Practice Live Questions - S7

The risk will be identified during which risk management process(es)?

• Perform Quantitative Risk Analysis and Identify Risks

• Identify Risks and Monitor and Control Risks

• Perform Qualitative Risk Analysis and Monitor and Control Risks

• Identify Risks

When estimating time for activities, a Project Manager should:

• Use the best guess and estimate all activities since there will be changes as the project progresses and more information becomes available

• involve people who will be doing the work to get estimates

• Estimate for what the cost will allow and include buffers

• None of the above

You are running a project to engineer and implement a set of business processes and a software solution for customer relationship management. The project involves a large number of organizations―a major corporation and many suppliers of different sizes. During the project, you observe the effects of the differences between the companies’ corporate cultures. This leads to different expectations on how the project should be handled—as well as to frequent misunderstandings between stakeholders. Another effect is a growing degree of distrust and skepticism. What should you try first to integrate the diverse stakeholder groups?

• Focus on project work. As a project manager, you should not get distracted by big egos.

• Let the problems grow further until they are obvious for all. Then escalate them.

• Develop a joint quality policy for the project and seek a commitment by all organizations.

• Analyze the probability and impact of the risks linked with the situation and plan how to respond to them.

You are finding it difficult to evaluate the exact cost impact of risk. You should evaluate on a(n) :

• Quantitative basis

• Numerical basis

• Qualitative basis

• Economic basis

During which risk management process is a determination to transfer a risk made?

• Identify Risks

• Perform Quantitative Risk Analysis

• Plan Risk Response

• Monitor and Control Risks

An accepted deadline for a project approaches. However, the project manager realizes only 75% percent of the work has been completed. The project manager then issues a change request

What should the change request authorize?

• Additional resources using the contingency fund

• Escalation approval to use contingency funding

• Team overtime to meet schedule

• Corrective action based on causes

What is the main objective of validate scope process?

• Project scope statement is prepared

• Deliverables are produced

• Deliverables are tested and checked whether scope is met or not

• Deliverables are accepted by the stakeholders

Crashing describes a technique to speed up a project by…

• …reallocating existing resources or assigning additional resources to the project.

• …overlapping activities which were originally planned to be done in sequence

• …reducing the number of features of the product in order to reduce development work.

• …reducing the duration estimates for activities to increase the pressure applied to the staff.

Your management is applying the 10 percent solution: It has requested that you reduce the budget for the project which you are currently initiating by 10%. What will this probably mean for your project?

• If the budget is cut by 10%, then the project will have an accompanying degradation of quality by 10%.

• If the project budget is an honest one, then a reduction in budget must be accompanied by a trade-off in either time or performance.

• A 10% reduction in budget will be accompanied by a loss of performance much less than the target reduction in cost.

• Most projects have "padded" estimates, and the budgetary reduction will force out the padding from the project.

A project was budgeted at $1,000,000. Meanwhile, the project is executed, and the following current figures have been assessed: PV: $500,000 | EV: $450,000 | AC: $550,000

Assuming that the cost variance was caused by one-time cost drivers, which are no more effective, what estimate at completion (EaC) can you derive from these figures?

• $900,000

• $1,000,000

• $1,100,000

• $1,222,222