QUIZ 01 ONLINE (MGMT627)/ 45 minutes Time.

Please mention whether following statements are true or false.

1.A proposal project requires forming a team of the representatives for sales, project management, technical and support functions.

2.A carefully conceived financing package is often a proposal requirement.

3.Purpose of planning is to facilitate later accomplishment.

4.Effective total program planning can be accomplished without all of the necessary information becomes available at project initiation.

5.The IRR for a project is the initial fixed investment in the project divided by the estimated annual net cash inflows from the project.

6.The output of IRR is the number of years required for the project to repay its initial fixed investment.

7.Payback method assumes that the cash inflows will persist at least long enough to pay back the investment.

8.Payback method ignores any cash inflows beyond the payback period.

9.IRR is often mistaken as the reciprocal of the payback period.

10.The average rate of return is the ratio of the average annual profit (either before or after taxes) to the initial or average investment in the project.

Part 2

1. The classic triple constraint standard for project performance is composed of time,

cost, and client acceptance.

2. The initial goal and technical specifications of the project are developed during

the planning stage.

3. A companys culture has little impact on whether projects are successfully

implemented.

4. In general, product life cycles are becoming shorter and product launch windows

are becoming wider

5. The stages in a projects development are known as a(n) Project life cycle.

6. Detailed specifications, schematics, and schedules are all developed during the

conceptualization stage.

7. The degree of risk associated with the project is at it highest during the Planning

stage.

8. Most companies are well suited to allow for successful completion of projects in

conjunction with other ongoing corporate activities.

9. Stakeholder analysis looks at a projects customers and determines whether their

needs are being met.

10. Policies and procedures are examples of an organizations external environment.

11. A Project Management Office is designed to oversee or improve the management

of projects without stripping responsibility from the project manager.

12. Functional departments maintain control over their resources and are responsible

for managing their components of the project in a weak matrix.

13. Mission is the highest priority among strategic choice elements.

14. The efficient frontier in a profile model is the set of options that offers a

maximum return for a given level of risk or a minimum risk for every level of

return.

15. The most important thing to remember when using project selection models is to

be consistent and objective.