R4RIN – MCQs, Mock Tests | Project Management Project Management Mcq Question Set 5

During feasibility analysis it is necessary to examine several alternative solutions because (i) a comparison of alternatives will lead to a cost-effective solution (ii) a pre-conceived single solution may turn out to be unimplementable (iii) it is always good to examine alternatives (iv) management normally looks at alternatives

1. i and iii
2. i and iv
3. i and ii
4. ii and iv

✅ Correct Answer: 1

The following are the most important points of a detailed system proposal (i) who will supply and install the required equipment (ii) cost-benefit analysis (iii) comparison of alternative solutions (iv) implementation plan

1. i, ii and iii
2. i, iii and iv
3. ii, iii and iv
4. ii and iii

✅ Correct Answer: 3

The process of determining whether an entrepreneur's idea is a viable foundation for creating a successful business is known as a:

1. feasibility analysis
2. business plan
3. strategic analysis
4. industry analysis

✅ Correct Answer: 1

The following assumptions are made in case of break even analysis, except

1. All fixed costs are fixed
2. All variable costs are fixed
3. The prices of input factors are constant
4. Volume of production and volumes of sales are equal

✅ Correct Answer: 2

At breakeven point there is

1. Profit
2. Loss
3. No profit or loss
4. None of these

✅ Correct Answer: 3

Which of the following should be taken into account when planning a project?

1. Social environment
2. Political environment
3. Operational environment
4. All of the above

✅ Correct Answer: 4

Improvement efforts are determined by:

1. Criticality of problems
2. Current performance
3. Priorities for future output
4. All of the above

✅ Correct Answer: 4

Performance measurement is:

1. The determination of improvement efforts.
2. The process of quantifying action.
3. The improvement of operations.
4. The planning and control of operations.

✅ Correct Answer: 2

Performance relating to the five operations’ objectives can be plotted on which type of diagram?

1. Quality
2. Outcome
3. Polar
4. Satisfaction

✅ Correct Answer: 3

Which kind of standards are those that are set arbitrarily to reflect some level of performance that is regarded as appropriate or reasonable?

1. Competitor performance standards
2. Target performance standards
3. Historical standards
4. Absolute performance standards

✅ Correct Answer: 2

For a police department, using competitor performance standards, a competitor might be:

1. A fire service
2. A foreign police authority
3. A similar police department
4. All of the above

✅ Correct Answer: 4

What approach is used to compare organisation operations with those of other companies?

1. SWOT analysis
2. PERT analysis
3. Benchmarking
4. Competitor performance assessment

✅ Correct Answer: 3

The origins of benchmarking as it is used today go back to which company?

1. Microsoft
2. Toyota
3. Xerox
4. McDonald’s

✅ Correct Answer: 3

A comparison between operations or parts of operations that are within the same total organisation is called:

1. Internal benchmarking
2. Competitive benchmarking
3. Non-competitive benchmarking
4. External benchmarking

✅ Correct Answer: 1

Benchmarking against external organisations that do not compete directly in the same markets is called:

1. Non-competitive benchmarking
2. Collaborative benchmarking
3. Practice benchmarking
4. Non-assault benchmarking

✅ Correct Answer: 1

Which of the following is regarded as a fundamental flaw in the whole concept ofbenchmarking?

1. It limits improvements to currently accepted methods of operating.
2. It does not involve learning.
3. It limits critical thinking.
4. It is not a continuous process.

✅ Correct Answer: 1

What matrix positions each factor according to its performance and its importance?

1. Performance importance matrix
2. Performance importance matrix
3. Importance performance matrix
4. Customer assessment matrix

✅ Correct Answer: 3

What do the letter ‘D’ and ‘I’ stand for in Deming’s cycle of improvement?

1. Design and improve
2. Develop and implement
3. Design and implement
4. Define and improve

✅ Correct Answer: 4

Ishikawa Diagrams are another name for what technique of improvement?

1. Cause-effect diagrams
2. Input-output analysis
3. Process maps
4. Scatter diagrams

✅ Correct Answer: 1

The principles of the business process re-engineering (BPR) approach do NOT include:

1. Checking that all internal customers act as their own suppliers to identify problems.
2. Scrapping any process line over two years old and starting again from scratch.
3. Striving for improvements in performance by radical rethinking and redesigning the process.
4. Rethinking business processes cross-functionally to organise work around natural information flows.

✅ Correct Answer: 2

Qualifying competitive factors are those which:

1. Directly win business for the operation.
2. Need to be better than a good industry standard.
3. Are relatively unimportant compared with the others.
4. May not win extra business if the operation improves its performance but can certainly lose business if performance falls below a particular point.

✅ Correct Answer: 4

Which of the following is not a tool and technique used in the process of Plan Risk Responses

1. Contingent Response Strategies
2. Expert Judgment
3. Risk and Impact Matrix
4. Strategies for positive risks or opportunities

✅ Correct Answer: 3

During which stage of Risk planning are modeling techniques used to determine overall effects of risks on project objectives for high probability, high impact risks?

1. Identify Risks
2. Plan Risk responses
3. Perform Qualitative risk analysis
4. Perform Quantitative risk analysis

✅ Correct Answer: 4

Supplier risk is highest with ______

1. Cost plus incentives fee.
2. Cost sharing.
3. Firm fixed price contract.
4. Fixed price plus incentives.

✅ Correct Answer: 3

You have just completed Qualitative Risk Analysis of the project. What should you bedoing next?

1. Plan Risk Management
2. Perform Quantitative Risk Analysis
3. Plan Risk Responses
4. Control Risks

✅ Correct Answer: 2

Risk Management Plan may include

1. Budgeting, Timing, Thresholds, Methodology
2. Risks, Triggers, Inputs to other processes
3. Avoided, Transferred, Mitigated and Accepted Risks
4. Risk Response Audits, Earned Value Analysis, Technical Performance Measurement

✅ Correct Answer: 1

Reserve analysis is NOT a Tool/Technique in which of the following processes?

1. Cost Estimation
2. Activity Duration estimation
3. Cost Budgeting
4. Activity Resource Estimation

✅ Correct Answer: 4

Which of the following is not a tool or technique used during the Risk Quantification Process?

1. Risk Categorization
2. Contingency planning
3. Probability and Impact Matrix
4. Risk Data Quality Assessment

✅ Correct Answer: 2

Risk management is responsibility of the

1. Customer
2. Investor
3. Developer
4. Project team

✅ Correct Answer: 4

What is associated with product risk?

1. Control of test item
2. Negative consequences
3. non-availability of test environment
4. Test object

✅ Correct Answer: 4

A _____ is a temporary endeavor undertaken to create a unique product service orresult.

1. Assignment
2. Product
3. Research
4. project

✅ Correct Answer: 4

Assembling project team and assigning their responsibilities are done during which phaseof a project management?

1. Initiation
2. Planning
3. Execution
4. Closure

✅ Correct Answer: 1

The basic nature of a project is a/an _____ one.

1. permanent
2. temporary
3. (A) or (B)
4. Both (A) and (B)

✅ Correct Answer: 2

The structure of a project will vary depending on the _________to provide.

1. benefits it is intended
2. Structure
3. Schedule
4. Assignment

✅ Correct Answer: 1

A process that involves continuously improving and detailing a plan as more detail becomeavailable is termed as

1. project analysis
2. project enhancing
3. progressive deliberation
4. progressive elaboration

✅ Correct Answer: 4

A program is usually a group of

1. plans
2. people and work
3. related projects
4. unrelated projects

✅ Correct Answer: 3

Which from the following statement(s) is/are NOT true? I. Projects have defined objectives II. Programs have a larger scope than projects III. The projects and programs in a portfolio must be directly related

1. I only
2. II only
3. III only
4. II and III only

✅ Correct Answer: 3

Projects management is divided in _____ process groups.

1. 5
2. 7
3. . 9
4. 11

✅ Correct Answer: 1

___are avoided by providing more tangible and objective results troughout thelife cycle.

1. Adversarial stakeholder relationship
2. Documents
3. Preview
4. risk resolution

✅ Correct Answer: 1

If any one factor of a project changes, _____ other factor(s) is/are likely to be affected.

1. all
2. one
3. at least one
4. at most one

✅ Correct Answer: 3

Business Value =

1. Tangible Elements
2. Intangible Elements
3. Tangible Elements – Intangible Elements
4. Tangible Elements + Intangible Elements

✅ Correct Answer: 4

Which from the following is NOT a tangible element?

1. Fixtures
2. Trademarks
3. Monetary assets
4. Stockholder equity

✅ Correct Answer: 2

A horizontal bar chart that shows project tasks against a calendar is called

1. milestone
2. goal
3. Gantt chart
4. PERT chart

✅ Correct Answer: 3

Which from the following represents the correct project cycle?

1. Planning→Initiating→Executing→Closing
2. Planning→Executing→Initiating→Closing
3. Initiating→Planning→Executing→Closing
4. Initiating→Executing→Planning→Closing

✅ Correct Answer: 3

The strategy used to correct resource over-allocations by balancing demand for resourcesand the available supply is known as

1. resource assignment
2. resource leveling
3. resource splitting
4. resource scheduling

✅ Correct Answer: 2

The statistical tool that depicts a project’s tasks and the relationships between those tasks is known as

1. milestone
2. goal
3. Gantt chart
4. PERT chart

✅ Correct Answer: 4

Which of the following is NOT a part of project management?

1. initiating
2. monitoring
3. closing
4. All above are parts

✅ Correct Answer: 4

The scope of the work is defined in which phase of the project management?

1. Initiating
2. Planning
3. Executing
4. Closing

✅ Correct Answer: 1