PMP & ITIL Study Guide

Question - 61

You are the project manager of a project which is scheduled to last for 18 months. You have elected to rent a piece of equipment for the duration of a project, even though you will need the equipment only for 6 months. The costs of the equipment rental per month are $120. This is an example of ___________.
1.Fixed Costs
2.Parametric Costs
3.Variable Costs
4.Parametric Budget

Correct Answers are : 1
Explanation : This is an example of Fixed Costs because $120 per month is fixed.

Question - 62

Three estimates are : Pessimistic (P) : 30 Most Likely (M) : 25 Optimistic (O) : 14 What is activity duration (PERT) ?
1.24
2.20
3.18
4.32

Correct Answers are : 1
Explanation : A is the correct answer. Activity duration (PERT)= (P + 4M + O) / 6 then (30+4*25+14)/6 = 144/6 = 24

Question - 63

If you are the project manager of a project and you changed the scope of a project by dropping some parts, you have ______________ the project.
1.Rewritten
2.Truncated
3.De scoped
4.Deleted

Correct Answers are : 3
Explanation : When you change the project plan by removing parts of the final deliverable, you have descoped the project.

Question - 64

What is the present value if the organization expects to make $500,000 three years from now and the annual interest rate is 4 percent?
1.$4000
2.$5000
3.$25000
4.$4500

Correct Answers are : 1
Explanation : Present Value = FV/(1+R)n. FV is the future value, R is the interest rate, and n is the number of time periods. 500000/(5*5*5) = 4000.

Question - 65

___________ is the process of performing the work defined in the project management plan to achieve the project's objectives.
1.Define Scope
2.Perform Integrated Change Control
3.Direct and Manage Project Execution
4.Monitor and Control Project Work

Correct Answers are : 3
Explanation : Direct and Manage Project Execution is the process of performing the work defined in the project management plan to achieve the project's objectives. (PMBOK page no, 114)

Question - 66

You are the project manager for the large Project. You are identifying external dependencies for the activities with management team. Identifying external dependencies are done in ______?
1.Define Activities
2.Sequence Activities
3.Develop Schedule
4.Control Schedule

Correct Answers are : 2
Explanation : B is the correct answer. Identifying external dependencies are done in Sequence Activities.

Question - 67

You are the project manager and decided to outsource a part of the project to a vendor. You have offered a bonus to the vendor if the work is completed in two months. This is an example of _____________.
1.project incentive
2.project goal
3.fixed price contract
4.fixed budget

Correct Answers are : 1
Explanation : This is an example of project incentive.

Question - 68

Development activities of a software projects is depends on the third party vendor, who provides hardware for this activity. Is called ______.
1.external dependencies
2.internal dependencies
3.Discretionary dependencies
4.All of the above

Correct Answers are : 1
Explanation : A is the correct answer. external dependencies are usually outside of project team control. PMPBOK Page no 171.

Question - 69

You are the project manager of the MKTG Project. This project will last for 1 year and it has many stakeholders. How often should Identify Risks take place?
1.Once at the beginning of the project
2.Throughout the execution processes
3.Throughout the QA processes
4.Throughout the project

Correct Answers are : 4
Explanation : Identify Risks is an iterative process that should happen throughout the project life. Identify Risks is an iterative process, involving the project team, management team, stakeholders and subject matter experts.

Question - 70

Overtime associated with the execution effort of a project is estimated at 120 hours with probability 0.5, 250 hours with probability 0.6, and 300 hours with probability 0.3. What is the monetary value of the amount of overtime?
1.300 hours
2.670 hours
3.250 hours
4.100 hours

Correct Answers are : 1
Explanation : The Monetary Value of the amount of overtime is (120 x 0.5) + (250 x 0.6) + (300 x 0.3) = 300 hours.

Question - 71

If you are the project manager of a project and you break down the WBS into smaller _______ to get detail so that you can construct a schedule.
1.Work packages
2.Section
3.Issues
4.Time

Correct Answers are : 1
Explanation : A is the correct answer. The work packages give you the detail you need to construct a schedule.

Question - 72

Which of the following tools are used in the quality plan?
1.Quality Checklists
2.Quality audits
3.Histogram
4.Process Analysis

Correct Answers are : 1
Explanation : Quality Checklists are used in the quality plan.

Question - 73

You are a project manager of a construction company. You want to know with whom you will be communicating during the project. Which of the below document you should refer to?
1.Project Plan
2.Scope Statement
3.Statement of Work
4.Project Charter

Correct Answers are : 2
Explanation : The project plan say what, when, and how much you will communicate. It also says with whom you will communicate during the project.

Question - 74

You are the project manager for a project to create a new product for the marketing industry. You recently came to know that a competitor is also working on a similar project with an additional web-based tool, which your project does not offer. You initiate a change request to update your project. This is an example of:
1.A change due to an external event
2.A change due to an error and omission in the initiation phase
3.A change due to an error or omission in the planning phase
4.A change due to a legal issue

Correct Answers are : 1
Explanation : The change is requested to remain competitive with the competition an external event.

Question - 75

A project team member, on his own initiative, added a new tool which was not part of the project plan. However, the team member decided that the tool was necessary to increase productivity. The project team's experts were in agreement with the decision. This is an example of _________?
1.Ineffective change control
2.Control Costs
3.Self led teams
4.Value added change

Correct Answers are : 1
Explanation : The project team member did not follow the change management plan's method of incorporating changes into the scope. This is an example of Ineffective change control.

Question - 76

You are the project manager for the large Project. You have identified and documented relationship among the project activities and created project schedule network diagram. What is your NEXT step ?
1.Define Activities
2.Sequence Activities
3.Develop Schedule
4.Control Schedule

Correct Answers are : 3
Explanation : C is the correct answer. project schedule network diagram is input of Develop Schedule. PMBOK Page no 168.

Question - 77

You are a project manager and the project is to install ACs into hotel rooms. You did project cost and time estimates and informed the customer that the project estimates will be accurate if the requirements such as wooden coating are met. This is an example of which of the following?
1.Risk
2.Assumption
3.Constraint
4.Budget analysis

Correct Answers are : 2
Explanation : This is an example of assumption because estimates provided will be accurate if the rooms meet the requirements like (wooden coated). A and C are incorrect because the scenario did not describe a risk or constraint.

Question - 78

Change Request is an input of _________.
1.Define Scope
2.Perform Integrated Change Control
3.Direct and Manage Project Execution
4.Monitor and Control Project Work

Correct Answers are : 2
Explanation : Change Request is an input of Perform Integrated Change Control. (PMBOK page no, 104)

Question - 79

If the project is terminated early, then the level and extent of completion should be documented. This is done as a part of:
1.Collect Requirements
2.Control Scope
3.Verify Scope
4.Define Scope

Correct Answers are : 3
Explanation : Verify Scope

Question - 80

You are the project manager and have been assigned a new project. You have a good relation with the sponsor and senior management. Your senior management and sponsor forcing you to start the project imediately. What is your response ?
1.Start project imediately because your senior management is asking the same.
2.Require a project charter be written and signed off on by all stakeholders before proceeding.
3.Suggest that a scope statement be written.
4.Suggest that a project plan should be written.

Correct Answers are : 2
Explanation : The project should be start with a project charter that authorizes the project to begin, assigns the project manager, and describes the project objectives and business need for the project.