CW Questions 11 Flashcards

1
Q

The Project Manager for the electric engine improvement project has implemented a work authorization system. What is the main benefit of utilizing a work authorization system?

(A) To show what work is to be done during the project
 	(B) To show who is responsible for what work
(C) To control gold plating
(D) To serve as a time-tracking system
A

Correct Answer: (C) To control gold plating

Explanation: The question focuses on the benefit, as opposed to the purpose, of a work authorization system. To Work Authorization System sections or releases certain work to be done at a certain time in a certain order by a particular organization. The primary benefit of the system is to minimize gold-plating on a project which can occur if this control mechanism is not in place. The work breakdown structure (WBS) shows what work is to be done on the project. The responsibility assignment matrix (RAM) shows who is responsible for what work. “To serve as a time-tracking system” is noise. [section 4.5.1]

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2
Q

The project to consolidate the accounting departments of two recently merged hospitals is extremely complex. The Project Manager and his team are keenly aware of the importance of properly decomposing the work of the project. If they decompose the work beyond work packages, what is the likely result?
(A) The application of rolling wave planning
(B) The creation of activity lists
(C) A variance in the scope definition
(D) The creation of the WBS dictionary

A

Correct Answer: (B) The creation of activity lists

Explanation: If they decompose the work beyond work packages, the creation of activity lists is the likely result. This occurs in the Define Activities process in the Time knowledge area. [section 5.3 and 6.1]

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3
Q

Of the following statements about the critical path, which is accurate?
(A) There can only be one critical path per project
(B) If ahead of schedule, a project can have negative slack
(C) The least project risk occurs on the critical path
(D) The critical path is the longest path on the project network diagram

A

Correct Answer: (D) The critical path is the longest path on the project network diagram

Explanation: The critical path is the longest path on the project network diagram. If the project is behind schedule, there can be negative slack. The greatest project risk occurs along the critical path. [section 6.5.5]

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4
Q
The highway project is in the middle of Planning when the Project Manager presents a status reporting method to the team.  The team members haven't heard of this method before.  It's called earned value.  To attain buy-in from the team, the Project Manager begins to explain what earned value status reporting can do for the project, explaining that it will measure which of the following?
	(A) Time and cost
 	(B) Scope, time, and cost
	(C) Scope and cost
	(D) Scope and time
A

Correct Answer: (B) Scope, time, and cost

Explanation: Earned value deals with scope, time, and cost. Actual cost (AC) show cost. Planned value (PV) shows time. Earned value (EV) shows scope. The formulas that works with these three variables show how the three are interacting together. [section 7.14.1]

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5
Q
You are performing the Plan Quality process on a project.  The sponsor puts into the project charter that the quality standard wanted on the project is +/- 2 Sigma.  This translates to what %?
	(A) 68.26%
 	(B) 95.46%
	(C) 50%
	(D) 99.73%
A

Correct Answer: (B) 95.46%

Explanation: The percentage for 1 Sigma is 68.26% for 2 Sigma is 95.46% and for 3 Sigma is 99.73%. 50% is noise. [section 8.8.10]

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6
Q

The Project Manager of the systems upgrade project uses a variety of power types. Which of the following is an example of Formal power?
(A) The Project Manager instructs the team leaders to prepare status reports for the weekly meeting
(B) The Project Manager takes the most productive team member to lunch at an expensive restaurant
(C) The Project Manager announces that those who do not complete their tasks in a timely manner without sacrificing quality will be ineligible for a bonus
(D) The Project Manager’s degree and prior work experience were in systems engineering

A

Correct Answer: ((A) The Project Manager instructs the team leaders to prepare status reports for the weekly meeting
Explanation: Formal power is derived from the project charter for the Project Manager. Reward power comes form the Project Manager’s ability to reward an employee for good work. Penalty power comes from the Project Manager’s ability to penalize an employee when his work is inadequate. Expert power derives from expertise in discipline. [Section 9.1.10]

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7
Q

The reservation system has been working well. Today, the main database engine crashed, preventing the airline from creating reservations for its flights. The risk response didn’t fix the problem, so the airline must respond. Which of the following should it perform first?
(A) Fix the problem with a workaround
(B) Determine why the risk response plan failed
(C) Adjust the risk response plan
(D) Determine why the problem occurred

A

Correct Answer: (A) Fix the problem with a workaround
Explanation: This is a chicken or the egg question in that you more than likely will do all the answers, but what comes first? Fixing the problem, then determining why the risk responses plan failed, and why the problem occurred, then adjusting the risk responses plan is the sequence for the other answers. [section 11.6.3]

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8
Q
A city is buying services from a construction company to build a new freeway for $4M over three years.  At the start of each year, the amount fluctuates relative to the national cost of living.  This is an example of what type of contract? 
	(A) Cost-plus-economic-price-adjust
 	(B) Cost-plus-incentive-fee
	(C) Fixed-price-cost of living-adjust
	(D) Fixed-price-economic-price-adjust
A

Correct Answer: (D) Fixed-price-economic-price-adjust
Explanation: A fixed-price-economic-price-adjust contract is a contract that generally has a fixed price, but because of contract length will adjust year-by-year as a neutral economic indicator moves upward or downward [section 12.1.6]

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9
Q

During a meeting you discover that a Project Manager has prepared a report which states that a project had a SPI of 1.2. You also learn that the way the Project Manager was calculating earned value was not correct and that the project is behind schedule. What is your professional and social responsibility toward this Project Manager?
(A) Report the Project Manager to the sponsor
(B) Mentor the Project Manager on the correct way to calculate earned value
(C) Mentor the Project Manager on the correct way to calculate earned value and review with him what he is reporting
(D) Review with the Project Manager what he is reporting

A

Correct Answer: (C) Mentor the Project Manager on the correct way to calculate earned value and review with him what he is reporting
Explanation: Part of professional and social responsibility is to review the conduct of other PMPs and mentor them. Reviewing what is being reported helps you provide feedback that they are managing the project correctly and improving their skills. Reporting the Project Manager to the sponsor has no effect [section 13.1.3]

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10
Q

Which of the following uses cross-functional work teams?
(A) A data warehouse practice
(B) An offshore company
(C) A project that utilizes all groups across a company
(D) Union-approved workplaces

A

Correct Answer: (C) A project that utilizes all groups across a company
Explanation: A project that utilizes all groups across ac company utilizes cross-functional teams to take advantage of the knowledge and skills available. A data warehouse practice is likely projected organization. An offshore company is too vague an answer. “Union-approved workplaces” is noise. [section 3.6.2]

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11
Q

Your supervisor asks for a copy of the project management plan and when you provide it to him, he says, “I didn’t ask for all this information! Just give me what I asked for!” You don’t understand why he is saying this. Which answer below best describes this situation?
(A) He really wants a schedule, not a project management plan
(B) He lacks project management training
(C) There is a communication breakdown
(D) He really wants a synopsis of the project management plan which is called a project charter

A

Correct Answer: (A) He really wants a schedule, not a project management plan
Explanation: Many Project Managers incorrectly call a schedule a project management plan. The schedule is actually a part of the project management plan. The project management plan is a cumulative document that contains items such as the schedule, budget, project scope statement, work breakdown structure, change control procedures, and more. [section 3.6.2]

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12
Q

The WBS has been created for the textbook selection project and the team is creating the WBS dictionary. How will they go about this?
(A) By documenting the work packages and listing the organizations responsible for completion of the work
(B) By documenting the work packages, documenting the control accounts, and listing the organizations responsible for completion of the work
(C) By documenting the work packages, documenting the scope baseline, documenting the control accounts, and listing the organizations responsible for completion of the work
(D) By documenting the work packages, documenting the scope baseline, and listing the organizations responsible for completion of the work

A

Correct Answer: (C) By documenting the work packages, documenting the scope baseline, documenting the control accounts, and listing the organizations responsible for completion of the work
Explanation: The team will create the WBS dictionary by documenting the work packages, documenting the scope baseline, documenting the control accounts, and listing the organizations responsible for completion of the work [section 5.3]

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13
Q
The e-commerce project is six weeks behind schedule with five team members working on it.  Three of these team members are working on the critical path-related items.  What is the slack of the critical path? 
	(A) Negative six weeks
 	(B) 30
	(C) 0 (Zero)
	(D) Not enough information
A

Correct Answer: (A) Negative six weeks
Explanation: Technically, a critical path has a slack of zero. If the project is truly behind schedule, and the baseline date is still being used as the reference, the project could actually have a negative slack on the critical path. In this case, the negative slack is six weeks [section 6.5.5]

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14
Q
Activity A is worth $200, is 100% complete, and actually cost $200.  Activity B is worth $75, is 90% complete, and actually cost $120 so far. Activity C is worth $200, is 75% complete, and has cost $175 so far.  The total budget is $1,000.  What is the estimate at completion for the project? 
	(A) $1,100.04
 	(B) $690.63
	(C) $1,186.24
	(D) $1,000
A

Correct Answer: (C) $1,186.24
Explanation: To calculate this value, calculate the CPI first. To calculate the CPI, calculate earned value (EV) and actual cost (AC) first. To perform these calculations, multiply the percent complete of each activity by its planned value (PV) to obtain the EV for each activity. Sum the earned value of each activity to determine the total earned value. Sum the actual cost of each activity to determine the total actual cost. Divide the earned value of $417.50 by the actual cost of $495.00 to obtain a CPI of 0.843. Then, divide the BAC of $1,000 by the CPI to obtain an estimated at completion of $1,186.24. [section 7.14.2]

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15
Q

There is a variance in the manufacturing process that is causing concern among the team. Some results have been above the specification limits, and some within the control tolerances. You want to learn more about the output of the process over the last month. Which of the following items is the most useful for this purpose?
(A) Run chart because it indicates output over time and provides the opportunity to determine trends and variances
(B) Pareto diagram because the closer the percentages are on the separate problems, the easier it is to determine trends and variances
(C) Control chart because it indicates output and highlights trends and variances
(D) Scatter diagram because the closer the output resembles a diagonal line, the more obvious trends and variances

A

Correct Answer: (A) Run chart because it indicates output over time and provides the opportunity to determine trends and variances
Explanation: The run chart’s main purpose is to show output over time. This provides an opportunity to catch any trends and variances with the process. The Pareto diagram shows defect by count. A control Chart is the same as a run chart, but the reason given is not accurate. A scatter diagram indicates dependencies between variables. [section 8.10.11]

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16
Q

The retail network upgrade project has a number of key stakeholders who have provided input to the direction of the project. Which of the following best describes a stakeholder?

A

Correct Answer: (A) Someone who is impacted by the project
Explanation: The stakeholder is someone who is impacted by the work of the project. That can include stockholders, senior management, and functional management, the project manager, and many others. [section 3.5]

17
Q
Seven people report to the Project Manager.  Three more people are added to the project.  How many communication channels were added to the project? 
	(A) 56 channels
 	(B) 28 channels
	(C) 55 channels
	(D) 27 channels
A

Correct Answer: (D) 27 channels
Explanation: The formula for communication channels is N*(N-1)/2. First, calculate the number of communication channels based on the existing team 7 AND the Project Manager=8). That is 28 communication channels. Next, calculate the number of communication channels with the new people added. This is 55 communication channels. Finally, subtract the difference (55-28=27). [section 10.4.3]

18
Q

Perform Qualitative Risk Analysis uses a variety of tools for analysis. Which of the following is most closely associated with this process?
(A) A probability and impact matrix
(B) The expected monetary value (EMV) formula
(C) Templates for workaround documentation
(D) Risk trigger determination

A

Correct Answer: (A) A probability and impact matrix
Explanation: Perform Qualitative Risk Analysis uses a risk rating matrix to rank risks and create an overall risk rating for the project. Expected monetary value (EMV) is used in Perform Quantitative Risk Analysis. The other answers are noise. [section 11.4]

19
Q

The project will be using a company to provide the technicians for a national network upgrade project. Presently, the team is in the process of conducting a make-or-buy analysis. Per PMI, what is the primary factor that will influence the team’s decision?
(A) The comparison of skill sets between alternatives
(B) The comparison of resource availability between alternatives
(C) The comparison of costs between alternatives
(D) The comparison of experience between alternatives

A

Correct Answer: (C) The comparison of costs between alternatives
Explanation: The PMI exam assumes that cost comparison is the only factor considered during a make-or-buy analysis. In reality, skill sets, experience, and resource availability are also considered. [section 12.1.2]

20
Q

You are studying for your PMP Certification with a study group and a member of your study group says he has a copy of questions from a PMP Examination. You have been studying the PMI Code of Ethics and Professional Conduct. What is your primary responsibility as described by this document?
(A) Continue to study with them because it has not been proven that these are exam questions
(B) Inform the group that you cannot study with them because these could be exam questions
(C) Inform PMI of this possible violation
(D) Continue to study with the group because your exam time is next week

A

(C) Inform PMI of this possible violation