1. The terms of labor union contracts are considered ------------- in your project management plan.

1. Are not part of the project management plan.
2. Collective bargaining agreements.
3. Assumptions.
4. Stakeholders.
5. Constraints.

1. Regular and repeated operational activities are usually outside the scope of a project. Which of the following is the best answer regarding the relationship between projects versus operations?

1. Adjustments to budgets for operations have no impact on the funding available for the project budget.
2. Process improvement and project management activities must be kept separate.
3. Deliverables of projects may become an element within operations.
4. Product management is independent of project management.
5. The project manager does not need to be concerned about operational activities.

1. On the first day working in a new organization, you are given a new project. The project is in the design stage. What would you look at first?

1. Project Charter
2. Lessons Learned from Past Projects
3. Projects Requirements Document
4. Stakeholder Register
5. Design Documentation

1. Balance Score Cards are based on all of the following except
2. Customer,
3. Financial
4. Project Management Compensation
   1. D. Organizational Capacity for Learning/Growth
   2. E. Internal Business Process.

1. Which is not true of the project life cycle?
   1. Methodology depends on the organization.

1. Most organizations follow processes which do not require a project life cycle.
2. There are project phases.
3. The life cycle provides the framework for managing a project.
4. Methodology depends on the complexity of the project.

1. Which is not true of the generic life cycle?

1. Stakeholder influences, risk, and uncertainty are greatest at the start of a project.

2. Staffing peaks as the work is carried out.

3. Staffing levels stay the same during the entire life cycle.

4. Cost and staffing levels are low at the start. 5. Uncertainty decreases at the end of the project.

1. What is the next present value for a project with the following cash flows? It is a discount rate of 10%. T0 outflow = $130,000. T1 inflow = $65,000. T2 inflow = $65,000.

1, $190.

2, - $20,190.

3, $0.

4,- $17,190.

5,- $190.

To find the next present value after the initial outflow at \(T_0\), we calculated the present values of the cash flows at \(T_1\) and \(T_2\) in the previous steps:

- \(PV_{T1} \approx \$59,090.91\)

- \(PV_{T2} \approx \$53,719.01\)

The total of these present values is approximately $112,809.92.

The initial outflow at \(T_0\) is $130,000.

To find the next present value after the initial outflow, we subtract the sum of the present values of \(T_1\) and \(T_2\) from the initial outflow:

\[PV_{T0} = 130,000 - (59,090.91 + 53,719.01) = 130,000 - 112,809.92 = \$17,190.08\]

So, the correct option for the next present value after the initial outflow of $130,000 is *4, -$17,190*.

8. Which is an advantage of a matrix organizational structure?

1. Canaries who join the project.
2. Ideas tend to be functionally oriented with little regard for ongoing projects.
3. The project manager maintains maximum project control.
4. Organizations can contribute required expertise on a given project.
5. Communication channels are established according to the functional hierarchy.

The advantage of a matrix organizational structure is *4. Organizations can contribute required expertise on a given project*. This structure allows pooling diverse skill sets from various departments or functional areas to enhance project performance and success by leveraging specialized knowledge and expertise.

9. A project charter is a document that

1. Incorporates an approved, integrated school schedule cost plan for the project work against which project's execution is compared to measure and manage performance.

2. Is not required for every project.

3. Is issued by the project initiator or sponsor and formally authorizes the existence of a project.

4. Collects formal documented procedures used to apply technical and administrative direction.

5. Is similar in the content to the project plan.

10. The Balance Scorecard must have these components.

A. Link to valid measures.

B. Qualified seller list.

C. List the options to make or buy, outscore or insource, etc.

D. Balance liabilities with assets.

E. Balance project management processes with the capability of the project's manager.

11. A car company authorizing an internal project to build more fuel-efficient cars in response to fuel shortages and the increased cost of fuel is responding to

1. None of the other reasons

2. A market demand

3. A customer request

4. Legal requirement

5. Technological advantage

12. To transfer more of the cost risk to a contractor on a project of a defined scope, the client may use a --------------- contract.

1. Go without a contract.

2. Cost plus award fee.

3. Cost plus incentive fee.

4. Fixed price.

5. Cost plus fixed fee.

13. The project manager would find team development the most difficult in which structure of organization.

1. Projectized organization

2. Weak matrix organization

3. Balanced matrix organization

4. Strong matrix organization

5. Tight matrix organization

14. Which is not true regarding a simple payback period calculation.

1. It works best when one spends money more and gets a return later.

2. It doesn't typically use a discounting method.

3. It is measured in time units.

4. It is measured in financial units. 5. It is considered one of the simpler financial tools.

Number 4 is not true. A simple payback period is measured in time units (such as months or years) and not in financial units.

15. The Stakeholder Management Strategy defines

1. The condition or capability that must be met or possessed by a system, product, service, result, or component to satisfy a stakeholder.

2. Defines the cost of the overall project.

3. The processes to purchase or acquire products and services from outside the project team.

4. An approach to increase the support of stakeholders and minimize negative impacts of stakeholders throughout the project.

5. Formally authorizes the existence of a project.

16. All these are effective methods of managing a virtual team except

1. Keep team members informed on how the project is going.

2. Establish clear norms and protocols for surfacing assumptions and managing conflicts.

3. Establish a general code of conduct.

4. Set clear rules for each team member.

5. Don't exchange social information.

17. The cost to make a change is the highest,

1. during the monitoring and control of the project,

2. during the indication phase of the project,

3. during the closing phase of the project,

4. during the planning phase of the project,

5. during the initiation phase of the project.

The cost to make a change is typically highest during the planning phase of the project. As the project progresses, changes become increasingly costly to implement, with the highest impact felt early on during planning when adjustments can affect various subsequent project aspects.

18. Business sustainability can be enabled by all of the following except

1. Delivering financial benefit

2. Reducing inequities among employees

3. Focus only on profit

4. Applying technology to solve issues

5. Considering social values

19. How many knowledge areas are currently listed in the PMBOK 6th edition?

1, 13,

2, 5,

3, 20,

4, 10,

5, 9.

20. Once a change is made to an organization, what would you do to make it stick over time?

1. Initiate a restructuring program to cut costs by 15%.

2. Recognize, reward, and model the new expected behaviors.

3. Appoint an auditor to assess how well the changes were made.

4. Appoint a dedicated change management team.

5. Demonstrate that progress is occurring through a series of quick wins.

Number 5: Demonstrate that progress is occurring through a series of quick wins is a strategy often used to solidify and make a change stick over time. It showcases the benefits of the change and reinforces its effectiveness within the organization.

21. Which statement is incorrect about balanced scorecards and dashboards?

1. Dashboards are data visualization tools.

2. Dashboards provide periodic information, while scorecards provide mere real-time information.

3. Scorecards are linked to business strategy.

4. Dashboards measure results relative to a project plan.

5. Scorecards usually have a broad audience.

22. From among the following activities, what is the best example of a project?

1. Producing automobiles.

2. Completing a college degree.

3. Developing a new product.

4. All these are good examples of projects.

5. Processing insurance claims.

Number 3, "Developing a new product," is the best example of a project. While the others involve ongoing or repetitive tasks, developing a new product typically has a defined start and end, making it a project with specific objectives to achieve within a set timeframe.

23.All of the following are advantages of the traditional functional organization, except

1. Minimal control of personnel

2. Command and control from top to bottom

3. Cost control

4. Well-established vertical communications channels

5. Technical control

24. All of the following are advantages of a projectized organization except

1. Department communication barriers are reduced

2. Customer focused

3. The functional manager controls the project budget

4. The project manager has strong authority with the project team

5. Decisions are made quickly

1. Which is a characteristic of a virtual team?

1. Leadership may focus on authority.

2. Team members in different locations may be organized in different ways.

3. Professional staff who work remotely generally do not need to be managed.

4. Team members meet face-to-face.

5. Team members work in close physical proximity with each other.

1. Which is not an attribute of a project?

1. The management of processes

2. Temporary undertaking

3. Creates a unique product, service, or result

4. Bound by time, cost, and functionality

5. Has a defined start and end.

Number 1, "The management of processes," is not an attribute exclusive to a project. While processes are managed within a project, this isn't a defining attribute of what constitutes a project.

1. In a project's RACI chart, the acronym stands for Required Accountable Consulted Interested

1. Responsible Accountable Consulted Informed

2. Rabbit-Apple-Cron Iteration

3. Responsible Accountable Considered Interested

4. Required Act Consulted Interested

5. Required Act Considered Invested

1. Why might a company outsource parts for all of a project to another company?

1. The project is not important.

2. Avoid sharing trade secrets.

3. Can transfer some risk to another company but not eliminate the risk.

4. Decrease profitability.

5. Eliminate task.

1. For a project to be successful, the project team must do all the tasks below except

1. Use a defined approach that can be adapted to meet the requirements

2. Meet stakeholder needs and expectations

3. Select appropriate processes required to meet the project objectives

4. Avoid conflict in team meetings and stakeholder meetings

5. Balance competing demands of scope, time, cost, quality

• Number 4, "Avoid conflict in team meetings and stakeholder meetings," is not entirely accurate. While minimizing conflict is beneficial, avoiding it completely might hinder healthy discussions and the exploration of differing viewpoints, which can be constructive for a project's success. Successful teams manage conflicts effectively rather than avoiding them entirely.

1. If the world outside your business is changing faster than the world inside your business

1. Complete all your projects and close your business

2. You have nothing to worry about

3. Then you have a sound and valid business model

4. It's not if you will fail, it's when you will fail

5. It's not when you will fail, it's if you will fail

1. As a change leader, when managing resistance to change, you will do all of the following except

1. Continue with effective communication strategies

2. Remove barriers to the change

3. When resistance begins, it needs to be dealt with immediately

4. Use a hands-off leadership style

5. Keep leaders focused on the change initiative

1. All of the items below are true of project stakeholders except

1. Cannot exert influence over the project deliverables.

2. May be negatively affected by the execution of a project.

3. Are actively involved in the project.

4. Can be an organization.

5. Can include the project team.

1. Which of the following strategies is likely the most effective in resolving inequities and perceptions of inequities in the workplace?

1. Define job requirements based on essential attributes only.

2. Ensure pay equity and fair task allocation.

3. All of these strategies.

4. Show loyalty, fidelity, and fairness to the employer and the customers.

5. Ensure no harassment in the workplace.

1. Based on the Harvard Business Review articles about ethics away from home, when it comes to shaping ethical behavior, companies must be guided by these principles except

1. Determine absolute moral threshold for business activities based on core human values.

2. Respect for core human values, human dignity, respect for basic rights and good citizenship.

3. Respect for local traditions.

4. The belief that context matters when deciding what is right and what is wrong.

5. Cultural relativism.

1. Your project is managed under a projectized organization. It has just entered the closure phase. What is your greatest concern?

1. Setting yourself up to take over another large project.

2. Managing the risk events of the project.

3. The team is not focused on completing the project.

4. You will have extra pressure from the customer.

5. Making sure your manager knows the project is almost completed.

In a projectized organization entering the closure phase, the greatest concern would likely be number 3: "The team is not focused on completing the project." This phase requires concentrated efforts to wrap up loose ends and ensure a smooth project closure, which might become challenging if the team loses focus or attention prematurely.

1. You need to select one of five possible projects, which is the highest priority project.

1. Project has NPV of $35,845 and will take 4 months to complete.

2. A project with weak links to the organization's strategic plans with a strong benefit-cost ratio of 1.77.

3. A three-month project with NPV of $86,263.

4. Project has NPV of $22,145 and will take 1 year to complete.

5. Project will take several months to complete with a cost-benefit of 0.5 and NPV of $46,836.

1. Under what circumstances is it better for a contractor to subcontract?

1. The subcontractor possesses special behavioral skills which the contractor does not have.

2. It is chance. It is changes to influential but may have longer, may take longer.

3. The subcontractor can do most of the work.

4. It is illegal to subcontract.

5. It is usually more costly to outsource.

1. The following are all examples of synchronous communication except

1. Video conference

2. Email

3. Conference call

4. Face-to-face meeting

5. Coffee break conversation

1. Your project is managed under a projectized organization. It has just entered the closure phase. What is your biggest concern?

1. Setting yourself up to take over another large project.

2. Managing the risk events of the project.

3. The team is not focused on completing the project.

4. You will have extra pressure from the customer.

5. Making sure your manager knows the project is almost completed.

1. How is accountability different from responsibility?

1. Accountability is about completing assigned tasks.

2. Accountability and responsibility are the same.

3. Responsibility, not accountability, rests with the president of a company.

4. Accountability cannot be shared with another person.

5. Accountability carries no liabilities.

Accountability and responsibility differ in that responsibility refers to tasks or duties assigned to an individual, while accountability involves answerability, ownership, or consequences for the outcome or completion of those tasks. Option 1, "Accountability is about completing assigned tasks," is not entirely accurate as it leans more towards responsibility rather than accountability.

1. Of the project management tasks listed below, which is progressively elaborated,

1. Interfacing with the Project Manager Office PMO

2. Planning

3. Communication to Stakeholders

4. Lessons Learned

5. Reviewing Team Development