SCOPE MANAGEMENT

1. Decomposing the major deliverables into smaller, more manageable

components to provide better control is called:
a. Scope planning. b.
Scope denition. c.
Scope base lining.
d. Scope verication.
2.

Any numbering system that is used to monitor project costs by

category such as labor, supplies, or materials, for example, is called:
a.
b.
c.
d.

Chart of accounts.
Work breakdown structure.
Universal accounting standard.
Standard accounting practices.

3. A person who is involved in or may be affected by the activities or

anyone who has something to gain or lose by the activity of the project
is called a:
a.
b.
c.
d.

Team member.
Customer.
Stakeholder.
Supporter.

The following should be used for questions 4 through 6.

A project manager is assigned to a project early in the project life cycle. One
of the things that must be done is to do a justication for the project. Since
very little information is known about the project, the estimates are considered to be rough estimates. The following table is the project managers
estimate of the cash ows that will take place over the next ve years.
235

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Preparing for the Project Management Professional Certication Exam

End of Year

Cash Flow In

Cash Flow Out

1
2
3
4
5

0
300,000
400,000
100,000
50,000

500,000
90,000
100,000
175,000
35,000

4. What is the payback period for this project?

a. One year
b. Two
years
c. Three years
d. Four years
5. What is the net cash ow at the end of ve years?
a.
b.
c.
d.

50,000
-50,000
850,000
100,000

6. If the net present value for each of the cash ows were calculated at a
10% interest rate, the net present value cash ow at the end of ve
years would be:
a. Greater than the total cash ow without the net present value applied.
b. Less than the total cash ow without the net present value applied.
c. The same as the total cash ow without the net present value applied.
d. Cannot be calculated with the information supplied.
7. A group of related projects that are managed in a coordinated way that
usually include an element of ongoing activity is called a:
a.
b.
c.
d.

Major project.
Project ofce.
Program.
Group of projects.

8. During the full life cycle of the project, a plot of the projects expected
expenditures will usually follow a characteristic S shape. This indicates that:
a. There is a cyclic nature to all projects.
b. Problems will always occur in the execution
phase. c. There are high expenditures during
closeout.
d. The bulk of the project budget will be spent in the execution phase.
9. A temporary endeavor undertaken to create a new product or service is
called a:
a.
b.
c.
d.

New product development.

Project.
Program.
Enterprise.

10. A project manager makes a narrative description of the work that must
be done for her project. This is called a:
a.
b.
c.
d.

Project plan.
Control chart.
Statement of work.
Project objective.

11. An example of scope verication is:

a.
b.
c.
d.

Reviewing the performance of an installed software module.

Managing changes to the project schedule.
Decomposing the WBS to a work package level.
Performing a benet-cost analysis to determine if we should proceed.

12. The process of establishing clear and achievable objectives, measuring

their achievement, and adjusting performance in accordance with the
results of the measurement is called:
a.
b.
c.
d.

Strategic planning.
Contingency planning.
Detailed planning.
Management by objectives.

13. Conguration management is:

a. Used to ensure that the description of the project product is correct
and complete.
b. The creation of the work breakdown structure.
c. The set of procedures developed to ensure that project design
criteria are met.
d.
A mechanism to track budget and schedule
variances.
14. A project manager is employed by a construction company and is responsible for the furnishing of the completed building. One of the rst
things that the project manager for this project should do is to write a:
a.
b.
c.
d.

Work breakdown structure.

Budget baseline.
Project charter.
Project plan.

15. A project manager is creating a work breakdown structure for her project. In the breakdown structure the lowest level of the breakdown for
the project manager is called the:
a.
b.
c.
d.

Activity.
Task.
Work package.
Cost account.

16. A project manager is reviewing the scope of the project and the scope
baseline of the project. This includes which of the following?
a. The original project schedule, budget, and scope
b. The original project description and the project charter
c. The original scope of the project plus or minus any scope
changes d. The current budget of the project
17. A project manager has just become the manager of a project. The
docu- ment that recognizes the existence of the project is called:
a.
b.
c.
d.

The statement of work.

The project assignment.
The project charter.
The product description.

18. A project manager is reviewing the work breakdown structure for her
project. The WBS for the project represents:
a.
b.
c.
d.

All the tangible items that must be delivered to the client.

All the work that must be completed for the project.
The work that must be performed by the project team.
All the activities of the project.

19. A manager that manages a group of related projects is called a:

a.
b.
c.
d.

Project manager.
Project expediter.
Program coordinator.
Program manager.

20. A new project has begun. The project charter has been written and the
project manager has been assigned. The project manager is preparing
the work breakdown structure for the project. The WBS is typically
used for:
a.
b.
c.
d.

Explaining the scope of the project relevant to the client.

The basis for organizing and dening the total scope of the project.
Showing the resource conicts that exist in the project.
The logical relationship between tasks in the project.

21. During the life of a project, the project will go through several phases
initiating, planning, execution, and closeout. Which phase of the project is likely to have the greatest amount of its funding spent?
a.
b.
c.
d.

Initiating
Executing
Planning
Closeout

22. During the course of the project it is important that the stakeholders be
informed of the progress of the project. One of the reports that is frequently used is a progress report. Which of the following is true about
progress reports?
a. They allow stakeholders to judge the performance of the project
according to its plan.

b. They are generally considered to be overkill on very small projects.

c. They require the use of earned value reports.
d. They must be produced by the project manager.
23. The coordinated undertaking of interrelated activities directed toward a
specic goal that has a nite period of performance is a:
a.
b.
c.
d.

Project charter.
Project.
Set of project objectives.
Program.

24. The document that is proof of upper managements commitment to

the project and gives the authority to manage the project to the project
manager is called:
a.
b.
c.
d.

The
The
The
The

project plan.
project goals and objectives.
project charter.
project denition.

25. A project manager works in a company favoring the weakest authority

for the project manager. The type of organization that holds the project
manager to be the weakest is:
a.
b.
c.
d.

Projectized organization.
Strong matrix organization.
Weak matrix organization.
Balanced matrix.

26. A project manager has been asked by the client to meet the promise
date of the project. The project manager analyzes the schedule before
promising a date to the customer. The project manager uses the program evaluation and review technique to evaluate the project schedule.
She decides that based on the results of the PERT calculations she can
promise a delivery date of June 30. The expected value of the project
completion date is May 30. If the project manager is willing to accept
a
5% probability that the project will be delivered later than June 30,
what is the standard deviation of the durations of the activities on the
critical path? Assume a ve day work week.

a.
b.
c.
d.

Ten days
Fifteen days
One-half month
One month

27. A project is proposed to a customer. Price and schedule for delivery are
agreed upon. The work breakdown structure is agreed to as well. The
customer requests that one of the milestones of the project be
completed by a certain date. The project schedule is reviewed, and it is
found that the expected completion date for this milestone is
considerably earlier than the date requested by the customer. The date
for this milestone is which of the following?
a.
b.
c.
d.

Consideration
Summary activity
Constraint
Suggestion

28. A project manager is managing a project. The original scope baseline

of the project was budgeted at $100,000. Since work on the project
started there have been seventeen authorized and approved changes to
the proj- ect. The changes have a value of $17,000 and the cost of
investigating them prior to their approval was $2,500. What is the
current budget for the project?
a.
b.
c.
d.

$100,000
$114,500
$117,000
$119,500

29. In a very large project having a budget of $5 million and a project team
of over one hundred persons, the project manager constructs a work
breakdown structure. The project manager will do the WBS to the
detail level of which of the following?
a.
b.
c.
d.

Task
Activity
WBS element
Work package

30. A project manager is managing a project that has reached the end of
the planning phase. The work scope has been agreed to and denitive
cost estimates have been completed for the project. The total estimated
cost of the project is $100,000. It is reasonable to expect that the
project will not cost over which of the following values?
a.
b.
c.
d.

$100,000
$110,000
$125,000
$175,000

31. The change management plan should be included in which of the following?
a.
b.
c.
d.

Scope management plan

Communications management plan
Conguration management plan
Quality management plan

32. A project team has made up the work breakdown structure for a project.
Senior management for the company and all of the stakeholders including the client have approved the WBS. The client later requests that a
change be made in the project, which will cost a considerable amount
of money. The client says that the companys salesman promised this
feature prior to sign off on the WBS. Who should pay for the change?
a.
b.
c.
d.

The client should pay.

The company managing the project should pay.
Both the company and the client should pay part of the cost.
The change should not be implemented.

33. A project manager is managing a software development project for a

hospital. There is a new computer available that will speed up the
devel- opment process considerably. The new computer costs $50,000
includ- ing shipping, installation, and startup. The computer will cause
a gross savings of $100,000. What is the net present value of the
savings if they occur one year after the expenditure for the computer?
Assume a 10% interest rate.
a. $90,000
b. $40,909

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243

c.
$45,555 d.
$91,110
34. A project manager is managing a project during the planning phase.
She chooses to use a precedence network diagram as a graphic
planning tool to assist in making the project schedule. The most
important reason for using the network diagram as a graphic planning
tool is that it makes it easier to see which aspect of the project plan
better than the other tools available?
a.
b.
c.
d.

The
The
The
The

probability that the tasks will be completed on time

logical relationships between activities in the schedule
start and nish dates of the activities
oat between activities