Project Management Quiz - 18

1. The utility of a risk seeker is:
[A]negatively exponential
[B]positively skewed
[C]increasing
[D]decreasing
[E]symmetrical



2. Which of the following is equivalent to a lump sum contract:
[A]fixed price contract
[B]price fixing contract
[C]purchase order
[D]All of the above.
[E]B and C only



3. Back charges refers to:
[A]transferring charges from sub-contractors to the owner
[B]adjusting payments to reflect late invoices consequence
[C]the cost of corrective action taken by the owner and charged to the contractor for non-conformance
[D]gaining restitution from the owner for non payment
[E]C and D only



4. Company expenses such as auditing costs, supervision, office supplies, building rent and maintenance are elements of the:
[A]Capital budgeting process.
[B]Overhead rates.
[C]Contracts and administration costing system.
[D]Fringe benefits packages.
[E]None of the above.



5. Job continuity would be an example of _____ in Maslow's hierarchy of needs.
[A]Self-actualization
[B]Esteem
[C]Physiological
[D]Belonging
[E]Safety



6. Overlapping activities on a project, such as design and construction, is referred to as:
[A]Fast tracking
[B]Risk conversion.
[C]Parallel management.
[D]Process improvement.
[E]Synchronous manufacturing



7. The major reason why a project manager would use written instead of oral communication is:
[A]documentation
[B]feedback
[C]cost
[D]barrier elimination
[E]All of the above.



8. The scope management provides:
[A]A basis for future decisions about the project.
[B]A baseline to accomplish verification measures.
[C]A baseline to evaluate potential scope changes.
[D]All of the above.
[E]B and C only.



9. Total project risk can be defined as:
[A]the sum of the probabilities of project risks events times the sum of consequences of those risks
[B]the sum of the products of each project risk event times its consequences
[C]the sum of the consequences of all project risk events
[D]the sum of the probabilities of all project risk events
[E]1 - the sum of the probabilities of all project risk events.



10. Which of the following statements about the cost of quality are true?
[A]the cost of quality is the expense of nonconformance to requirements and specifications.
[B]the cost of quality are mostly the direct responsibility of workers who are manufacturing the product.
[C]quality control programs should be implemented when the cost of quality are deemed affordable by management.
[D]A and B.
[E]A and C



11. A line manager who is asked to wear two hats and function as a project manager at the same time is likely to exercise:
[A]Authority
[B]Power
[C]Influence
[D]All of the above]
[E]A and B only



12. Including the customer in the process of project planning is:
[A]Slow and counterproductive.
[B]Essential in the definition and documentation of project goals.
[C]Necessary, but of limited value.
[D]Unnecessary because project goals are defined in the proposal stage.
[E]None of the above.



13. It is argumentative whether project managers actually control costs. Which of the following is the most common element over which the project manager may have some degree of control?
[A]Direct labor dollars
[B]Direct labor hours.
[C]Overhead rates.
[D]Procurement costs.
[E]None of the above.



14. Most quality problems:
[A]originate in the quality department where the ultimate responsibility for quality rests.
[B]originate on the shop floor because of waste and product rework.
[C]are the results of management inattention to potential quality improvement ideas.
[D]could be eliminated if shop supervisors monitored their work more closely.
[E]A and B



15. The "buy or make" decision is usually made during the:
[A]acquisition cycle
[B]contract evaluation cycle
[C]requirements cycle
[D]pre-award cycle
[E]at any time that is convenient for the project manager