CW Questions 02 Flashcards
Of the following, which best describes a secondary risk?
(A) A vendor was unable to fulfill a contract commitment by the due date in the contract
(B) A vendor was unable to fulfill a contract commitment by the due date in the contract due to a strike
(C) A vendor was unable to fulfill a contract commitment by the due date in the contract because a sub-contractor delivered a defective product
(D) A vendor was unable to fulfill a contract commitment by the due date in the contract, so the team chose another vendor which also could not meet the due date because of the late start
Correct Answer: (D) A vendor was unable to fulfill a contract commitment by the due date in the contract, so the team chose another vendor which also could not meet the due date because of the late start
Explanation: Secondary risk is what occurs when a risk event occurs and its response creates new risk. [section 11.6.2]
The project utilizes a vendor to provide the technicians for a national network upgrade project. The buyer agrees to pay the vendor an incentive fee. Of the following, which is the most logical reason the buyer would pay the fee?
(A) The buyer wants to ensure that the vendor will be responsive to any issues that arise during the upgrade
(B) The buyer wants to ensure that the vendor’s standard of productivity is aligned to that of the buyer
(C) The buyer wants to ensure that the vendor will work well with the buyer’s employees
(D) None of the answers
Correct Answer: (B) The buyer wants to ensure that the vendor’s standard of productivity is aligned to that of the buyer
Explanation: Incentive fees are used by the buyer to get the seller aligned to a standard of productivity similar to the buyer’s. All the other answers are noise. [section 12.1.6]
The data warehouse project is falling behind schedule. There has been confusion on the project between the team and the Project Manager. There has been major rework on the first two work packages. The combination of this confusion and rework will result in at least a two-month delay. During a conversation with the CEO, the CEO tells the Project Manager that she had been speaking to another Project Manager who said he heard that the project was going well. What is the best response the Project Manager can make?
(A) He should nod and ask what effect the CEO feels the economic down-turn will have on the business
(B) He should tell her that the update will be in the status report due at the end of the month
(C) He should tell her that the other Project Manager is very knowledgeable and move on to another subject
(D) He should tell her that there is a two-month delay due to required rework
Correct Answer: (D) He should tell her that there is a two-month delay due to required rework
Explanation: It is the responsibility of the Project Manager to accurately communicate the project status. This responsibility includes being proactive. The other answers are irresponsible. [section 13.5.1]
Which of the following stakeholders typically "owns" the work of the project when the project is complete? (A) Stockholders (B) The Project Manager (C) Functional manager (D) Operations management
Correct Answer: (D) Operations management
Explanation: Notice the word “typically”. Virtually anyone could own the work, depending on the nature of the project and the product. However, operations management accepts the product from project management, and then operations management incorporates the product or service into normal operations, as well maintains the product or service. [section 3.12, section 3.4.5]
As a best practice, who should create the project management plan?
(A) Project Manager alone
(B) Project Manager and the project management team
(C) The Project Manager, the project management team, and the owner of the project
(D) The project owner alone
Correct Answer: (B) The Project Manager and the project management team
Explanation: The Project Manager and team should create the project management plan and the estimates that feed into it. They are the people doing the work, so they should have the opportunity to estimate and plan it. The other answers are noise. [section 4.4.1]
Which of the following describes a work breakdown structure (WBS)?
(A) The work should be decomposed to a realistic level of detail.
(B) If the work is not listed in the WBS, it is not in the project.
(C) The accumulation of the work in the WBS should be equal to the work of the project.
(D) All the answers
Correct Answer: (D) All the answers
Explanation: A WBS includes all the work in the project. If it is not listed in the WBS, it’s not part of the project. A WBS should be decomposed to a realistic level of detail. Not breaking it down sufficiently opens the way for work to slip through the cracks. Breaking it down into too much detail can result in micro-management. The work listed in the WBS should exactly correspond to the work that is in the project. [section 5.3.1]
Using the original network diagram question, what is the slack of Activity D? (A) Two days (B) One day (C) Four days (D) Not enough information
Correct Answer: (B) One day
Explanation: The longest path with Activity D on it is path BDG with a duration of 12 days. The critical path of BFG is 13 days. Subtracting the length of BDG from the critical path (13-12) shows a difference of one day. This is the slack of Activity D. [section 6.5.7]
The project management team has performed earned value analysis on its project and discovered that the project is behind schedule and over budget. The SPI is 0.82 and the CPI is 0.73. The team is trying to determine how efficient it needs to be with the remaining resources on the project to complete the project on budget. Which of the following is the team trying to calculate? (A) Cost variance (B) Cost performance index (C) Estimate to complete (D) To complete performance index
Correct Answer: (D) To complete performance index
Explanation: The to complete performance index or TCPI shows the efficiency needed of the remaining resources to come in on budget. Cost variance shows the difference between work done and what was paid for it. Cost performance index shows the ratio between the work done and what was paid for it. Estimate to complete shows the amount remaining to be spent based on the current spending efficiency (CPI). [section 7.14.2 and 7.15]
The project is going through the Perform Quality Control process. Which of the following is a key tool that will be utilized in this process and why?
(A) Flowcharting shows what areas are causing the most issues and point to what needs it most on the project
(B) A cause and effect diagram (also known as Ishikawa and Fishbone) helps to isolate any potential problems that relate to quality on a project
(C) The control chart helps to verify that the process is followed accurately
(D) A Pareto chart shows output over time so monitoring for variance and trends can be completed
Correct Answer: (B) A cause and effect diagram (also known as Ishikawa and Fishbone) helps to isolate any potential problems that relate to quality on a project
Explanation: A cause and effect diagram (also known as Ishikawa and Fishbone) helps to isolate any potential problems that relate to quality on a project. The other answers are noise because their descriptions are inaccurate. [section 8.10]
Senior management has promoted their best electrical engineer to the position of Engineering Project Manager. The promotion was based on the Halo Theory. Of the following, what is the best definition of the Halo Theory?
(A) An effective employee in a discipline will become an effective employee in another discipline
(B) An effective employee in a discipline will become an effective manager in that discipline
(C) An effective employee in a discipline will become an effective employee in another discipline with training
(D) An effective employee in a discipline will become an effective manager in that discipline with training
Correct Answer: (B) An effective employee in a discipline will become an effective manager in that discipline
Explanation: The Halo Theory implies that supervisors often rate employees as having wholly desirable traits, or wholly undesirable traits. Making the assumption that an effective technical employee (a single favorable characteristic) WILL transfer to an effective project manager is an example of this bias. The other answers are noise. [section 9.2.3]
The marketing brochure redesign project is entering the Manage Stakeholder Expectations process. What are the key tools and techniques the Project Manager can apply during this process to effectively manage stakeholder expectations?
(A) Communications methods, communications skills, and management skills
(B) Communications methods, analysis skills, and management skills
(C) Communications methods, interpersonal skills, and management skills
(D) Communications methods and management skills
Correct Answer: (C) Communications methods, interpersonal skills, and management skills
Explanation: Communications methods, interpersonal skills, and management skills are the key tools and techniques available for use during the Plan Communications process. [section 10.6]
If a risk on the project has a high probability of occurring and a high impact if it does occur, the project team will more than likely do what? (A) Determine the insurable risk amount (B) Perform Qualitative Risk Analysis (C) Determine the pure risk amount (D) Perform Quantitative Risk Analysis
If a risk on the project has a high probability of occurring and a high impact if it does occur, the project team will more than likely do what? (A) Determine the insurable risk amount (B) Perform Qualitative Risk Analysis (C) Determine the pure risk amount (D) Perform Quantitative Risk Analysis
You are the Project Manager on a defense project. The buyer wants to get an idea of how much he will pay for cost overruns. With the following variables, calculate the point of total assumption: Expected Cost=$125,000; Expected Profit=$25,000; Target Price=$150,000; Buyer/Share Ratio=65/35%; Ceiling Price=$162,500; Maximum Overrun=130%. (A) $144,230.77 (B) $137,019.23 (C) $151,442.31 (D) $129,807.69
Correct Answer: (A) $144,230.77
Explanation:
The formula for point of total assumption (PTA) is as follows:
((Ceiling Price-Target Price)/Buyer Share)+Target Cost.
$144,230.77 = (($162,500 - $150,000)/0.65) + $125,000
[section 12.1.8]
As part of professional and social responsibility, a Project Manager must balance the stakeholder’s interests. A customer has requested a change in a project that is in the beginning stages of closure. What is the first thing that the Project Manager should convey to the customer?
(A) That she will add the requested changes to the project (B) That she will not add the requested changes to the project because it is about to close (C) That she will check with senior management to determine if the changes may be added (D) That she will need a product description so she can provide the customer with time and cost estimates
Correct Answer: (D) That she will need a product description so she can provide the customer with time and cost estimates
Explanation: The Project Manager should let the customer know that she will need a product description so she can provide the customer with time and cost estimates, forcing the customer to define the change and evaluate the impact on the project. Conveying that she will add the requested change to the project is a form of gold plating unless it is an approved change. Conveying that she will not add the requested change because the project is closing is not the responsibility of the Project Manager. It is the customer’s decision to implement changes. Conveying that she will check with senior management about the requested change is incorrect because any changes must be approved by change control management. [section 13.2.1]
What is the difference between a project management life cycle and a project life cycle?
(A) They are the same. (B) The project management life cycle is the project management piece of the project and the project life cycle is the process of completing the work of the project. (C) The project management life cycle is done in the project and the project life cycle is done after the project is complete. (D) The project management life cycle is the process of completing the work of the project and the project life cycle is the project management piece of the project.
Correct Answer: (B) The project management life cycle is the project management piece of the project and the project life cycle is the process of completing the work of the project.
Explanation: The project management life cycle (PMLC) is the project management methodology used on a project. The project life cycle applies to whatever is being built. It can be the software approach for a software project or a building approach for construction. [section 3.1]
