Question: A project is running ahead of schedule. The project manager decides to level its peak resource usage in the remaining schedule by releasing some resources to work on other projects. Which triple constraints are affected by this project manager’s decision?
Answer Options: a) Price and incentives b) Scope and time c) Cost and price d) Time and cost
Answer: d) Time and cost
Question: A project is running on schedule but is over its budget. So far, the project has completed all scheduled scope and is being managed to complete all remaining scope as scheduled. Which two triple constraints have been protected by permitting the budget to run over?
Answer Options: a) Scope, time b) Technology, cost c) Cost, risk d) Price, risk
Answer: a) Scope, time
Question: A leader is evaluating two projects for a January start. The leader cannot decide the best model to use for selection. What should this leader consider in selecting a model?
Answer Options: a) Non-numeric models provide the essential data for decision making. b) Numeric models provide too many financial details of a project. c) Numeric and non-numeric models provide too much data for decision making. d) Numeric and non-numeric models provide multiple measurements for decision making.
Answer: d) Numeric and non-numeric models provide multiple measurements for decision making.
Question: A selection model is able to apply the pertinent factors of the evaluation, including time, risk, cost, and internal and external environment. Which characteristic is being used as the criterion to select a model?
Answer Options: a) Flexible b) Low cost c) Comparable d) Realistic
Answer: d) Realistic
Question: A leader has begun the evaluation and prioritization of three projects. Which characteristic is being used as the criterion to select a model?
Answer Options: a) Easy to use b) Low cost c) Realistic d) Comparable
Answer: d) Comparable
Question: Match each purpose to its associated financial concept. To calculate the time required to earn back the cost of a project To calculate what money is worth today compared to in the future To calculate future cash flows using time and interest rate To calculate the alternative use of money
Answer Options: Payback period Time value of money Opportunity cost
Answer: Payback period Time value of money Time value of money Opportunity cost
Question: Match each purpose with its associated financial concept. To calculate what money is worth today compared to in the future To calculate future cash flows using time and interest rate To calculate whether revenue tomorrow is greater than costs today To calculate the time required to earn back the cost of a project
Answer Options: Net present value Time value of money Payback period
Answer: Time value of money Net present value Net present value Payback period
Question: What is opportunity cost?
Answer Options: a) The value of what you are giving up when you select one of two projects b) The measure of time in which total cash received is equal to, or exceeds, total costs c) The discount amount when present value of cash intake equals the original investment d) The concept that a dollar today is worth a dollar, but a dollar in a year will be worth less than a dollar
Answer: a) The value of what you are giving up when you select one of two projects
Question: Leaders make decisions about project selection using various models. Models focus attention on evaluation of projects and prioritization. What is one attribute an organization may focus on when using a model?
Answer Options: a) Stakeholder influence b) Fluid assets c) Administrative salaries d) Customer satisfaction
Answer: d) Customer satisfaction
Question: Which activity is accomplished as part of the monitoring and controlling process?
Answer Options: a) Reconciling the vendor accounts b) Training and coaching team members c) Finalizing the project scope d) Verifying that the deliverables meet the required scope
Answer: d) Verifying that the deliverables meet the required scope
Question: Which activity is accomplished as part of the initiating process of a project?
Answer Options: a) Performing a lessons learned review b) Defining the project scope c) Developing the project budget d) Selecting the project
Answer: d) Selecting the project