Term
1. You are the project manager for an upcoming outdoor concert event. You’re working on
the procurement plan for the computer software program that will control the lighting and
screen projections during the concert. You’re comparing the cost of purchasing a software
product to the cost of your company programmers writing a custom software program. You
are engaged in which of the following?
A. Procurement planning
B. Using expert judgment
C. Creating the procurement management plan
D. Make-or-buy analysis |
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Definition
1. D. Make-or-buy analysis is determining whether it’s more cost effective to purchase the
goods or services needed for the project or more cost effective for the organization to produce
them internally. |
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Term
2. You are the project manager for an outdoor concert event scheduled for one year from
today. You’re working on the procurement documents for the computer software program
that will control the lighting and screen projections during the concert. You’ve decided to
contract with a professional services company that specializes in writing custom software
programs. You want to minimize the risk to the organization, so you’ll opt for which contract
type?
A. FPIF
B. CPFF
C. FFP
D. CPIF |
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Definition
2. C. Firm fixed-price contracts have the highest risk to the seller and the least amount of risk
to the buyer. However, the price the vendor charges for the product or service will compensate
for the amount of risk they’re assuming. |
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Term
3. You are the project manager for the Heart of Texas casual clothing company. Your company
is introducing a new line of clothing called Black Sheep Ranch Wear. You will
outsource the production of this clothing line to a vendor. The vendor has requested a procurement
SOW. All of the following statements are true except for which one?
A. The procurement SOW contains a description of the new clothing line.
B. As the purchaser, you are required to write the procurement SOW.
C. The procurement SOW contains the objectives of the project.
D. The vendor requires a procurement SOW to determine whether it can produce the
clothing line given the detailed specifications of this product. |
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Definition
3. B. Either the buyer or the seller can write the SOW. Sometimes the buyer will write the
SOW and the seller might modify it and send it back to the buyer for verification and
approval. |
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Term
4. You are the project manager for the Heart of Texas casual clothing company. Your company
is introducing a new line of clothing called Black Sheep Ranch Wear. You will
outsource the production of this clothing line to a vendor. Your legal department has
recommended you use a contract that reimburses the seller’s allowable costs and builds in
a bonus based on the vendor achieving the performance criteria they’ve outlined in their
memo. Which of the following contract types will you use?
A. CPIF
B. CPFF
C. CPF
D. FPIF |
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Definition
4. A. The cost plus incentive fee contract reimburses the seller for the seller’s allowable costs
and includes an incentive or bonus for exceeding the performance criteria laid out in the
contract. |
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Term
5. All of the following statements are true regarding the Plan Human Resource Management
process except for which one?
A. The Plan Human Resource Management process involves determining roles and
responsibilities.
B. Included in the Plan Human Resource Management output are project organization
charts that show the project’s reporting relationships.
C. The staffing management plan created in this process describes how and when
resources will be acquired and released.
D. A RAM (or RACI chart) is an output of this process that allows you to see all the people
assigned to an activity. |
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Definition
| 5. D. The RAM and RACI charts are tools and techniques of this process. |
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Term
6. Sally is a project manager working on a project that will require a specially engineered
machine. Only three manufacturers can make the machine to the specifications Sally needs.
The price of this machine is particularly critical to this project. The budget is limited, and
there’s no chance of securing additional funds if the bids for the machine come in higher
than budgeted. She’s developing the source selection criteria for the bidders’ responses and
knows all of the following are true except for which one?
A. Sally will use understanding of need and warranties as two of the criteria for evaluation.
B. Sally will review the project management plan, requirements documents, and risk register
as some of the inputs to this process.
C. Sally will base the source selection criteria on price alone because the budget is a constraint.
D. Sally will document an SOW, the desired form of response, and any required contractual
provisions in the RFP. |
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Definition
6. C. Source selection criteria can be based on price alone when there are many vendors who
can readily supply the goods or services. The question states that only three vendors make
the machine, which means source selection criteria should be based on more than price. |
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Term
7. Which of the following are constraints that you might find during the Plan Human
Resource Management process?
A. Organizational structures, collective bargaining agreements, and economic conditions
B. Organizational structures, technical interfaces, and interpersonal interfaces
C. Organizational interfaces, collective bargaining agreements, and economic conditions
D. Organizational interfaces, technical interfaces, and interpersonal interfaces |
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Definition
7. A. A constraint can be anything that limits the option of the project team. Organizational
structures, collective bargaining agreements, and economic conditions are all constraints
that you might encounter during this process. |
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Term
8. You have been hired as a contract project manager for Grapevine Vineyards. Grapevine
wants you to design an Internet wine club for its customers. Customers must register before
being allowed to order wine over the Internet so that legal age can be established. You
know this project will require new hardware and an update to some existing infrastructure.
You will have to hire an expert to help with the infrastructure assessment and upgrades. You
also know that the module to verify registration must be written and tested using data from
Grapevine’s existing database. This new module cannot be tested until the data from the
existing system is loaded. You are going to hire a vendor to perform the programming and
testing tasks for this module to help speed up the project schedule. The vendor will be
reimbursed for all their costs, and you want to use a contract type that will allow you to
give the vendor a little something extra if you are satisfied with the work they do. You
know all of the following apply in this situation except for which one?
A. Contract type is determined by the risk shared between the buyer and seller.
B. You’ll use a CPAF contract for the programming vendor.
C. Fixed-price contracts can include incentives for meeting or exceeding performance criteria.
D. Each procurement item needs an SOW. |
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Definition
8. B. Fixed-price contracts can include incentives for meeting performance criteria, but the
question states the vendor helping with the programming task will be reimbursed for their
costs and, depending on your satisfaction with their results, may receive an additional
award. This describes a cost plus award fee contract. |
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Term
9. You are the project manager for BB Tops, a nationwide toy store chain. Your new project
involves creating a prototype display at several stores across the country. You are using a
RACI chart to display individuals and activities. What does RACI stand for?
A. Responsible, accountable, consult, inform
B. Responsible, assignment, control, inform
C. Resource, activity, control, identify
D. Resource, accountable, consult, identify |
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Definition
| 9. A. RACI stands for responsible, accountable, consult, and inform. |
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Term
10. Which process has the greatest ability to directly influence the project schedule?
A. Plan Human Resource Management
B. Plan Procurement Management
C. Plan Communications
D. Plan Quality Management |
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Definition
10. B. Plan Procurement Management can directly influence the project schedule, and the project
schedule can directly influence this process. |
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Term
11. You are the project manager for BB Tops, a nationwide toy store chain. Your new project
involves creating a prototype display at several stores across the country. You are hiring
a contractor for portions of the project. The contract stipulates that you’ll pay all allowable
costs and a 6 percent fee over and above the allowable costs at the end of the contract.
Which of the following describes this contract type?
A. CPPF
B. CPPC
C. CPF
D. CPIF |
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Definition
11. B. This is a cost-reimbursable contract that includes a fee as a percentage of allowable costs.
This type of contract is known as a cost plus percentage of cost (CPPC) contract. |
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Term
12. All of the following are true regarding the Plan Quality Management process except for
which one?
A. DOE is a tool and technique of this process that provides statistical analysis for changing
product or process elements one at a time to optimize the process.
B. This is one of the key processes performed during the Planning process group and during
the development of the project management plan.
C. Changes to the product as a result of meeting quality standards might require cost or
schedule adjustments.
D. Some of the tools and techniques of this process are cost-benefit analysis, COQ, Seven
Basic Quality Tools, benchmarking, DOE, and statistical sampling. |
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Definition
12. A. Design of experiments is a tool and technique of the Plan Quality Management process
that provides statistical analysis for changing key product or process elements all at once
(not one at a time) to optimize the process. |
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Term
13. Four people are responsible for establishing cost of quality theories. Crosby and Juran are
two them, and their theories are ___________________, respectively.
A. grades of quality, fitness for use
B. fitness for use, zero defects
C. zero defects, fitness for use
D. cost of quality, zero defects |
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Definition
13. C. Philip Crosby devised the zero defects theory, meaning do it right the first time. Proper
Plan Quality Management leads to less rework and higher productivity. Joseph Juran’s fitness
for use says that stakeholders’ and customers’ expectations are met or exceeded. |
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Term
14. The theory that 85 percent of the cost of quality is a management problem is attributed to
___________________?
A. Deming
B. Shewhart
C. Juran
D. Crosby |
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Definition
14. A. W. Edwards Deming conjectured that the cost of quality is a management problem 85
percent of the time and that once the problem trickles down to the workers, it is outside
their control. |
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Term
15. All of the following are benefits of meeting quality requirements except which one?
A. An increase in stakeholder satisfaction
B. Less rework
C. Lower risk
D. Higher productivity |
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Definition
15. C. The benefits of meeting quality requirements are increased stakeholder satisfaction,
lower costs, higher productivity, and less rework. |
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Term
16. Which of the following describes the cost of quality associated with scrapping, rework, and
downtime?
A. Internal failure costs
B. External failure costs
C. Prevention costs
D. Appraisal costs |
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Definition
16. A. Internal failure costs are costs associated with not meeting the customer’s expectations
while you still had control over the product. This results in rework, scrapping, and
downtime. |
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Term
17. The quality management plan documents how the project team will implement the quality
policy. It should address at least all of the following except which one?
A. The resources needed to carry out the quality plan
B. The quality metrics and tolerances and what will be measured
C. The responsibilities the project team has in implementing quality
D. The processes to use to satisfy quality requirements |
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Definition
17. B. Quality metrics are an output of the Plan Quality Management process and not part of
the quality management plan. |
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Term
18. You work for a furniture manufacturer. Your project is going to design and produce a new
office chair. The chair will have the ability to function as a regular chair and also the ability
to move its occupant into an upright, kneeling position. The design team is trying to
determine the combination of comfort and ease of transformation to the new position that
will give the chair the best characteristics while keeping the costs reasonable. Several different
combinations have been tested. This is an example of which of the following tools and
techniques of Plan Quality Management?
A. Benchmarking
B. Quality metrics
C. COQ
D. DOE |
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Definition
| 18. D. This is an example of design of experiments. |
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Term
19. Which of the following best characterizes Six Sigma?
A. Stipulates that quality must be managed in
B. Focuses on process improvement and variation reduction by using a measurementbased
strategy
C. Asserts that quality must be a continuous way of doing business
D. Focuses on improving the quality of the people first, then improving the quality of the
process or project |
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Definition
19. B. Six Sigma is a measurement-based strategy that focuses on process improvement and
variation reduction by applying Six Sigma methodologies to the project. |
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Term
20. Your organization is embarking on a long-term project that will require additional human
resources on a contract basis to complete the work of the project. Since the project will span
several years, you know one vendor probably can’t supply all the resources you’ll need over
the course of the contract. However, you want to work with only one vendor throughout
the project to minimize the amount of procurement documents you’ll have to produce. So,
you’ll specify in your procurement documents that contractors will have to form partnerships
to work on this project. You know all of the following are true regarding this question
except for which one?
A. You will use an RFP, which is part of the procurement documents output of the Plan
Procurement Management process, as your procurement document for this project.
B. You’ll use an FP-EPA contract because this project spans several years.
C. You should consider teaming agreements, which are an input to the Plan Procurement
Management process.
D. Some of the quality metrics you’ll use for this project include on-time performance,
failure rates, budget control, and test coverage. Quality metrics are an output of the
Plan Quality Management process. |
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Definition
20. C. Teaming agreements are not a named input of the Plan Procurement Management process,
but they are an input to all of the Planning processes collectively. |
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