CAPM Project Management Fundamentals and Core Concepts Practice Test 3 — 15 Questions

Question 1

You are managing a project to implement a new customer relationship management (CRM) system. The project management plan has been approved, and you are in the executing process group. A team member reports that a vendor has delivered a software module that does not meet the acceptance criteria specified in the procurement statement of work. The team member suggests modifying the acceptance criteria to accept the module as is, because returning it would cause a two-week delay. You review the project management plan and the requirements documentation. What should you do?

Choose an answer to begin — your selection is scored in the full session.

Accepted Answer

Initiate a change request to formally evaluate the impact of modifying the acceptance criteria. The correct action is to initiate a change request to formally evaluate the impact of modifying the acceptance criteria. The acceptance criteria are part of the procurement statement of work and requirements documentation; changing them requires a formal change control process. This ensures that the change is assessed for impacts on scope, schedule, cost, and quality before any decision is made.

Answer

Reject the module and request the vendor to correct it according to the original criteria

Answer

Escalate to the project sponsor for a decision on whether to accept the module

Answer

Accept the team member's suggestion to avoid the delay, but document the deviation

Question 2

A project is in the monitoring and controlling phase. The project manager calculates the cost performance index (CPI) as 0.8 and the schedule performance index (SPI) as 1.0. The project budget is $500,000, and the actual costs to date are $200,000. The project is behind schedule? Actually SPI=1.0 means on schedule. But the question: What does this indicate about the project performance?

Accepted Answer

The project is on schedule but over budget. CPI = EV/AC = 0.8 means the project is earning only 80 cents of value per dollar spent, so it is over budget. SPI = EV/PV = 1.0 means earned value equals planned value, so the project is exactly on schedule. The combination indicates on-schedule but over-budget performance.

Answer

The project is under budget and ahead of schedule

Answer

The project is both over budget and behind schedule

Answer

The project is behind schedule but under budget

Question 3

Refer to the exhibit. What is the total float of activity C?

Accepted Answer

0 days. Activity C has a total float of 0 days because it lies on the critical path. In the network diagram, the critical path is the longest path through the project, and any delay on a critical path activity directly delays the project end date. Since activity C is on the critical path, its total float is zero.

Answer

2 days

Answer

3 days

Answer

1 day

Question 4

A manufacturing company is implementing a new ERP system. The project team includes members from IT, finance, and operations. The organization uses a strong matrix structure. Recently, the project has been missing milestones because the operations manager frequently assigns urgent operational tasks to the operations team members, who are also assigned part-time to the project. The project manager has discussed this with the operations manager, but the situation continues. The project sponsor is concerned about the delays and wants a solution within two days. What should the project manager do?

Accepted Answer

Request that the functional managers allocate dedicated resources to the project for its duration.. In a strong matrix organization, functional managers retain authority over their team members' assignments. Since the operations manager continues to pull operations staff for urgent tasks despite the project manager's discussion, the root cause is resource availability. The most effective solution is to request dedicated resources from the functional managers, ensuring the project has full-time commitment from key team members and eliminating the conflict that causes milestone delays.

Answer

Compress the project schedule by fast-tracking remaining activities.

Answer

Escalate the issue to the project sponsor and ask for intervention.

Answer

Document the issue in the issue log and update the risk register.

Question 5

A project manager is leading a construction project to build a new bridge. The project charter has been approved, and the project team is developing the project management plan. The project manager needs to define the scope of the project. Which document should the project manager use as the primary input to define the project scope?

Accepted Answer

Project charter. The project charter is the document that formally authorizes the project and provides the project manager with the authority to apply organizational resources to project activities. It includes high-level information such as project purpose, measurable objectives, high-level requirements, assumptions, constraints, and high-level risks. For defining scope, the charter provides the initial scope description and boundaries, making it the primary input.

Answer

Project management plan

Answer

Requirements documentation

Answer

Work breakdown structure (WBS)

Question 6

A project manager is leading a construction project with a total budget of $500,000. At the end of the third month, the project has spent $150,000 and completed 30% of the work. What is the cost performance index (CPI) for the project?

Accepted Answer

1.00. The cost performance index (CPI) measures cost efficiency by dividing earned value (EV) by actual cost (AC). Here, EV is 30% of the $500,000 budget, or $150,000, and AC is $150,000. The resulting CPI of 1.00 indicates the project is on budget. This is a fundamental earned value management calculation.

Answer

1.11

Answer

0.30

Answer

0.90

Question 7

A project manager is leading a project to develop a new medical device. The project is in the monitoring and controlling phase. The project manager is analyzing the project's performance using earned value management (EVM). The following data is available: Planned Value (PV) = $200,000, Earned Value (EV) = $180,000, Actual Cost (AC) = $220,000. What is the project's Cost Performance Index (CPI) and what does it indicate?

Accepted Answer

CPI = 0.82; the project is over budget. The Cost Performance Index (CPI) is a measure of cost efficiency, calculated as EV / AC. With EV = $180,000 and AC = $220,000, CPI = 0.82. A CPI less than 1 means the project is over budget, as it is spending more than the value earned. This indicates that corrective action may be needed to improve cost performance.

Answer

CPI = 0.90; the project is over budget

Answer

CPI = 1.11; the project is under budget

Answer

CPI = 1.22; the project is under budget

Question 8

A project manager is leading a construction project with a fixed budget of $500,000 and a deadline of six months. Midway through, the client requests an additional floor, which would require an extra $80,000 and two more months. The project manager must decide how to proceed. Which of the following best describes the action the project manager should take?

Accepted Answer

Accept the change and adjust the project constraints accordingly after informing the client of the impact.. The correct action is to accept the change and adjust constraints after informing the client, because it follows integrated change control and balances the triple constraint. The project manager must evaluate the impact, then formally approve and incorporate the change, updating baselines as needed. This approach maintains stakeholder alignment and project viability.

Answer

Escalate the decision to the project sponsor without performing any impact analysis.

Answer

Implement the change immediately to satisfy the client, and compress the schedule by fast-tracking remaining activities.

Answer

Reject the change because it exceeds the original budget and schedule baselines.

Question 9

A project manager is working on a construction project. The team has completed the foundation work, and the project manager needs to compare the actual work performed to the planned work to determine if the project is on schedule. Which tool or technique should the project manager use?

Accepted Answer

Variance analysis. Variance analysis is the correct technique because it compares actual performance to planned performance, allowing the project manager to determine if the project is on schedule. By analyzing variances, the project manager can identify deviations from the baseline and take corrective actions. Other techniques like critical path method, SPI, or trend analysis serve different purposes in schedule management.

Answer

Schedule performance index (SPI)

Answer

Trend analysis

Answer

Critical path method

Question 10

A project manager is preparing to close a project that has been completed successfully. As part of the Close Project or Phase process, the project manager must perform several activities. Which two of the following are key outputs or activities of this process? (Choose two.)

Accepted Answer

Obtain final acceptance of the project deliverables from the customer.. The key outputs or activities of Close Project or Phase include obtaining final acceptance of deliverables and transferring the final product to the customer with formal sign-off. These ensure that the project is formally completed and the customer acknowledges receipt. Other activities include archiving project documents and releasing team resources.

Answer

Conduct a risk audit to identify new risks.

Answer

Develop the project management plan.

Answer

Create the work breakdown structure (WBS).

Question 11

A project manager is leading a project to develop a new mobile application. The project is in the planning phase. The project manager wants to ensure that the project team and stakeholders have a shared understanding of the project's key deliverables, milestones, and high-level schedule. Which document should the project manager use to communicate this information?

Accepted Answer

Milestone chart. A milestone chart provides a high-level view of key milestones and deliverables, making it ideal for communicating the project timeline to stakeholders. The project management plan and WBS are more detailed and not focused on high-level schedule communication. The project charter is for authorization and does not include detailed planning information.

Answer

Work breakdown structure (WBS)

Answer

Project charter

Answer

Project management plan

Question 12

A project manager is leading a project to implement a new customer relationship management (CRM) system. The project manager needs to identify the key stakeholders and determine their influence and interest. Which two techniques are appropriate for this task? (Choose two.)

Accepted Answer

Power/interest grid. The power/interest grid and expert judgment are appropriate techniques for identifying and analyzing stakeholders. The power/interest grid helps classify stakeholders by their authority and concern, while expert judgment provides valuable insights from knowledgeable individuals. These techniques are part of the Identify Stakeholders process and enable the project manager to prioritize stakeholder engagement effectively.

Answer

Stakeholder register

Answer

Stakeholder engagement assessment matrix

Answer

Meetings

Question 13

A project manager is leading a project to implement a new customer relationship management (CRM) system. During the executing phase, the project manager wants to ensure that the project team is effectively managing stakeholder engagement. Which TWO actions should the project manager take to manage stakeholder engagement? (Choose two.)

Accepted Answer

Develop appropriate management strategies to effectively engage stakeholders based on their needs, interests, and potential impact.. Managing stakeholder engagement involves planning strategies to engage stakeholders and monitoring their relationships and adjusting as needed. Developing management strategies is part of planning engagement, while monitoring and adjusting is part of monitoring engagement. Identifying stakeholders and creating the register are initiation activities, and cost-benefit analysis is not a stakeholder engagement technique.

Answer

Create a stakeholder register that documents identification information, assessment information, and stakeholder classification.

Answer

Perform a cost-benefit analysis to prioritize stakeholder requirements.

Answer

Identify the people, groups, or organizations that could impact or be impacted by the project.

Question 14

A project manager is reviewing the project charter and notices that the business case includes a cost-benefit analysis with a Net Present Value (NPV) of $50,000 and an Internal Rate of Return (IRR) of 12%. The company's required rate of return is 10%. What should the project manager conclude about this project?

Accepted Answer

The project is financially viable.. The project is financially viable because the NPV is positive ($50,000), indicating that the present value of expected cash inflows exceeds the present value of cash outflows. Additionally, the IRR of 12% exceeds the company's required rate of return (10%), meaning the project's expected return is greater than the cost of capital. Both metrics independently confirm financial feasibility.

Answer

The project's payback period is acceptable.

Answer

The project is expected to break even.

Answer

The project is not financially viable.

Question 15

During project execution, a key stakeholder requests a significant change that will increase project scope. The project manager performs an impact analysis and determines that the change will delay the project by two weeks and increase costs by 10%. However, the change is critical for regulatory compliance. What should the project manager do first?

Accepted Answer

Submit the change request to the change control board (CCB).. The correct first step is to submit the change request to the change control board (CCB) because, in formal project management, any change that impacts scope, schedule, or cost must go through the integrated change control process. Even though the change is critical for regulatory compliance, the project manager cannot unilaterally approve or reject it; the CCB has the authority to evaluate the impact analysis and make the final decision.

Answer

Approve the change because it is critical for compliance.

Answer

Reject the change because it will delay the project and increase costs.

Answer

Implement the change and request approval after.