PMP Practice Exam 1

A project that you are managing is undergoing user acceptance test. Users have found a critical bug that can impact the release date. The stakeholders are worried. But your developers have analyzed the issue and think they know a way to fix the issue in time. What should you do first?

Your project sponsor informed you that she will soon leave the project due to other commitments. She also mentioned that two new individuals will take over her role. The sponsor claims this change will not significantly increase the team’s communication complexity because it merely increases the team size from eleven to twelve members. Do you agree with her assessment?

You have recently been hired as a construction project manager for a highly critical project scheduled for completion in two years. During the project initiation phase, you discover that the project contract did not include some essential regulatory and environmental requirements.

Failing to meet these requirements could damage your company’s reputation, but addressing them would require additional time and cost—potentially causing budget and schedule overruns and even risking project cancellation by the client. What should be your first course of action?

You are the project manager for Project A and are currently discussing the project scope with a key stakeholder. The stakeholder requests that you develop 10 different reports; however, you believe that producing all 10 reports is not feasible given the project’s budget and timeline constraints. Which negotiation skills contribute to a successful outcome in this situation?

You are a project manager at company ABC. You have just completed and released Phase A of your project. One of your key resources, Q, is highly valuable and in demand across several projects. Although you cannot officially assign Q to Phase B of your project, you still need to access his expertise. Which options can help you make the most of Q’s skills?

• Option A: Negotiate with other project managers to secure Q’s time for oversight and guidance.
• Option B: Ask Q to conduct knowledge transfer sessions with another team member (X) so that X can take over parts of Q’s responsibilities.
• Option C: Arrange to consult with Q during critical decision-making moments.
• Option D: Escalate to management that the project cannot proceed without Q and log this as a risk.

You are managing a software development project that is contractually scheduled to be completed in 18 months. Recently, your customer has informed you of regulatory changes that necessitate finishing the project 2 months earlier than planned. How would you approach this situation?

A project manager is preparing two documents for risk management. One document provides an overview of the overall project risk sources along with summary details of individual risks, while the second document offers detailed descriptions of each identified risk. What is the appropriate name for the first document?

A company must choose between two projects because it lacks the resources to run both simultaneously. Both projects require 12 months to complete and cost $250,000 each. The company’s decision is to be based on a 3-year forecast of financial benefits following the projects’ completion.

Project 1 – Process Optimization:

• Expected cost reduction of $300,000 per year.
• The savings begin in the first year after project completion and continue identically each year for the following two years.

Project 2 – New Product Development:

• Generates incremental income during the project:
  • First 6 months: $15,000
  • Second 6 months: $55,000
• After the project is finished, it produces income over the next 3 years as follows:
  • 1st year: $230,000
  • 2nd year: $300,000
  • 3rd year: $300,000

Based on the financial projections over the 3-year period after project completion, which project is more attractive?

A company is evaluating two projects, Alpha and Beta. Project Alpha is projected to generate a net profit of $50 million, while Project Beta is projected to produce a net profit of $45 million. Although both projects are highly attractive, the financial controller has confirmed that the company can only invest in one.

If the company selects Project Alpha, what is the opportunity cost?

Project A currently produces reports for Marketing business users that show campaign effectiveness across different regions of the country. Due to business growth, the client now wants these reports expanded to include data on campaign effectiveness from countries around the world. In addition, the client requests that data anomalies—caused by reporting in multiple currencies as the business expanded—be resolved. The client has agreed to fund the necessary work and has provided a desired release date for the updated reports.

Can this effort be initiated as a new project?

You are managing a project to construct five bridges, with the project divided into five sequential phases. Each phase involves the construction of one bridge and is treated as a distinct phase of the project. After successfully completing the first phase (construction of the first bridge), which process group should the second phase follow?

In an Agile software development project, the project manager struggles to allow the team to make decisions independently. Due to time constraints, the manager takes control by making decisions and persuading the team to accept them. Although this accelerates progress, it has caused growing dissatisfaction among team members.

Which leadership behavior would have been more suitable in this scenario?

As part of the project contract, your customer has assigned one of their staff members to your project office to attend meetings and participate in decision-making. However, this individual exhibits confrontational behavior and intimidates your project team members. What should you do in this situation?

Which method is most commonly used by project management software applications to create project schedule network diagrams?

The project aims to assess the feasibility of constructing a hydroelectric dam from technical, economic, and social perspectives. The project charter, created by the project manager on behalf of the sponsor, has been approved. What is the next process that should be performed?

You are managing a software upgrade project for your company, and your project sponsor holds significant authority over project decisions. However, you’ve recently discovered that the sponsor has little interest in the project. To ensure the project’s success, you need ongoing support from your sponsor. Which stakeholder management strategy should you apply to engage the sponsor effectively?

The project sponsor requests a document that includes the description, owner, source, priority, and status of the product requirements. Which project document is the sponsor asking for?

Your project management team includes two external consultants from different companies. Repeated conflicts between them are slowing down the project and putting the achievement of objectives at risk. Which stage of team development is likely causing this issue?

Company A manufactures light bulbs and has recently received customer complaints about defective bulbs and poor customer support. Additionally, the company is experiencing higher manufacturing costs and declining profits. They plan to implement the Six Sigma methodology through a new project to address these issues. Which of the following can the Six Sigma methodology help with?

You’ve been assigned to a new change-driven project, and the team has not worked together before but is experienced with agile techniques. Which TWO of the following techniques would be most effective in promoting your team’s performance?

Which of the following documents is required to formally authorize the start of a project?

You’ve been named “Best Project Manager of the Year,” and your team has been recognized as the “Best Team of the Year” in your department. Your employees rarely leave; they enjoy working with you, trust you, and help you deliver projects successfully. Which of the following have you likely done well?

The photo transfer project will begin in a few weeks, and it’s up to you to decide which project methodology the team will use. The customer is often unavailable, and the team has mixed experience with agile methods. Additionally, the sponsor is supportive but warns that this particular customer tends to be demanding and frequently changes their mind based on the latest market trends. Considering these factors, which project methodology would be most appropriate?

You are about to begin planning for a large and complex project. Given the project’s size and the regulatory and environmental considerations, developing a detailed project management plan will be crucial. What should you do first to begin the planning process?

While monitoring the cost baseline for your project, you notice that the project expenses are higher than expected at this stage. What is the most likely cause of this cost variance?

As a project manager preparing to implement risk management processes, which of the following documents has been updated and evolved throughout the risk management activities?

After adding team member B to your project, team member A becomes uncooperative and loses focus. Upon talking to A, you discover that A is concerned about his role and whether B might replace him. You reassure A that B is added to assist, not replace him, and A is satisfied and resumes work. Which of the following skills did you use to address this situation?

You recently promoted your star programmer, Sam, to lead the agile development team. While Sam was an excellent coder, you expected his new role would allow him to share his expertise with the team. However, his performance as a leader is not meeting your expectations. Which cognitive bias might you have overlooked when promoting Sam?

A document that breaks down the project scope into smaller, more manageable components is called:

The risk management plan describes:

As a project manager performing scope management processes, what is the function of the WBS Dictionary?

As the manager of a large project, you are performing the Control Procurements process. Which of the following activities would you most likely not be involved in during this process?

One of your team members, A, has been behaving disrespectfully towards other team members by frequently blaming them, sending rude emails, and creating an environment where others feel hesitant to communicate with him. Team members have expressed their concerns, and you’ve observed a negative impact on team morale and project progress. Despite addressing the issue with A, his disruptive behavior continues.

What actions should you take in this situation?

• A. Resolve the conflict
• B. Write a stern email to him
• C. Initiate disciplinary action
• D. Ignore the issue

While reviewing your project’s performance, you notice a significant variance that could jeopardize its continuation if unresolved before the next customer inspection. After further analysis, your team identifies that the issue can be resolved with a minor correction to a configuration element. What should be your first course of action?

A project manager is tasked with creating a business case to support an internal project request. What type of information should the business case provide?

You found the following earned value analysis information for a project that has recently been completed:

SPI = 0.7, CPI = 1.0

What can be concluded from this information?

In projects with a comprehensive procurement phase that involves contacting multiple suppliers for bids on a large number of items, what technique should the project manager use to ensure that all suppliers clearly understand the project requirements?

Which of the following are effective ways for a project manager to demonstrate leadership to their team?

• A. Team building
• B. Mentoring
• C. Establishing a vision
• D. Threatening disciplinary action if team members do not follow rules

Project A is currently in the execution phase, and a new risk has been identified. What does this imply?

• A. It is normal, as new risks may arise as the project progresses.
• B. It indicates that the risk identification was inadequate during the planning phase.
• C. It is acceptable because risk identification is an ongoing, iterative process.
• D. It is unacceptable and should be escalated due to the project manager’s inefficiency.

As a project manager, you are working with a supplier you have not partnered with before. The supplier offers two options for pricing: time and materials or a fixed price. To reduce potential cost risks, you select the fixed price option. Which risk response strategy does this decision represent?

A company has established a dedicated Change Control Board (CCB) responsible for reviewing and evaluating all change requests submitted for any project. If the project sponsor is a member of the CCB, which of the following best identifies who is authorized to request a change to the project?

Which of the following should be included in a requirements management plan?

As a project manager, you are reviewing an earned value analysis report prepared by your team. The Schedule Performance Index (SPI) is 0.87. What does this value indicate?

As a project manager, you need a document that identifies the work assigned to each team member. What is the name of this document?

One of your contractors is not meeting the agreed-upon performance standards. You are considering terminating the contract and hiring another contractor for the same job. Which document should you refer to to determine the legal steps for early termination?

Which activity is most likely to provide certainty that the subcontractor’s quality system is functioning correctly and that the project’s quality requirements will be met?

You are planning to invite a famous jazz band to perform at an indoor campus event. To mitigate the risk of disturbing employees in the building, you decide to host the event in a mostly soundproof auditorium. However, this results in an increased number of employees from other buildings attending, leading to a scarcity of parking spaces. This is an example of:

A project is divided into four sequential phases. The second phase of the project has just been completed, and the third phase is about to begin. What should the project manager do first?

You are managing a project for a highly cost-sensitive company. Therefore, you need to reduce the costs to the extent possible. Which one of the following categories of cost would you consider as the first option for cost reduction?

Which technique is most suitable for encouraging different subject matter experts to share their views on the project, its product, and potential risks in an informal and conversational setting?