PMI PMI Certification PMI-SP Questions & Answers

• Question 11:

  You are the project manager of the GHY Project. This project is scheduled to last for one year and has a BAC of $4,500,000. You are currently 45 percent complete with this project, though you are supposed to be at your second milestone, which accounts for half of the project completion. There have been some errors in the project, which has caused you to spend $2,073,654. What is this project's planned value?

  A. $2,025,000

  B. There is not enough information to know

  C. $4,500,000

  D. $2,250,000

  Correct Answer: D

  The planned value is the worth of the project if it were on time. In this instance, the project should be 50 percent complete, so the planned value is half of the project budget - $2,250,000. Planned value (PV) is the authorized budget assigned to the schedule work to be accomplished for a schedule activity or work breakdown structure component. It serves as a baseline against which actual performance is measured. The theory of planned value is of vital importance to the project management team and it is important to keep careful track of this. The term planned value can also be in some situations referred to by the project management team and the project management team leader as the budgeted cost of work scheduled (BCWS). Answer option C is incorrect. This is the budget at completion. Answer option A is incorrect. This is the earned value for the project. Answer option B is incorrect. There is enough information to know.

• Question 12:

  You are the project manager of the NHQ project. This project is scheduled to last for six months and will require $345,000 to complete. If the project completes earlier than scheduled, your organization will receive a bonus of $5,000 per day for the early completion. Management has asked you to develop an aggressive schedule to realize as much of the bonus as possible, but you must be careful not to increase project risk beyond an acceptable level of risk exposure. Which of the following approaches is most likely to increase project risk?

  A. Using the critical chain method

  B. Crashing

  C. Adding leads to the project work

  D. Fast tracking

  Correct Answer: D

  Fast tracking allows entire phases of the project to overlap and this action does increase risks. This is an approach that you would want to avoid in your project. Answer option B is incorrect. Crashing adds labor to the project and typically drives project costs. Answer option A is incorrect. The critical chain method considers the availability of project resources as part of its network diagramming technique. Answer option C is incorrect. Lead time allows project activities to overlap and may introduce project risks, but not to the extent of using fast tracking.

• Question 13:

  Which of the following is NOT an output of the control schedule process?

  A. Organizational process assets

  B. Change requests

  C. Project termination request

  D. Project document updates

  Correct Answer: C

  The project termination request is not an output of the control schedule. Early termination of a project is a closing process and usually does not stem from the project manager. The outputs of the control schedule process are as follows: Work

  Performance Measurements: The work packages and control accounts are documented and communicated to the stakeholders. Organizational Process Assets Updates: The assets that are updated are: corrective actions chosen and the

  reasons, causes of variance, and other types of lessons learned from project schedule control. Change Requests: It is processed for reviews and disposition through the Perform Integrated Change Control process. Project Management Plan

  Updates:

  The elements that need to be updated are: schedule baseline, schedule management plan, cost baseline. Project Document Updates: The elements that need to be updated in project document updates are:

  schedule data and project schedule.

• Question 14:

  A company hires a scheduler for one of its projects. What skills should he possess to efficiently work with the project team? Each correct answer represents a complete solution. Choose three.

  A. Performance control

  B. Execution scheduling

  C. Leadership

  D. Feasibility planning

  Correct Answer: ABD

  A scheduler schedules the constraints for the project into phases with respect to the time and resources available. He can be hired from outside a company, or from within a company. The basic roles of a scheduler are as follows: Feasibility

  Planning: A scheduler is the time management expert who paints a picture of the project. He develops a strategy for delivery and to gain consensus. Execution Schedule:

  A scheduler works with the project team to optimize and refine the schedule until an agreed schedule has been developed. Performance Control: A schedule is maintained by the scheduler who optimizes outcomes and instructs the project

  team on their presentation. It is important that the scheduler be aware of the changes and trends related to the project delivery. Answer option C is incorrect. This is the skill possessed by the project manager.

• Question 15:

  What formula would you use if your project had a BAC of $450,000, you have spent $191,000, and you are 40 percent complete though you are supposed to be 55 percent done and management wants to know your project's schedule performance index?

  A. ($450,000 - $180,000) / ($450,000 - $191,000)

  B. $450,000 - $477,500

  C. $180,000 / $247,500

  D. $180,000 - $247,500

  Correct Answer: C

  The schedule performance index can be found by dividing the earned value by the planned value. In this instance, it is $180,000 / $247,500 for a value of .73. Schedule performance index (SPI) is the measure of schedule efficiency on a

  project. It is used in trend analysis to predict future performance. SPI is the ratio of earned value to planned value. The SPI is calculated based on the following formula:

  SPI = Earned Value (EV) / Planned Value (PV) If the SPI value is greater than 1, it indicates better than expected performance, whereas if the value is less than 1, it shows poor performance. The SPI value of 1 indicates that the project is

  right on target. Answer option D is incorrect. This is the schedule variance formula of EV-PV. Answer option A is incorrect. This is the TCPI formula of 1.04. Answer option B is incorrect. This is the VAC formula with a result of -$27,500.

• Question 16:

  Which of the following characteristics of conflict and the conflict management process should be recognized by the project managers while handling conflict in a team environment? Each correct answer represents a complete solution. Choose all that apply.

  A. Conflict resolution should focus on issues, not personalities.

  B. Conflict is natural and forces a search for alternatives.

  C. Openness resolves conflict.

  D. Conflict is an individual issue.

  Correct Answer: ABC

  The characteristics of conflict and the conflict management process recognized by the project managers while handling conflict in a team environment are as follows: Conflict is natural and forces a search for alternatives. Openness resolves conflict. Conflict resolution should focus on issues, not personalities. Conflict is a team issue. Conflict resolution should focus on the present, not the past.

• Question 17:

  You are the project manager of the HQQ Project. Your project is running late by ten percent of where you should be at this time. Management is concerned and they'd like to know what your schedule variance is. Considering that the project has a BAC of $567,899, you are thirty percent complete, and you have spent $179,450. What is the schedule variance for this project?

  A. -$45,789

  B. -$56,790

  C. There is not enough information to know.

  D. -$30,268

  Correct Answer: B

  The schedule variance can be found by subtracting the planned value from the earned value. In this instance, it is $170,370 minus $227,160. SV = 170,370 - 227,160 = -56,790 Schedule variance (SV) is a measure of schedule performance on a project. The variance notifies that the schedule is ahead or behind what was planned for this period in time. The schedule variance is calculated based on the following formula: SV = Earned Value (EV) - Planned Value (PV) If the resulting schedule is negative, it indicates that the project is behind schedule. A value greater than 0 shows that the project is ahead of the planned schedule. A value of 0 indicates that the project is right on target. Answer option A is incorrect. $45,789 is not a valid calculation. Answer option D is incorrect. -$30,268 is the expected variance at completion. Answer option C is incorrect. There is enough information to know.

• Question 18:

  You are the project manager of the GHQ Project. You are working with your project team to create the project network diagram. You have created the PND and are identifying the critical path with your team using your project management information system. All of the activities on the critical path are showing in red in the software that you are using to evaluate the critical path. What are schedule activities on the critical path called?

  A. Critical activities

  B. Action items

  C. High alert activities

  D. Red rated activities

  Correct Answer: A

  Schedule activities on the critical path are called critical activities. Critical activity is a specific schedule activity on the critical path that takes place within a project schedule. Critical activities are mainly determined during the execution and deployment of the critical path method. In project management terms, critical activity refers to being on the major critical path, the most important path of life of an activity. Critical activity can also be defined as the work elements that must be carefully monitored, documented, and managed to make the success of an organization, program, or project. An activity that has a total float equal to zero is believed to be a 'critical activity', which means if an interruption in the finish time of an activity occurs, then the entire project will be delayed by the same amount of time. A critical activity generally has free float equal to zero. Answer options D, C, and B are incorrect. These are not valid answers for this question.

• Question 19:

  Maurice is the project manager of the NHQ Project and his project team has just finished the project activities. The quality control team reports that the project deliverables are perfect. The only thing left to in the project is to verify scope. This process will be performed by the project stakeholders. Maurice is required to submit a final project report and report on the project performance. Maurice's project had a budget of $234,000 but the project spent $245,000. In the final report management wants to know the project's cost performance index (CPI). What value should Maurice report?

  A. -$11,000

  B. .96

  C. There is not enough information to know.

  D. 1

  Correct Answer: B

  Cost performance index (CPI) is used to calculate performance efficiencies. It is used in trend analysis to predict future performance. CPI is the ratio of earned value to actual cost. The CPI is calculated based on the following formula: CPI = Earned Value (EV) / Actual Cost (AC) If the CPI value is greater than 1, it indicates better than expected performance, whereas if the value is less than 1, it shows poor performance. The CPI value of 1 indicates that the project is right on target. In this instance, the earned value is $234,000 as the project work is 100 percent. The actual costs are $245,000. Answer option D is incorrect. This is the schedule performance index value. Answer option A is incorrect. This is the variance at completion for the project. Answer option C is incorrect. There is enough information to find the answer.

• Question 20:

  Cathy is the project manager of the NNQ Project. She currently has completed 45 percent of the project but was scheduled to have 65 percent of the project completed. This project has a budget of $344,000 and was scheduled to last four months. Cathy has spent $198,998 to date on the project. Based on this information, what is the estimate at completion for the NNQ Project?

  A. -$98,217.78

  B. -$44,198

  C. $441,025.64

  D. $243,219.78

  Correct Answer: C

  The estimate at completion (EAC) formula is the Budget at Completion (BAC)/Cost Performance Index (CPI). In this instance, the CPI is .78 and the BAC is $344,000. Cathy's project isn't doing too well. Answer option D is incorrect. This value represents the estimate to complete for the project. Answer option B is incorrect. This value represents the negative cost variance. Answer option A is incorrect. This value represents the negative value the project will have once all the work is completed.