PMP & ITIL Study Guide

Question - 41

Which of the following are output of the Collect Requirements Process?
1.Requirements Documentation
2.Requirements Management Plan
3.Requirements Tractability Matrix
4.All of the above

Correct Answers are : 4
Explanation : The output of Collect Requirements Process are: requirements documentation (stakeholders needs), the requirements management plan (how the requirements will be analyzed and documents), and the requirements traceability matrix (tracking of requirements throughout the project).

Question - 42

In which of the quality management process, cause and effect diagram is used to illustrate how various factors might be linked to potential problems or effects?
1.Plan Quality
2.Perform Quality Assurance
3.Perform Quality Control
4.Quality

Correct Answers are : 3
Explanation : The cause and effect diagram is a tool and technique to perform Quality Control . PMBOK Page no 222.

Question - 43

You are a project manager of a large project and you are identifying some alternative techniques to generate different approaches to execute and perform the work of a project. You are doing it as a part of:
1.Collect Requirements
2.Control Scope
3.Verify Scope
4.Define Scope

Correct Answers are : 4
Explanation : This is call an Alternative Identification in the Define Scope process.

Question - 44

At what part of the Procurement Management process does procurement negotiations happen?
1.Plan Procurements
2.Conduct Procurements
3.Administer Procurements
4.Close Procurements

Correct Answers are : 2
Explanation : The negotiations happen at the Conduct Procurements of the Procurement process.

Question - 45

Which type of contract has the highest risk for the seller?
1.Reimbursed time
2.Time and materials
3.Fixed price
4.Reimbursed cost

Correct Answers are : 3
Explanation : In Fixed price contract, the seller assumes the greatest risk because the price is fixed and not going to change. Fixed price- A fixed total price for a well-defined product may include incentives for meeting or exceeding selected project objectives.

Question - 46

Which of the following is NOT part of the Perform Quality Control process?
1.fishbone diagram
2.Quality audits
3.Pareto Diagram
4.Histogram

Correct Answers are : 2
Explanation : Quality audits are part of the Perform Quality Assurance process.

Question - 47

Who should be consulted when establishing communication requirements in addition to stakeholders?
1.The customer
2.The project manager
3.The sponsor
4.Management

Correct Answers are : 2
Explanation : The project manager should be consulted when establishing communication requirements in addition to stakeholders because project manager has very important role in establishing communication requirements.

Question - 48

You are a project manager of a company and you are assigned to a project that has already decided to be outsourced. As a project manager, you need to organize a formal bid process and select the vendor for this project. You own stock in one of the vendor companies who also participated in the bidding process. What is the BEST course of action for you?
1.Get the vendor company selected for the project.
2.Keep the information to yourself.
3.Tell your manager and remove yourself from the vendor selection committee.
4.Ask other members of the selection committee to select your vendor company.

Correct Answers are : 3
Explanation : The best option is to tell your manager and remove yourself from the vendor selection committee.

Question - 49

Which of the following communication method is widely used to explain complex problems?
1.Written
2.Verbal
3.Formal
4.Non formal

Correct Answers are : 1
Explanation : Written is the best option.

Question - 50

You are the project manager and you have to choose the best project from available choices. Which of the folowing is the BEST choice?
1.Benefit cost ratio (BCR) of project A is 2.5
2.Benefit cost ratio (BCR) of project B is 2.1
3.Benefit cost ratio (BCR) of project C is 0.6
4.Benefit cost ratio (BCR) of project D is 1.5

Correct Answers are : 1
Explanation : Benefit cost ratio (BCR) : A ratio describing the relationship between the cost and benefits of a proposed project. A BCR less than 1 is unfavorable; the higher the BCR, the better.

Question - 51

You are project manager and need as many as inputs is possible in the initiation phase. Which of the following is the best source of information for your project?
1.Historical Information
2.WBS
3.Business Plans
4.Project Closure Document

Correct Answers are : 1
Explanation : Historical information is the best input for the initiation phase. WBS is incorrect as the WBS would not be ready. Business is incorrect as business plans are not a likely input to the initiation process.

Question - 52

In which of the following contract types the seller's profit is limited?
1.Cost-plus-percentage-cost contract
2.Cost-plus-fixed-fee contract
3.Firm Fixed price contract
4.Fixed-price-incentive fee contract

Correct Answers are : 2
Explanation : Cost-plus-fixed-fee contract and Cost-plus-incentive-fee contract where seller's profit is limited

Question - 53

You have elected to use parametric modelling in your Estimate Costs for the project. Which one of the following is an example of parametric modelling?
1.$120 per kg
2.Historical information from a similar project
3.Estimates built from bottom-up based on the WBS
4.Estimates based on top-down budgeting

Correct Answers are : 1
Explanation : A is correct; $120 per ton is an example of parametric modelling. Parametric modelling: Using project characteristics (or parameters) in a mathematical model to predict costs (e.g., price per square foot). B is incorrect, as historical information is analogous, not parametric. C is incorrect; bottom-up estimating is not a parametric modelling. D is incorrect, top-down budgeting is related to analogous estimating .

Question - 54

When the performing organization lacks in-house staff to complete a project, the required services can be acquired from outside. This is called ________.
1.Virtual Teams
2.Acquisition
3.Pre-Assignment
4.All of the above

Correct Answers are : 2
Explanation : B is the correct answer. Acquisition: When the performing organization lacks the in house staff needed to complete the project, the required services can be acquired from outside sources.

Question - 55

A project manager determines the number and types of tests and their impact on cost of quality. This task belongs to ___ process.
1.Plan Quality
2.Perform Quality Control
3.Perform Quality Assurance
4.Identify risk

Correct Answers are : 1
Explanation : Determining the number and types of tests and their impact on cost of quality is called Design of experiments which is done in Plan Quality process. PMBOK page no 228.

Question - 56

Control chart helps:
1.determine if the process is "in control"
2.how various elements of a system are interrelated
3.show trends in a process over time
4.shows the pattern of a relationship between two variables

Correct Answers are : 1
Explanation : Control Charts: Control charts are graphic display of the results over a time of a process. They are used to determine if the process is "in control".

Question - 57

You are a project manager for a project. While reviewing the cost estimates for the project, you notice that one of the cost estimates for an element in the WBS is 20% higher than the previous project for a very similar work. What should you do next?
1.Accept the estimate.
2.Ask the person responsible about the difference.
3.Ignore it.
4.Reduce the estimate.

Correct Answers are : 2
Explanation :

Best option is to ask the person responsible about the difference and create the most accurate estimate that is practical.

Question - 58

Which of the following is a common problem in administrative closure?
1.Completing a project charter
2.Retaining resources to complete the project
3.Completing a project plan
4.Completing a QA plan

Correct Answers are : 2
Explanation : The biggest problem is retaining team members until closure of the project.

Question - 59

A unilateral contract under which the seller is paid a preset amount per unit of service is called __________
1.A cost reimbursable contract
2.A lump sum contract
3.A time and material contract
4.A fixed price contract

Correct Answers are : 3
Explanation : A unilateral contract under which the seller is paid a preset amount per unit of service is called time and material contract.

Question - 60

Your project has a budget of $10,000 and is expect to last for 1 year, with the work and budget spread evenly across all months. Right now CPI is 0.8. What is Variance at Completion in this case?
1.-$2,500
2.$10,000
3.$12,500
4.$12,000

Correct Answers are : 1
Explanation : Variance at Completion = BAC - EAC Estimate at Completion (EAC) = BAC / CPI = $10,000 / .8 = $12,500 Variance at Completion = $10,000 - $12,500 = -$2,500