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Project Management Fundamentals and Core ConceptsmediumMultiple ChoiceObjective-mapped

CAPM Practice Question: Project Management Fundamentals and Core Concepts

Exhibit

Refer to the exhibit.
{
  "policy": {
    "resourceTags": {
      "project": "alpha",
      "costCenter": "12345",
      "environment": "production"
    },
    "autoStop": true,
    "maxCost": 5000
  }
}

A project manager learns of a policy requiring all cloud resources to have tags for CostCenter, Environment, and Owner. Which project management process is being supported by enforcing these tags?

Answer choices

Why each option matters

Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.

Correct answer & explanation

Monitoring and Controlling

Enforcing resource tags supports Monitoring and Controlling processes by enabling cost tracking, resource allocation, and compliance auditing during project execution. The tags allow the project manager to monitor actual costs against budget and ensure resources are used as planned. Option A (Executing) involves performing the work, not monitoring policies. Option B (Initiating) defines the project. Option D (Closing) finalizes and closes the project.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • Executing

    Why it's wrong here

    Executing performs the work, not enforce cost limits.

  • Initiating

    Why it's wrong here

    Initiating does not involve cost control policies.

  • Monitoring and Controlling

    Why this is correct

    Tracking costs and resource usage.

  • Closing

    Why it's wrong here

    Closing ends the project.

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JA

Written by Johnson Ajibi, MSc IT Security

Senior Network & Security Engineer · founder of Courseiva

This CAPM practice question is part of Courseiva's free PMI certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the CAPM exam.