because they may be incorrect.
Question No : 134
Stakeholders, including consultants, customers, sponsors, and professional and technical associations, are some of the
sources of:
Choice 2 Organizational process assets

Choice 4 Risk monitoring and control
Correct Choice : 3
Justification :
Expert judgment: Additional expertise is available from many sources, including: other units within the organization;
consultants and other subject matter experts (internal and external); stakeholders, including customers, suppliers, or
sponsors; and professional and technical associations.
Question No : 135
There has been a change in the scope of your project, which may adversely impact the project schedules and cost. You
have updated the technical and planning documents. All the requested changes and recommended corrective actions will
now be processed through:
Choice 1 Impact request statements
Choice 2 Change control system
Choice 3 Perform Integrated Change Control process
Choice 4 Changes to the scope management plan
Correct Choice : 3
Justification :
Controlling the project scope ensures all requested changes and recommended corrective or preventive actions are
processed through the Perform Integrated Change Control process.
Question No : 136
The following are all tools and techniques for the Plan Schedule Management process:
Choice 1 Expert judgment, Analytical techniques, Meetings
Choice 2 Expert judgment, Reserve analysis, Meetings
Choice 3 Expert judgment, Reserve analysis, Rolling wave planning
Choice 4 Analytical techniques, Meetings, Project management software,
Correct Choice : 1
Justification :
The tools and techniques used in the Plan Schedule Management process are expert judgment, analytical techniques, and
meetings.
Options 2, 3, and 4: Reserve analysis is a tool for the Estimate Activity Durations process. Rolling wave planning is a tool
for the Define Activities process. Project management software is a tool for the Estimate Activity Resources and Control
Schedule processes.

Question No : 137
Which document provides high-level cost information that is useful when planning for project cost management?
Choice 1 Cost management plan
Choice 3 Cost baseline
Choice 4 Requirements documentation
Correct Choice : 2
Justification :
The Project charter is an important input to the Plan Cost Management process since it provides the summary budget from
which detailed project cost are developed.
Reference: PMBOK® Guide - Fifth Edition, page 197.
Option 1: The Cost Management Plan is an output of the Plan Cost Management process.
Option 3: The Cost baseline is not created until later during the Determine Budget process.
Option 4: The Requirements documentation is an output of the Collect Requirements process in Project Scope
Management.
Question No : 138
You are the project manager responsible for developing a new type of soap. You decide to do a statistical sampling for this
project. Statistical sampling surveys only a portion of the population of interest. If you had chosen to survey the entire
population, which of the following is NOT a problem you would encounter?
Choice 1 Inaccurate data
Choice 2 High cost
Choice 3 Extended timeline
Choice 4 Inadequate resources
Correct Choice : 1
Justification :
Survey of the entire population yields accurate data.
Question No : 139
In the last project status meeting, a team member criticized some of his teammates and undermined the status of work
done by them. The role that was played by the person was that of:
Choice 1 Aggressor
Choice 2 Conflict Maximizer

Choice 3 Devil`s Advocate
Choice 4 Recognition Seeker
Correct Choice : 1
Justification :
Roles that undermine project management implementation
 The Aggressor
- Criticizes everybody and everything on project management

- Deflates the status and ego of other team members
- Always acts aggressively
 The Dominator
- Always tries to take over

- Professes to know everything about project management
- Tries to manipulate people
- Will challenge those in charge for a leadership role
 The Devil’s Advocate
- Finds fault in all areas of project management

- Refuses to support project management unless threatened
- Acts more of a devil than an advocate
Question No : 140
Which of the following statements about communication is inaccurate?
Choice 1 Informal communication includes briefings and email.
Choice 2 Formal communication includes reports.
Choice 3 External communication could include talking with the customer, media, public, etc.
Choice 4 Communication with peers is called horizontal communication.
Correct Choice : 1
Justification :
The communication activities involved in the processes in Project Communications Management may often have many
potential dimensions that need to be considered, including, but not limited to: Communicating has many potential
dimensions:
• Internal (within the project) and external (customer, vendors, other projects, organizations, the public);
• Formal (reports, minutes, briefings) and informal (emails, memos, ad-hoc discussions);
• Vertical (up and down the organization) and horizontal (with peers);
• Official (newsletters, annual reports) and unofficial (off the record communications); and
• Written and oral, and verbal (voice inflections) and nonverbal (body language).
Question No : 141
You are in the process of creating a risk management plan for your project. This plan will describe how risk management
will be structured and performed on the project. Your risk management plan may include:
Choice 1 Avoid, transfer, mitigate, and accept risks
Choice 2 Risk audits, reserve analysis, and technical performance measurement
Choice 3 Risk audits, triggers, and inputs to other processes
Choice 4 Budgeting, timing, and risk categories
Correct Choice : 4
Justification :
The risk management plan includes the following: methodology, roles and responsibilities, budgeting, timing, and risk
categories.
Option 1: This is done during the Plan Risk Responses process

Option 2: This is done during the Control Risks process
Option 3: This is done during the Identify Risks process
Question No : 142
Since the buyer could not meet the requirements of the contract, you (the seller) want to terminate the contract early. This
is done in the:
Choice 1 Plan Procurement Management process
Choice 2 Control Procurements process

Choice 3 Close Procurements process
Choice 4 Conduct Procurements process
Correct Choice : 3
Justification :
Early termination of a contract is a special case of procurement closure. Procurement closure takes place in the Close
Procurements process.
Question No : 143
If you are describing classes of stakeholders based on their power (ability to impose their will), urgency (need for
immediate attention), and legitimacy (their involvement is appropriate), this can be referred to as:
Choice 1 Group decision technique
Choice 2 Salience model
Choice 3 Power/Influence grid
Choice 4 Influence/Impact grid
Correct Choice : 2
Justification :
Salience model describes classes of stakeholders based on their power (ability to impose their will), urgency (need for
immediate attention), and legitimacy (their involvement is appropriate).
Question No : 144
You are the project manager of a construction company planning to build a water treatment plant close to a residential
locality. The project owner and sponsor have obtained all the legal clearances for the project. Some of the residents of the
locality have approached you with concerns on the probable impact of the project on the environment. In this case, you
must:
Choice 1 Go ahead as planned, because all the statutory approvals have been obtained
Choice 2 Try to fairly resolve issues among the stakeholders
Choice 3 Communicate this issue to the senior management of the company and ask them to take necessary steps
Choice 4 Give a high priority to the interests of your company while trying to resolve conflicts with local residents
Correct Choice : 2
Justification :
The project manager should make decisions and take actions based on the best interests of the society, public safety, and
the environment. Also, the project manager must identify the stakeholders, determine their requirements, and then manage
and influence the requirements in such a way as to ensure a successful project.
Please note:
Option 1: This is not appropriate because this would mean ignoring an important stakeholder "the residents of the locality",
who are going to be directly affected by the plant.
Option 3: As a project manager, it is your responsibility to manage the requirements of different stakeholders. This option
requires you to shirk that responsibility and pass on the buck to your company management.
Option 4: All stakeholders must be managed equitably (and without bias) for successful implementation of the project.
Question No : 145
In your organization, all big technical projects go through Initiate, Analyze, Design, Implement, Test, and Closeout. In this
context, a project life cycle:
Choice 1 Defines the product life cycle
Choice 2 Defines the project phases
Choice 3 Contains several product life cycles
Choice 4 Has deliverables that must be completed before work starts on the next phase
Correct Choice : 2
Justification :
A project life cycle is the series of phases that a project passes through from its initiation to its closure. The phases are
generally sequential, and their names and numbers are determined by the management and control needs of the
organization or organizations involved in the project, the nature of the project itself, and its area of application.
PMstudy.com comments: Option 1 and Option 3 are wrong because project life cycle does not include the product life
cycle. Option 4 is not accurate because work in the next phase may, at times, start before the deliverables of the previous
phase are completed.
Question No : 146
You are the project manager for a construction project, and 121 people report to you. Your job requires that you allocate
work to others and ensure that the work is done on time. The tool you use is:
Choice 1 Work Breakdown Structure
Choice 2 Work Authorization System
Choice 3 PERT / CPM / Network diagrams
Correct Choice : 2
Justification :
Work Authorization System: It is a collection of formal documented procedures that defines how project work will be
authorized (committed) to ensure that the work is done by the identified organization, at the right time, and in the proper
sequence. It includes the steps, documents, tracking system, and defined approval levels needed to issue work
authorizations.
Question No : 147
Planning the scope for a project occurs very early in the project life cycle. One of the first steps is to document how the
project scope will be defined, validated, and controlled. The output(s) of the Plan Scope Management process are:
Choice 1 Scope management plan
Choice 2 Scope baseline and Requirements documentation
Choice 3 Scope management plan and Requirements documentation
Choice 4 Scope management plan and Requirements management plan
Correct Choice : 4
Justification :
Both the Scope Management Plan and the Requirements Management Plan are outputs of the Plan Scope Management
process.
Option 2: The Scope baseline is an output of the Create WBS process.

Option 3: The Requirements documentation is an output of the Collect Requirements process.
Question No : 148
You are the project manager of a construction company. You know that the builders start painting the walls 30 days after
they start installing the drywall. This waiting time can also be referred to as:
Choice 1 Lead time
Choice 2 Project float

Choice 3 Constraint
Choice 4 Lag
Correct Choice : 4
Justification :
A lag directs a delay in the successor activity.
PMstudy.com comments: Waiting time is also referred to as lag
Question No : 149
Which of the following estimates is not used by the Program Evaluation and Review Technique (PERT)?
Choice 1 Pessimistic
Choice 2 Optimistic
Choice 3 Most likely
Choice 4 Mean
Correct Choice : 4
Justification :
The accuracy of single-point activity cost estimates may be improved by considering estimation uncertainty and risk and
using three estimates to define an approximate range for an activity`s cost: Most likely, Optimistic, and Pessimistic.
Question No : 150
Control Quality is the process of monitoring and recording results of executing the quality activities to assess performance
and recommend necessary changes. To evaluate control quality output data, the project team must ideally have a working
knowledge of:
Choice 1 Prevention and inspection
Choice 2 Sampling and probability
Choice 3 Special causes and random causes
Choice 4 Tolerances and control limits
Correct Choice : 2
Justification :
The project management team may have a working knowledge of statistical control processes to evaluate data contained
in the control quality outputs.
Question No : 151
As a project manager, you advocate active participation of your team members; this is because you believe in:
Choice 1 Theory Y (McGregor Model)
Choice 2 Theory X (McGregor Model)
Choice 3 Maslow`s hierarchy of needs
Choice 4 Referent Power
Correct Choice : 1
Justification :
Douglas McGregor advocates that most workers can be categorized according to two theories:
Theory X: This assumes that the workers are inherently lazy and require supervision.
Theory Y: The average worker finds physical and mental effort on the job satisfying and likes his work.
Question No : 152
You have recently conducted a variance analysis of your project and found that the project is 25% over-budget. This is a
very important issue, which you would like to discuss with your project stakeholders. What communication method should
you use?
Choice 1 War room discussion
Choice 2 Face-to-face meeting
Choice 3 Formal report

Choice 4 Telephone calls and electronic mail
Correct Choice : 2
Justification :
Face-to-face meetings are the most effective means of communicating and resolving issues with stakeholders. When face-
to-face meetings are not warranted or practical (e.g., international projects), telephone, electronic mail, and other electronic
tools can be used for exchanging information.
Question No : 153
Which of the following tools and techniques would you NOT use in your project during the Plan Risk Responses process?
Choice 1 Strategies for negative risks or threats
Choice 2 Contingent response strategies
Choice 4 Simulation
Correct Choice : 4
Justification :
Simulation is not a tool or technique for the Plan Risk Responses process.

PMstudy.com comments: Modeling and Simulation is used during the Perform Quantitative Risk Analysis process.
Question No : 154
You would like to obtain information, quotations, bids, offers, or proposals from sellers as part of the Conduct
Procurements process. In this process, which of the following is the most critical?
Choice 1 Determine whether a product should be purchased or manufactured in-house.
Choice 2 Ensure that prospective sellers clearly understand the technical and contract requirements.
Choice 3 Clarify the structure and requirements of the contract.
Choice 4 Prepare an independent estimate to verify the proposed price structures of the sellers.
Correct Choice : 2
Justification :
Bidder conferences (sometimes called contractor conferences, vendor conferences, and pre-bid conferences) are
meetings between the buyer and all prospective sellers prior to submittal of a bid or proposal. They are used to ensure that
all prospective sellers have a clear and common understanding of the procurement (both technical and contractual
requirements), and that no bidders receive preferential treatment.
Option 2: This is the correct answer.
Option 1: This refers to a make-or-buy analysis, which is performed during the Plan Procurement management process
Option 3: This refers to procurement negotiations, which are performed during the Conduct Procurements process. This
succeeds the activity specified in option 2.
Option 4: This refers to independent estimates, a technique used in the Conduct Procurements process.
Question No : 155
In your project, while identifying stakeholders, you want to create a Stakeholder Register. In this context, this document
should NOT contain which of the following?
Choice 1 Identification information
Choice 2 Assessment information
Choice 3 Stakeholder classification
Choice 4 Stakeholder management strategy
Correct Choice : 4
Justification :
Stakeholder register is the main output of the Identify Stakeholders process. This contains all details related to the
identified stakeholders including, but not limited to:
Identification information: Name, organizational position, location, role in the project, contact information;
Assessment information: Major requirements, main expectations, potential influence in the project, phase in the life cycle
with the most interest; and
Stakeholder classification: Internal/external, supporter/neutral/resistor, etc.
PMstudy.com comments: The stakeholder management strategy would be incorporated into the stakeholder management
plan.
Question No : 156
The Cost Performance Index (CPI) of a project is 0.8 and you have a limited budget. You are planning to procure a product
from the supplier. In this situation, you should:
Choice 1 Ask the supplier to supply a product of slightly lower quality, since it will cost less.
Choice 2 Try innovative means to lower costs.
Choice 3 Remove non-critical tasks from the project schedule.
Choice 4 Try to crash the project as shortening the project schedule decreases costs.
Correct Choice : 2
Justification :
Since CPI is 0.8, the project is over-budget. Option 2: This is the best answer as it looks at all possible means to decrease
costs.
Option 1: This is unacceptable, as lower quality product will not meet customer satisfaction and hence does not satisfy the
requirements of the project.
Option 3: This is not correct because removing non-critical tasks from the project schedule will mean that the project will
remain incomplete.
Option 4: This will increase the costs further as crashing usually results in higher project cost.

Question No : 157
A project manager has to manage different stakeholder expectations. Project sponsor and customer are two very important
stakeholders in any project. In this context, which of the following is NOT the responsibility of both the project sponsor and
the customer?
Choice 1 Take into account risk tolerance
Choice 2 Provide key events, milestones, and deliverable due dates
Choice 3 Formally accept the product of the project
Choice 4 Provide financial resources for the project
Correct Choice : 4
Justification :
Statements 1, 2, and 3 are correct.
Statement 4 is incorrect - A Sponsor is the person or group who provides resources and support for the project and is
accountable for enabling success....Customers are the persons or organizations who will approve and manage the
project`s product or service, or result.
PMstudy.com comments: Customers do not always provide financial resources for the project.
Question No : 158
The director (information systems) in your company is in the process of creating a project charter to formally authorize a
new project in your company. In this context, what should be done FIRST?
Choice 2 Identify a project manager for the project
Choice 3 Acquire Project Team
Choice 4 Integrate the work of the project with the ongoing operations of the performing organization
Correct Choice : 2
Justification :
A project manager is identified and assigned as early in the project as is feasible... This understanding will better allow for
efficient resources allocation to project activities.
Option 1: Develop Project Management Plan is done only after the project charter is ready.
Option 3: Acquire Project Team is done after preparing the project charter and after preparing human resource
management plan.
Option 4: This is required in the closing stages of the project and is not relevant for creation of the project charter.
Question No : 159
Which of the following statements related to Validate Scope and Control Quality processes is accurate?
Choice 1 Validate Scope is concerned with correctness of the work results, while Control Quality is primarily concerned with
acceptance of the work results.
Choice 2 Validate Scope is concerned with acceptance of the work results, while Control Quality is primarily concerned with
correctness of the work results.
Choice 3 Validate Scope is done only after changes are approved by the change control board.
Choice 4 Both Validate Scope and Control Quality processes are always done sequentially.
Correct Choice : 2
Justification :
The Validate Scope process differs from the Control Quality process in that the former is primarily concerned with
acceptance of the deliverables, while Control Quality is primarily concerned with correctness of the deliverables and
meeting the quality requirements specified for the deliverables.
Question No : 160
You are managing a Wind Energy Project. You have created the Network Schedule Diagram given below (all units are in
days):
What is the project float if management wants to complete this project within 13 days?
Choice 1 0 days
Choice 2 - 3 days
Choice 3 2 days
Choice 4 Cannot be determined, because information given in the question is incomplete
Correct Choice : 2
Justification :
The possible paths are as follows:
Start→ Task1→ Task2→ Task4→ End: 10 Days

Start→ Task3→ Task5→ Task7→ End: 15 Days
Start→ Task6→ Task7→ End: 15 Days
Start→ Task1→ Task2→ Task3→ Task5→ Task7→ End: 16 Days
The Duration on the critical path is 16 days.
If the project has to be completed within 13 days, the project float is - 3 days (i.e., 13 - 16)
A project may have a negative project float. To deal with such conditions, and if the project has to be completed on time,
the project manager will have to either fast-track or crash the project schedule.

Question No : 161
You are given the following four projects. Which project will you select?
Choice 1 Project A with an opportunity cost of $100,000
Choice 2 Project B with a benefit-cost ratio of 0.75
Choice 3 Project C with an IRR of -2%
Choice 4 Project D with NPV of $100,000
Correct Choice : 4
Justification :
If Project B and project C are selected the company would suffer losses. Project A is not selected, because opportunity
cost is not a project selection criterion. Project D is the only suitable option, because this project has a positive NPV and
hence could be selected.
Net Present Value (NPV) = (Present value of all cash inflows) - (Present value of all cash outflows)
Project Selection Criterion: Select the project with the maximum Net Present Value. The time value of money is already
taken into account while calculating NPV.
Example: There are two projects. Project A has a NPV of $1,000 and will be completed in 5 years. Project B has a NPV of
$800 and will be completed in 1 year. Which project will you select?
Answer: Project A will be selected. The fact that project B has a smaller duration than project A does not matter because
time is already taken into account in NPV calculations.
Present Value (PV) is the Future Value (FV) of a payment discounted at a discount rate (r) for the delay in payment.
Question No : 162
Statistical sampling involves choosing part of a population of interest for inspection. In this context, which of the following
statements on attribute sampling and variables sampling are accurate?
A. Attribute sampling shows degree of conformity.

B. Attribute sampling indicates that the result either conforms or does not conform.
C. Variables sampling indicates the result rated on a continuous scale.
D. Attribute sampling and variables sampling are done during Control Quality.
Choice 1 B, C and D
Choice 2 A, C and D
Choice 3 A, B and D
Choice 4 A, B and C
Correct Choice : 1
Justification :
Attribute sampling: the result either conforms or does not conform. Variables sampling: the result is rated on a continuous
scale that measures the degree of conformity.

Question No : 163
You are the project manager in a software company. As an output from the Plan Human Resource Management process,
you have determined the roles and responsibilities of all your project team members. Which of the following statements
about your team members` roles and responsibilities in the project is inaccurate?
Choice 1 Members can be designated as business analyst, technical architect, programmer, project manager, team leader,
etc.
Choice 2 Team members` individual levels of authority are matched with their competencies in order to get the best
performance.
Choice 3 Proper responsibility (work that a team member is expected to perform in order to complete the project`s activities)
is assigned to all the team members.
Choice 4 Competency and proactive responses (e.g. training, hiring, schedule changes, or scope changes) of the team
members are improved.
Correct Choice : 2
Justification :
Authority means the right to apply project resources, make decisions, and sign approvals. Team members operate best
when their individual levels of authority match their individual responsibilities.
PMstudy.com comments: Individual levels of authority should match individual responsibilities (not individual
competencies). For example, a technical architect may be very competent, but he may be spending only 5% of his time on
the project. So, he should be given limited authority, since he is not responsible for the deliverables of the project. On the
other hand, a technical lead may be less competent but may be spending 100% of his time on the project sharing greater
responsibility and authority.
Question No : 164
In your project, you use issue logs or action item logs to document and monitor resolution of issues. You focus on
documentation and timely resolution of issues, because unresolved issues can:
Choice 1 Be escalated to the project sponsor
Choice 2 Be a major source of conflict
Choice 3 Become undetermined risks in the project
Choice 4 Have adverse effect on all project parameters
Correct Choice : 2
Justification :
In the issue log, issues are clearly stated and categorized based on urgency and their potential to impact the project. An
owner is assigned an action for resolution, and the target date is usually established for closure. Unresolved issues can be
a major source of conflict and project delays.
Question No : 165
You have geographically dispersed team members, from whom you would like to anonymously obtain expert opinion on
the project you are managing. Which information gathering technique should you use?
Choice 1 Brainstorming
Choice 2 Delphi technique
Choice 3 SWOT analysis
Choice 4 Checklists
Correct Choice : 2
Justification :
The Delphi technique is a way to reach a consensus of experts. Project risk experts participate in this technique
anonymously.
PMstudy.com comments: Brainstorming and SWOT analysis are not done anonymously. Checklists are an output of the
Plan Quality process.
Question No : 166
Which of the following is the most widely used contract type?
Choice 1 Cost plus incentive fee contracts
Choice 2 Fixed price incentive fee contracts
Choice 3 Cost plus award fee contracts

Choice 4 Firm fixed price contracts
Correct Choice : 4
Justification :
The most commonly used contract type is the Firm Fixed Price Contract (FFP).
Question No : 167
Which of the following is NOT a valid input for the Identify Stakeholders process?
Choice 2 Procurement documents
Choice 3 Project scope statement
Correct Choice : 3
Justification :
The project scope statement is not created until the scope has been defined (Define Scope process). Stakeholders must
be identified first and requirements collected before the project scope statement is created. The other options are all
potential inputs to the Identify Stakeholders process.

Question No : 168
A project manager disclosed some crucial information to a prospective seller. Which aspect of PMI Code of Ethics and
Professional Conduct did he violate?
Choice 1 Maintain and satisfy the scope and objectives
Choice 2 Prevent conflict of interest
Choice 3 Provide accurate and truthful representations
Choice 4 Refrain from offering or accepting inappropriate payments, gifts, etc.
Correct Choice : 2
Justification :
The project manager should maintain and respect the confidentiality of sensitive information obtained in the course of
professional activities or otherwise where a clear obligation exists. Also, the project manager should ensure that a conflict
of interest does not compromise legitimate interests of a client or customer, or influence professional judgments.
Reference: PMI Code of Ethics and Professional Conduct and PMstudy.com study notes
Question No : 169
As a project manager for a construction company, you are responsible to Define Scope, Define Activities, Develop
Schedule, and Determine Budget. These responsibilities are performed as part of:
Choice 1 Closing
Choice 2 Initiating
Choice 3 Planning
Choice 4 Monitoring and Controlling
Correct Choice : 3
Justification :
The processes of Define Scope, Define Activities, Develop Schedule, and Determine Budget are part of the Planning
Process Group.
Reference: PMBOK® Guide - Fifth Edition, page 61, table 3-1
Question No : 170
A project manager has to manage conflict in an organization. Which of the following could be the source of least conflict in
an organization?
Choice 1 Weak matrix structure with multiple managers to report to
Choice 2 Low position in the organization hierarchy
Choice 3 Roles that are not well defined

Choice 4 Work pressure and high stress
Correct Choice : 2
Justification :
A low position in the organization could be the source of least conflict. Please note that option 1 (Weak matrix structure
with multiple managers to report to ), option 3 (Roles that are not well defined) and option 4 (Work pressure and high
stress) increase conflict in an organization.
Question No : 171
The scope baseline is a component of the project management plan and is critical for you to verify scope and perform
scope control. Which of the following is NOT a component of the scope baseline?
Choice 1 Project Scope Statement
Choice 2 WBS
Choice 4 Activity list
Correct Choice : 4
Justification :
Components of the scope baseline include Project Scope Statement, WBS, and WBS dictionary.

PMstudy.com comments: Activity list is not a component of the scope baseline.
Question No : 172
You are managing a new project to add parking to the airport in your home town. Your Friend, the Mayor has asked you to
Estimate the time and resources required so that he can Secure Funding. You have divided the Project into 3 Tasks and
interviewed relevant experts to get Time and Material estimates for each of the Tasks. You have depicted the Survey Data
in the table below:
Which of the three tasks (A, B, C) has the maximum variance?
Choice 1 Task A
Choice 2 Task B
Choice 3 Task C
Choice 4 Cannot be determined
Correct Choice : 2
Justification :
Please refer to the calculations given below:
Question No : 173
Analytical techniques which are most useful during the Plan Cost Management process include:
Choice 1 ROI, Payback period, NPV, IRR
Choice 2 IRR, Opportunity cost, Discount rate
Choice 3 Depreciation, Cost of goods, ROI
Choice 4 Sunk cost, NPV, ROI
Correct Choice : 1
Justification :
Analytical techniques include financial techniques which can be used to plan for project cost which may involve choosing
strategic options to make decisions and /or fund the project. Some of these techniques include payback period, return on
investment (ROI), internal rate of return (IRR), discounted cash flow, and net present value (NPV).
Options 2: Opportunity cost is not used to plan for a project already chosen – it is the value of passing up another
opportunity once a project has already been selected. Discount rate (r) is the rate used to discount a project’s future value
to more accurately reflect its current value.
Option 3: Depreciation is the decrease in value of an asset over time. Cost of goods is the direct costs of developing a
product (raw materials, labor, etc.) which may be more useful when determining a project’s actual cost.
Option 4: Sunk cost is money already spent on a project so it is not used to plan for cost management.
Question No : 174
You are working as a project manager in an automobile company. Recently the government has amended the regulations
to enforce stricter emission requirements for automobiles. As a project manager, you are concerned that your project
quality norms may not satisfy the revised quality standards. So, you do an audit and try to remedy this problem through:
Choice 1 Quality assurance
Choice 2 Quality planning
Choice 3 Quality control
Choice 4 Modifications to quality management plan
Correct Choice : 1
Justification :
Perform Quality Assurance is the process of auditing the quality requirements and the results from quality control
measurements to ensure that appropriate quality standards and operational definitions are used.
Question No : 175
You are the project manager in a software company. In your project, you want to ensure that all the operational
departments in your organization (e.g. information integrity, data architecture group, servers group, etc.) clearly visualize
their project responsibilities. Which one of the following helps you achieve this objective?
Choice 1 Organizational breakdown structure
Choice 2 Staffing plan
Choice 3 Project staff assignments
Choice 4 Resource breakdown structure
Correct Choice : 1
Justification :
The organizational breakdown structure (OBS) is arranged according to an organization`s existing departments, units, or
teams with the project activities or work packages listed under each department. An operational department such as
information technology or purchasing can see all of its project responsibilities by looking at its portion of the OBS.

Question No : 176
In your project, a team member is not performing well. Best way to handle issues of poor performance is through:
Choice 1 Informal written communication
Choice 2 Informal verbal communication
Choice 3 Formal written communication
Choice 4 Formal verbal communication
Correct Choice : 2
Justification :
Informal verbal communication, such as in a face-to-face meeting, is the best way to handle issues of poor performance
and resolve disputes among team members.
Question No : 177
Graphical representations of situations showing causal influences, time ordering of events, and other relationships among
variables and outcomes are also referred to as:
Choice 1 Cause-and-effect diagrams
Choice 2 System flow charts
Choice 3 Influence diagrams
Choice 4 Simulation diagrams
Correct Choice : 3
Justification :
Influence diagrams. These are graphical representations of situations showing causal influences, time ordering of events,
and other relationships among variables and outcomes.
Question No : 178
If you would like to compare different suppliers and rate their proposals for the purpose of procurements, you should use:
Choice 1 Bidder conferences
Choice 2 Selected sellers
Choice 3 Procurement documents
Choice 4 Source selection criteria
Correct Choice : 4
Justification :
Source selection criteria are developed and used to rate or score seller proposals, and can be objective or subjective.
Question No : 179
You are the project manager of a $20 million project, and you are struggling to manage the needs of all the stakeholders.
You decide to classify the stakeholders, which you hope will enable you to focus on the relationships necessary to ensure
the success of the project. In this context, which of the following is NOT a factor that you should consider while classifying
stakeholders?
Choice 1 Stakeholders’ interest in the project
Choice 2 Hierarchy of the organization
Choice 3 Stakeholders’ involvement in the project
Choice 4 Stakeholders’ influence on the project
Correct Choice : 2
Justification :
Most projects will have a diverse number of stakeholders depending on their size, type and complexity. While the project
manager`s time is limited and should be used as efficiently as possible, these stakeholders should be classified according
to their interest, influence, and involvement in the project.

Question No : 180
Your project is nearing completion, when the customer requests you to include an additional feature in the project`s final
product. The BEST course of action is to:
Choice 1 Include the feature, as it will improve customer satisfaction
Choice 2 Include the feature - otherwise the product will not be accepted by the customer
Choice 3 Talk with the customer and explain that the new feature does not make business sense
Choice 4 Take the requirement through the change control process
Correct Choice : 4
Justification :
Option 4 is the best available choice.
Option 1 and option 2 are not recommended, because this requirement was not in the initial scope of work. Agreeing to
include this requirement now will impact your project deliverables.
Option 3 assumes that you know more about the business needs than the customer, which may not be true.

Question No : 181
Almost all projects are planned and implemented in a social, economic, or environmental context, and have intended and
unintended positive or negative impacts. In this context, which of the following statements about Enterprise Environmental
Factors is NOT true?
Choice 1 Neither promote nor hold back the project management processes
Choice 2 May restrict the project management processes
Choice 3 May promote the project management processes
Choice 4 May either promote or hold back the project management processes
Correct Choice : 1
Justification :
Enterprise environmental factors may enhance or constrain project management options, and may have a positive or
negative influence on the outcome.
Question No : 182
The project team has successfully delivered the final component of a year long project on-budget and ahead of schedule.
You, as the project manager, have been offered a promotion due to this great success. The final product has been
transitioned into production and post-implementation support requirements have been completed. As part of project
closure, what would be done NEXT?
Choice 1 Create project closure documents
Choice 2 Release project team
Choice 3 Update Organizational Process Assets
Correct Choice : 1
Justification :
Project closure documents would be completed next, before the project team is released, and before other Organizational
Process Assets are updated.
Option 2: Releasing project team members should be one of the last activities in the Close Project or Phase process. You
may need them to help with the closure activities.
Option 3: Project closure documents are part of Organizational Process Assets updates. However, in the given scenario,
the most appropriate answer is to create the closure documents first and then update Organizational Process Assets.
Option 4: Validate Scope is conducted prior to Close Project or Phase process.
Question No : 183
After collecting requirements, one of your tasks as a project manager is to prepare a scope statement for your project. The
scope statement provides:
Choice 1 Authorization to the project manager for using organizational resources for project activities.
Choice 2 Documentation of how the project scope will be managed and how scope changes will be integrated into the
project.
Choice 3 Definition for work breakdown structure.
Choice 4 Common understanding of the project scope among project stakeholders.
Correct Choice : 4
Justification :
The project scope statement is the description of the project scope, major deliverables, assumptions, and
constraints...project scope among project stakeholders.
PMstudy.com comments: Project scope statement provides a documented basis for making future project decisions and for
confirming or developing a common understanding of project scope among project stakeholders.
Question No : 184
There is an ongoing project to give a 100-year-old Football Field a $250 million facelift over the next two years. While
Estimating Activity Durations, you obtain the data shown in the table below (durations in months):
If the critical path consists of these three tasks (A, B, and C), what is the PERT estimate for the duration of the project?
Choice 1 22.5 Months
Choice 3 32 Months
Correct Choice : 1
Justification :
Please refer to the calculations given below:
The duration of the project

= sum of PERT estimates for the three tasks
= 7 + 10.33 + 5.17 Months
= 22.5 Months

Question No : 185
The rate used in your company to calculate the present value of expected yearly benefits and costs is referred to as:
Choice 1 Interest rate
Choice 2 Discount rate
Choice 3 Internal rate of return
Choice 4 Benefit cost ratio
Correct Choice : 2
Justification :
Discount Rate: The interest rate used to calculate present value of expected yearly benefits and costs.
Question No : 186
You are a project manager at a large software development organization. A primary objective of your company is to deliver
high-quality products to your customers, with a low rate of errors and post-delivery fixes. The company has made
significant investments in a robust quality management system, including very detailed and thorough procedures and
processes, designed to support the quality objectives of the company. In software development projects, prior to submitting
software modules to the customer for user acceptance testing, your team uses a set of rigorous scripts to test the code and
functionality. In which process would the team use these scripts to test the modules and in what process would the test
scripts be audited to ensure they are valid and produce the desired results?
Choice 1 Quality Assurance, Validate Scope
Choice 2 Validate Scope, Control Quality
Choice 3 Control Quality, Validate Scope
Choice 4 Control Quality, Quality Assurance
Correct Choice : 4
Justification :
Control Quality is the process of monitoring and recording results from the project to assess performance and recommend
any changes. Deliverables are also inspected and checked to ensure there are no defects. Auditing is a key tool of Quality
Assurance.
Reference: PMBOK® Guide - Fifth Edition, pages 247 to 250
Question No : 187
You have been given a high priority task that needs to be completed within a short time frame. Since you know what has to
be done, you assign tasks to different team members and tell them when and how the tasks should be completed. The
management style that you are following is:
Choice 1 Directing
Choice 2 Laissez Faire
Choice 3 Delegating
Choice 4 Task-oriented
Correct Choice : 1
Justification :
The project manager usually follows different leadership styles as listed below:
• Autocratic: Makes decisions himself/herself; allows team members little involvement and discussion before a decision is
made.
• Directing: Instruct people what tasks will be performed and when and how they should be performed.
• Laissez Faire: Does not interfere; team is left unsupervised which may lead to anarchy.
• Democratic: Allows team to discuss issues and reach decisions, although still guides and advises.
• Delegating: Delegates to team members, particularly if competent to handle tasks.
• Coaching: Issues instructions and then supports and monitors.
• Discussing: Two-way communication and discussion with team members.
• Facilitating: Coordinates inputs from several sources before making a decision.
• Supportive: Provides positive assistance and encouragement; maintains and presents a positive outlook during times of
uncertainty; listens and encourages.
• Participatory: Involve others; same as Democratic style.
• Task-Oriented: Enforces task completion by deadlines.
• Team-Based: Emphasizes teamwork and working well together.
• Assertive: Confronts issues and displays confidence; establishes authority with respect.

Question No : 188
You are the project manager, heading a team of ten technical developers. Three more developers will be joining within a
month. What will be the increase in the number of communication channels after the new members join your team?
Choice 1 15
Choice 2 23
Choice 3 36
Choice 4 Cannot be determined from the given information
Correct Choice : 3
Justification :
Present number of members in the project team (including yourself) = 11. Total number of communication channels = N x
(N – 1) / 2 = 11 x 10 / 2 = 55.
Number of members in the your team after 3 developers join = 14 Total number of communication channels after 1 month
= 14 x 13 / 2 = 91.
Increase in the number of communication channels = 91 – 55 = 36.

Question No : 189
You are in the build phase of a Build-Operate-Transfer (BOT) project, which has run into several unanticipated problems.
Several risks have surfaced which you had not anticipated earlier. The project is over-budget and significantly behind
schedule. What should you do?
Choice 1 Create updates to risk response plan
Choice 2 Create a revised project plan
Choice 3 Perform risk audits
Choice 4 Perform updated risk identification and analysis
Correct Choice : 4
Justification :
Results from earned value analysis may indicate potential deviation of the project at completion from cost and schedule
targets. When a project deviates significantly from the baseline, updated risk identification and analysis should be
performed.
Question No : 190
A contract where the buyer reimburses the seller the costs incurred by her and also provides a fixed amount of profit is
called a:
Choice 1 Cost plus incentive fee contract

Choice 2 Cost plus fixed fee contract
Choice 3 Time and material contract
Choice 4 Cost plus award fee contract
Correct Choice : 2
Justification :
In Cost plus fixed fee contracts (CPFF), the seller is reimbursed for all allowable costs for performing the contract work,
and receives a fixed fee payment calculated as a percentage of the initial estimated project costs. Fee amounts do not
change unless the project scope changes.
Question No : 191
In your project, you use an issue log or action item log to document and monitor the resolution of issues. You focus on
documentation and timely resolution of issues because unresolved issues can:
Choice 1 Be escalated to the project sponsor
Choice 2 Be a major source of conflict
Choice 3 Become undetermined risks in the project
Choice 4 Have adverse effect on all project parameters
Correct Choice : 2
Justification :
Issues are clearly stated and categorized based on urgency and their potential to impact the project. An owner is assigned
an action for resolution, and a target date is usually established for closure. Unresolved issues can be a major source of
conflict and project delays.
Question No : 192
You are aware that a team member of your project is likely to be promoted shortly. There is also a possibility that she may
be transferred out of the project following the promotion. In this situation, you should:
Choice 1 Give a bad appraisal report to delay the promotion of the person until the project is completed.
Choice 2 Inform the team member about the likelihood of her promotion and ask her to give her responsibilities to another
person.
Choice 3 Ask the member, after she is promoted and receives transfer orders, to prepare a transition plan.
Choice 4 Hire another resource, who can replace the promoted member.
Correct Choice : 3
Justification :
Option 1 is unethical. Option 2 and option 4 assume that the person will be promoted and transferred, if you act on this
assumption, and the promotion does not happen, it might create problems. Option 3 is the best choice as you are not sure
whether the resource will get a promotion or get transferred. So, only after the promotion/transfer is confirmed, you should
ask her to hand over charge.

Question No : 193
As a project manager, you realize that managing project stakeholder expectations is an important priority. Which statement
on project stakeholders is NOT correct?
Choice 1 Negative stakeholders must be ignored if the project has to be successfully completed.
Choice 2 Stakeholders have varying levels of responsibility and authority when participating on a project and these can
change over the course of the project life cycle.
Choice 3 Some key stakeholders include project manager, operations management, project team, customers, and sponsor.
Choice 4 Stakeholder expectations may be difficult to manage, because stakeholders often have very different or conflicting
objectives.
Correct Choice : 1
Justification :
In the case of stakeholders with positive expectations for the project, their interests are best served by making the project
successful.... In contrast, the interests of negatively affected stakeholders are served by impeding the project`s progress.
Overlooking negative stakeholders interest can result in an increased likelihood of failures, delays, or other negative
consequences to the project.

Question No : 194
In the project, the sponsor has provided a budget of $20 million. This is an example of a/an:
Choice 1 Constraint
Choice 2 Assumption
Choice 3 Kill point
Choice 4 Risk
Correct Choice : 1
Justification :
Constraint is a limiting factor that affects the execution of a project or process. Constraints identified with the project scope
statement list and describe the specific internal or external restrictions or limitations associated with the project scope that
affect the execution of the project, for example, a predefined budget or any imposed dates or schedule milestones that are
issued by the customer or performing organization.
Question No : 195
In your project, you need to verify whether deliverables meet requirements and product acceptance criteria. For this
purpose, which of the following would you rely on?
Choice 1 Inspection
Choice 3 Observations
Choice 4 Focus groups
Correct Choice : 1
Justification :
Inspection includes activities such as measuring, examining, and validating to determine whether work and deliverables
meet requirements and product acceptance criteria.
Question No : 196
As the Project manager of a Satellite Uplink project, you have created a Schedule Management plan. You obtain the data
shown in the table below about three of the many Tasks you need to complete before Project Closure.(duration in days):
If these three tasks (i.e., Tasks A, B, and C) are not part of the critical path of a project, what is the PERT estimate for the
duration of the project?
Choice 1 22.5 Days

Choice 2 10.33 Days
Choice 3 32 Days
Choice 4 Cannot be determined
Correct Choice : 4
Justification :
Since the tasks are not on the critical path of the project, we cannot determine the PERT estimate for the duration of the
project. The PERT estimate can only be calculated for the critical path of the project.
Question No : 197
You are creating a cost management plan for your Six-Sigma project. In this context, which of the following statements
relating to creation of the cost management plan is inaccurate?
Choice 1 Specifies the precision level to which the schedule activity cost estimates will adhere
Choice 2 Establishes variance thresholds for costs
Choice 3 Defines formats for various cost reports
Choice 4 Uses preferred tools for cost estimating
Correct Choice : 4
Justification :
Cost management plan does not include cost estimation, i.e., tools for cost estimating are not used for creation of cost
management plan. These tools will be used in the Estimate Costs process.
Also, please refer to PMBOK® Guide - Fifth Edition, pages 200 and 201
Question No : 198
Which of the following statements about Control Quality is accurate?
A. Prevention refers to keeping errors out of the process, whereas inspection refers to keeping errors out of the hands of
the customer.
B. Attribute sampling determines whether the result conforms or not, and variables sampling determines the degree of
conformity.
C. Tolerances refer to a specified range of accepted results and control limits refer to thresholds, which can indicate
whether the process is out of control.
D. Control Quality is only performed during the Monitoring and Controlling phase of a project.
Choice 1 B, C and D
Choice 2 A, C and D
Choice 3 A, B and D
Choice 4 A, B and C
Correct Choice : 4
Justification :
Quality control should be used during the project executing and closing phases to formally demonstrate, with reliable data,
that the sponsor and/or customer`s acceptance criteria have been met.
Question No : 199
Two project team members disagree often on the best way to handle an issue. You ask them to look at the positives and
negatives of their approaches and submit their recommendations, which could be a "middle path". Which of the following
conflict resolution techniques have you used?
Choice 1 Smoothing
Choice 2 Compromising
Choice 3 Confrontation
Choice 4 Withdrawal
Correct Choice : 2
Justification :
Blake and Mouton have delineated five modes for handling conflicts as listed below:
 Withdrawal: Retreating or withdrawal from a potential disagreement.
 Smoothing: De-emphasizing or avoiding areas of differences and emphasizing areas of agreement.

 Compromising: Bargaining and searching for solutions that bring some degree of satisfaction to the parties in a
dispute. Characterized by a ‘’give and take’’ attitude.
 Forcing: Exerting one’s viewpoint at the potential expense of another. Often characterized by competitiveness and
a win-lose situation.
 Confrontation: Facing the conflict directly, which involves a problem solving approach, whereby affected parties
work through their disagreements.
Reference: Project Management - A Systems Approach to Planning, Scheduling and Controlling, pages 304-306
Question No : 200
Which of the following statements about communications management is incorrect?
Choice 1 Communication planning involves determining the information and communication needs of the stakeholders.
Choice 2 Communicating is the most critical skill for a project manager.
Choice 3 Project managers spend more than 90% of their time communicating.
Choice 4 To be effective, a project manager should control all communication channels.
Correct Choice : 4
Justification :
A project manager cannot control all the communication channels, because the number of such channels could be very
large. Also, the number of communication channels is fixed. For N people, the number of communication channels is N x
(N-1) / 2.
Importance of Communications Management
• Project managers spend more than 90% of their time communicating with team members and other project stakeholders
— internal (at all organizational levels) or external to the organization.
• The project manager should effectively and efficiently communicate with stakeholders.
• Managing communications is very vital for any project.
• Although the project manager should pay a lot of attention to managing communications, he cannot control all the
communications, because there are just too many channels. The formula used to calculate the total number of
communications channels is N (N-1)/2, where N refers to the number of stakeholders.
• The project manager uses a variety of communication methods to share information among stakeholders. He or she
should decide what, how, and when to use each communication method.
• A failure in communication can have a negative impact on the project.

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Question No : 1

Which of the following is NOT a characteristic of a project?

Choice 1 Constrained by limited resources

Choice 2 Planned, executed, and controlled

Choice 3 Creates a unique product or service

Choice 4 Ongoing and repetitive

Reference: PMBOK® Guide - Fifth Edition, page 3

Choice 2 WBS dictionary

Choice 3 PERT/CPM charts

Choice 4 Roles and responsibilities matrix

Reference: PMBOK® Guide - Fifth Edition, page 132

Choice 2 WBS Dictionary

Choice 3 PERT/CPM Charts

Choice 4 Roles and Responsibilities Matrix

Reference: PMBOK® Guide - Fifth Edition, page 132

Choice 1 Influencing the factors that create schedule changes

Choice 2 Determining if the project schedule has changed

Choice 4 Managing actual schedule changes as they occur

Choice 1 -75% to +90%

Choice 2 -25% to +75%

Choice 3 -10% to +25%

Choice 4 -5% to +10%

Reference: PMBOK® Guide - Fifth Edition, page 201

Choice 1 Control Chart

Choice 2 Ishikawa Diagrams

Choice 3 Pareto Diagrams

Reference: PMBOK® Guide - Fifth Edition, page 236

Choice 3 The project management team is a subset of the project team.

Reference: PMBOK® Guide - Fifth Edition, page 256

Choice 1 Communications management plan

Choice 2 Performance reports

Choice 3 Project records

Choice 4 Communications plan

Choice 1 Get a qualitative analysis of the risk

Choice 4 Determine which decision yields the greatest expected value

Reference: PMBOK® Guide - Fifth Edition, page 536

Choice 1 Mutually binding

Choice 3 Very detailed statement of work

Choice 4 Signatures of senior leadership of the buyer

Reference: PMBOK® Guide - Fifth Edition, page 533

The responsibility of stakeholder expectations management usually lies with the:

Choice 1 Project management team

Choice 2 Project manager

Choice 3 Project team

Choice 4 Project manager, project sponsor, and project management team

Reference: PMBOK® Guide Fifth Edition, page 406

Choice 3 Reject the product outright.

Reference: PMstudy.com comments

Choice 1 Conceptualizing, Initiating, Executing, Monitoring and Controlling, and Closing

Choice 2 Initiating, Planning, Executing, Monitoring and Controlling, and Closing

Choice 3 Initiating, Verifying, Executing, Monitoring and Controlling, and Closing

Choice 4 Initiating, Planning, Executing, Controlling, and Administrative Closure

Reference: PMBOK® Guide - Fifth Edition, page 5

Choice 1 Direct and Manage Project Work

Choice 2 Develop Project Management Plan

Choice 3 Monitor and Control Project Work

Reference: PMBOK® Guide - Fifth Edition, page 79

Choice 1 Control Scope

Choice 2 Collect Requirements