PK0-005 Project Management Concepts Practice Test 5 — 15 Questions

Question 1

During project execution, the project manager notices that the team is adding extra features that were not requested by the customer. This is an example of which common project constraint issue?

Accepted Answer

Gold plating. Gold plating is when the project team adds extra features beyond the requirements without authorization, increasing scope without corresponding value.

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Quality assurance

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Triple constraint

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Scope creep

Question 2

A collection of projects and programs managed together to achieve strategic objectives is known as a:

Accepted Answer

Portfolio. A portfolio is a collection of projects, programs, and operational work managed together to achieve strategic organizational objectives. Portfolios align with strategic goals and prioritize resource allocation across the entire collection. This is the standard PMI definition and the correct answer.

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Operation

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Project

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Program

Question 3

A project manager is managing a project in a functional organization. Due to resource constraints, the functional manager often reassigns team members to other tasks. What is the MOST significant challenge the project manager will face?

Accepted Answer

Difficulty in obtaining resources and maintaining team focus. In a functional organization, the project manager has limited authority and resources are controlled by functional managers, leading to resource availability issues.

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Lack of budget

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Poor communication

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High project costs

Question 4

A project has a cost performance index (CPI) of 0.8 and a schedule performance index (SPI) of 1.1. What does this indicate about the project's performance?

Accepted Answer

Over budget and ahead of schedule. CPI of 0.8 is below 1.0, meaning the project is spending more than the value earned — over budget. SPI of 1.1 is above 1.0, meaning more work has been completed than planned at this point — ahead of schedule. Combined, the project is over budget but ahead of schedule.

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Over budget and behind schedule

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Under budget and ahead of schedule

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Under budget and behind schedule

Question 5

A project manager is selecting a methodology for a project with well-understood requirements and low expected change. Which methodology is MOST appropriate?

Accepted Answer

Predictive (Waterfall). Predictive/waterfall is suitable for stable requirements and low change, as it follows a sequential plan-driven approach.

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Agile

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Scrum

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Hybrid

Question 6

Which of the following is NOT a phase in the typical project life cycle?

Accepted Answer

Testing. Testing is a project management process/activity performed within the Executing and Monitoring & Controlling process groups, but it is not one of the five formal project life cycle phases (Initiating, Planning, Executing, Monitoring & Controlling, Closing). The question asks which is NOT a life cycle phase, and testing is the only option that is an activity rather than a phase.

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Monitoring and controlling

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Closing

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Initiating

Question 7

A project manager is reviewing the project selection methods for a new initiative. Which TWO of the following are financial project selection methods? (Choose two.)

Accepted Answer

Net Present Value (NPV). Net Present Value (NPV) is a financial project selection method because it discounts all future cash inflows and outflows to present value using the organization's cost of capital, and a project with a positive NPV adds value and is generally selected. Internal Rate of Return (IRR) is also a financial selection method because it calculates the discount rate at which a project's NPV equals zero, and projects whose IRR exceeds the required rate of return (hurdle rate) are acceptable. These two are quantitative, cash-flow-based capital budgeting techniques, unlike the remaining options. SWOT analysis is a strategic planning tool for assessing strengths, weaknesses, opportunities, and threats, not a financial metric. Expert judgment is a qualitative decision-making input drawn from experienced stakeholders, and requirements gathering is a scope/elicitation activity, so neither is a financial selection method.

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SWOT analysis

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Expert judgment

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Requirements gathering

Question 8

A project is experiencing scope creep. Which TWO of the following are effective ways to manage scope creep? (Choose two.)

Accepted Answer

Maintain clear requirements documentation. Option D is correct because maintaining clear requirements documentation establishes a documented baseline of what is in and out of scope, so any new request can be objectively compared against the agreed requirements and identified as scope creep rather than legitimate work. Option E is correct because implementing a change control process ensures every proposed change is formally requested, evaluated for impact on scope, schedule, cost, and risk, and approved or rejected by the appropriate authority before being added to the project. Together, these two practices prevent uncontrolled additions by giving the project a defined baseline and a gate through which all changes must pass. Option A is wrong because gold plating—adding unrequested features or enhancements—directly causes scope creep rather than managing it. Option B is wrong because removing the project sponsor eliminates the executive authority needed to approve changes and champion the project, worsening governance rather than controlling scope. Option C is wrong because fast tracking (running activities in parallel that were originally sequential) is a schedule compression technique that increases risk; it does nothing to control or prevent scope creep.

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Encourage gold plating

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Remove the project sponsor

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Fast track project activities

Question 9

Which of the following best describes a project?

Accepted Answer

A temporary endeavor with a defined scope, schedule, cost, and quality objectives. A project is a temporary endeavor with a defined beginning and end, undertaken to create a unique product, service, or result.

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A repetitive operational process

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A collection of related projects managed together

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A strategic grouping of projects and programs

Question 10

In which organizational structure does a project manager have the highest level of authority?

Accepted Answer

Projectized. In a projectized organizational structure, the project manager has the highest level of authority — team members report directly to the PM, who controls the budget, resources, and priorities. The PM is typically full-time and has near-complete autonomy over project decisions. This contrasts with matrix and functional structures where authority is shared or held by functional managers.

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Balanced matrix

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Weak matrix

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Functional

Question 11

A project manager is leading a software development project with stable requirements and a fixed budget. The team prefers a sequential approach with clear phases. Which methodology is most appropriate?

Accepted Answer

Predictive (Waterfall). Predictive (Waterfall) is the correct methodology because it is designed for projects with stable, well-understood requirements, a fixed budget, and a preference for sequential phases with clear gates. Waterfall's linear structure — requirements, design, build, test, deploy — matches the team's desire for defined phases and works well when scope is unlikely to change. Scrum, Agile, and Hybrid all introduce iterative cycles and embrace changing requirements, which is unnecessary and potentially disruptive when requirements are already stable.

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Scrum

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Hybrid

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Agile

Question 12

A project manager is reviewing project selection methods. Which method calculates the present value of future cash flows minus the initial investment?

Accepted Answer

Net Present Value (NPV). Net Present Value (NPV) calculates the present value of all future cash flows (discounted at a required rate of return) minus the initial investment. A positive NPV indicates the project adds value; a negative NPV means it destroys value. This matches the question's definition exactly.

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Internal Rate of Return (IRR)

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Payback period

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Return on Investment (ROI)

Question 13

During a project, a stakeholder requests additional features that were not in the original scope. The project manager adds these features without formal change control. This is an example of:

Accepted Answer

Scope creep. Scope creep refers to uncontrolled changes or additions to a project's scope without going through the formal change control process. By adding features without formal change control, the project manager is allowing scope creep, which can lead to schedule delays, cost overruns, and resource issues.

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Value engineering

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Quality assurance

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Gold plating

Question 14

A project manager is assigned to a project in a matrix organization where the functional managers have significant control over team members. The PM has limited authority. This describes which type of matrix?

Accepted Answer

Weak matrix. In a weak matrix, the functional manager has more authority than the project manager.

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Balanced matrix

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Strong matrix

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Projectized

Question 15

Which project life cycle phase involves obtaining formal acceptance of the project deliverables?

Accepted Answer

Closing. The closing phase includes finalizing all activities, obtaining stakeholder acceptance, and closing the project.

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Planning

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Executing

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Initiating