Deck 5: Projects

Question 1

Upper level management must decide between pure, functional, and matrix structures as ways to organize projects.

Answer 1

True

Question 2

Complex projects are often subdivided into a series of tasks that are typically configured to be not longer than several months in duration.

Answer 2

True

Question 3

In CPM the late start time estimate is the latest time you can start an activity and still keep the entire project on schedule.

Answer 3

True

Question 4

CPM is an abbreviation for critical path method.

Question 5

A matrix project attempts to blend properties of functional and pure project structures.

Question 6

A matrix project structure is often referred to as a "skunkworks."

Question 7

The critical path of activities in a project is the sequence of activities that form the shortest chain in a project network of activities.

Question 8

A work breakdown structure is used in project management but it is not used when the critical path method is involved.

Question 9

The Gantt chart is an example of a project control chart.

Question 10

A disadvantage of a matrix project organizational structure is that a project manager is held responsible for successful completion of the project.

Question 11

One of the disadvantages of a pure project organizational structure is that the project manager has full authority over the project.

Question 12

A project may be defined as a series of related jobs directed toward some major output and requiring a significant period of time to perform.

Question 13

Project management can be defined as planning, directing, and controlling resources to meet the technical, cost, and time constraints of the project.

Question 14

The second step in managing a project is writing the statement of work.

Question 15

The critical path in a CPM analysis is always the shortest path through the network.

Question 16

An event unit package is a subdivision of a project.

Question 17

The fact that organizations are flattening is one of the reasons that project management is important.

Question 18

The critical path in a project is that sequence of activities that consume the longest amount of time in a project network of activities.

Question 19

One of the advantages of a functional project organizational structure is that a team member can work on several projects.

Question 20

Slack activity time is the difference between the early start and the late finish of a project activity time.

Question 21

When reducing the planned duration of a project using the Time-Cost CPM model we select the activity to crash by determining the cost of each alternative and selecting the one whose cost is the greatest.

Question 22

Earned value management (EVM) is a technique for measuring project progress in an objective manner.

Question 23

In a CPM analysis if you subtract the early start from the late start the result is the activity's slack time.

Question 24

In a CPM analysis if you subtract the late finish from the early finish the result is the activity's slack time.

Question 25

The activity direct costs associated with a project might include giving workers overtime to complete a project in less than the expected time.

Question 26

Calculating the early start and early finish times for each activity in a CPM analysis does not provide any useful information.

Question 27

Breakthrough projects are those that provide fundamental improvements to existing products.

Question 28

One of the assumptions made using CPM is that project activities can be identified with clear beginning and ending points.

Question 29

The project indirect costs associated with a project include overhead, facilities, and resource opportunity costs.

Question 30

A project can be subdivided into which of the following?

A) Job orders
B) Sub-jobs
C) Work packages
D) Sub-paths
E) Events and decisions

Question 31

A project milestone is a specific event to be reached by a particular point in time.

Question 32

The critical path in a CPM analysis is found by locating the activities times with zero slack.

Question 33

Using the Time-Cost CPM model, the crash time is the shortest possible time allowed for each activity in the project.

Question 34

Derivative projects are those which address incremental changes to products or processes.

Question 35

Earned Value Management (EVM) has the capability to combine measurements of scope, schedule, and cost in a project.

Question 36

One of the assumptions made using CPM is that project activity sequence relationships can be specified and networked.

Question 37

You are managing a project and need to cut the cost of the project. You decide to transfer workers to another job to cut the project's costs. Costs associated with transferring the workers are an example of project indirect costs.

Question 38

Project management software available today combines CPM and other scheduling aids, like Gantt charting, to aid in tracking progress of project completion.

Question 39

In the Time-Cost CPM model, cost is assumed to be a linear function of time.

Question 40

The valuations in an Earned Value Management analysis must be either profits or revenue.

Question 41

A project starts out as which of the following?

A) A Statement of Work
B) Critical Path Method (CPM)
C) A series of milestones
D) A Gantt chart
E) A latest-start-time estimate

Question 42

A simple project listing of five activities, their predecessors, and their respective time estimates are presented below: Using CPM, what is the Latest Finish Time for the last activity in this project (i.e., the total time to complete the project)?

A) 10 days
B) 7 days
C) 8 days
D) 12 days
E) 9 days

Question 43

PERT is an abbreviation for which of the following methodologies?

A) Product Evaluation, Result, and Treatment
B) Programming and Evaluation Realization Technology
C) Program Evaluation and Review Technique
D) Process Evaluation and Review Technology
E) It is a name, not an abbreviation for anything

Question 44

A listing of immediate predecessor activities is important information in a CPM analysis for which of the following reasons?

A) It specifies the relationships in the CPM network of activities
B) It provides useful timing information
C) It includes cost information
D) It is the probability information required in the final step of CPM
E) None of these

Question 45

You are looking at a chart that has the terms BCWS, BCWP, and AC indicating lines on the chart. What kind of chart are you looking at?

A) Gantt Chart
B) PERT Chart
C) Bar/Milestone Chart
D) Total Program Cost Breakdown
E) EVM Chart

Question 46

Some of the advantages of a functional project where the project is housed in a functional division include which of the following?

A) The project manager has full authority over the project
B) Team pride, motivation, and commitment are high
C) A team member can work on several projects
D) Needs of the client are secondary
E) None of these

Question 47

A company must perform a maintenance project consisting of seven activities. The activities, their predecessors, and their respective time estimates are presented below: Using CPM, which activities have slack in this project?

A) A, B, C
B) B, D
C) Only C
D) C, E
E) F, G

Question 48

A company must perform a maintenance project consisting of seven activities. The activities, their predecessors, and their respective time estimates are presented below: Using CPM, which activities make up the critical path?

A) A, B, D, F, G
B) A, C, E, F, G
C) A, C, B, F, E
D) A, D, E
E) None of these

Question 49

Which of the following is a graphic project report used in project management?

A) Project proposal
B) Approved project plan
C) Humphrey chart
D) Equipment and supplies chart
E) Cost and performance tracking schedule

Question 50

In a Gantt chart the horizontal axis is usually which of the following?

A) Activities
B) Cost
C) Profit
D) Time
E) Milestones

Question 51

You have been placed in charge of a large project. Shortened communication lines are required to ensure quick resolution of problems as they arise. You recognize that the project is going to take a lot of time and require a lot of team pride, motivation, and commitment by all members. Which project management structure should you use in this situation?

A) Pure Project
B) Task force
C) Matrix Project
D) Functional Project
E) PERT

Question 52

A simple project listing of five activities, their predecessors, and their respective time estimates are presented below: Using the CPM, which activities have slack in this project? (Select all that apply.)

A) A
B) B
C) C
D) D

Question 53

An advantage of a pure project where self-contained teams work full time on a project is which of the following?

A) Team members can work on several projects
B) Functional area is a "home" after the project is completed
C) There are duplicated resources
D) Lines of communication are shortened
E) Overall organizational policies and goals can be ignored

Question 54

What is a work breakdown structure?

A) A list of the activities making up the higher levels of the project
B) A definition of the hierarchy of project tasks, subtasks, and work packages
C) A depiction of the activities making up a project
D) A Gantt chart
E) A structure that is incompatible with the Critical Path Method

Question 55

A series of projects that are organized in such a way that each project utilizes people from different functional areas is using which of the following organizational structures?

A) Matrix project
B) Integrated Task Force
C) Functional project
D) Pure project
E) Cross-functional flexible team

Question 56

For an activity in a CPM analysis the early finish time is 20 and the late finish time is 20. Which of the following statements is true?

A) The activity's late start must happen before its early start
B) The activity is on the critical path
C) The slack for this activity is 20
D) The duration of this task is zero
E) The duration of this task is 20

Question 57

A company must perform a maintenance project consisting of seven activities. The activities, their predecessors, and their respective time estimates are presented below: Using CPM, what is the Latest Finish Time for the last activity in this project (i.e., the total time to complete the project)?

A) 9 days
B) 10 days
C) 11 days
D) 12 days
E) 13 days

Question 58

For an activity in a CPM analysis, the early start time is 8 and the late start time is 10. Which of the following statements is true?

A) The Late Finish is 12
B) The Early Finish is 10
C) The slack for this activity is 2
D) The duration of this activity is 2
E) The activity is on the critical path

Question 59

A simple project listing of five activities and their respective time estimates are presented below: Using CPM, which activities make up the critical path?

A) A, C, D, E
B) A, B, D, E
C) A, C, B, D, E
D) A, D, E
E) None of these

Question 60

You have just been assigned to oversee a series of projects. Functional areas will loan you personnel for each project and separate project managers will be responsible for separate projects. These project managers will report to you. Which project management structure is being used?

A) Pure Project
B) Task force
C) Matrix Project
D) Functional Project
E) PERT

Question 61

You have just used the network planning model and found the critical path length is 30 days and the variance of the critical path is 25 days. The probability that the project will be completed in 33 days or less is equal to (2 decimal accuracy)

A) 0.73
B) 0.55
C) 0.12
D) 0.27
E) 0.60

Question 62

You have collected the data for a Time-Cost CPM Scheduling model analysis. The time is in days and the project "direct costs" are given below. The indirect costs for the project are determined on a daily duration basis. If the project lasts 16 days the total indirect costs are $400, 15 days they will be $250, 14 days they will be $200, and 13 days they will be $100. If you crash this project by one day what is the total (i.e., direct and indirect) project cost?

A) $2,150
B) $2,300
C) $2,400
D) $2,450
E) $2,500

Question 63

In CPM analysis it is generally expected that the relationship between activity direct costs and project indirect costs will be which of the following?

A) Positively related
B) Optimally related
C) Negatively related
D) Not related
E) Fractionally related

Question 64

In a project analysis using three time estimates with more than one critical path existing, how does the project manager decide which variances to use in arriving at the probability of meeting the project due date?

A) The project manager averages the variances and uses that.
B) The project manager uses the smallest variance in order to get the highest probability of on-time completion.
C) The project manager uses the variances considered most correct.
D) The project manager uses the largest variances in order to understate the probability of on-time completion.
E) The project manager uses the most likely estimate plus the amount of slack time in the project.

Question 65

You have just used the network planning model and found the critical path length is 60 days and there are two critical paths. The standard deviation of the first critical path is 10 days and the s.d. of the second critical path is 15 days. The probability that the project will be completed in 70 days or less is equal to (2 decimal accuracy)

A) 0.84
B) 0.25
C) 0.16
D) 0.75
E) 0.66

Question 66

You have just performed a CPM analysis and have found that more than one path through the project network has zero slack values. What can you conclude?

A) You have incorrectly performed the analysis
B) You have multiple critical paths
C) Only one path is optimal
D) More than one path is optimal
E) The project will not be completed by the desired time

Question 67

Below are the data for a Time-Cost CPM Scheduling model analysis. The time is in days and the costs include both direct and indirect costs. What are the total time of this project and total normal cost?

A) Total time is 13 days, total cost is $1200
B) Total time is 12 days, total cost is $1700
C) Total time is 11 days, total cost is $1600
D) Total time is 10 days, total cost is $1750
E) Total time is 9 days, total cost is $1700

Question 68

You have the following time and cost information below for use in a Time-Cost CPM Scheduling model. What are the three costs per unit of time to expedite each activity?

A) A = $300, B = $200, C = $300
B) A = $100, B = $200, C = $400
C) A = $200, B = $200, C = $200
D) A = $100, B = $400, C = $300
E) A = $200, B = $300, C = $400

Question 69

Below are the data for a Time-Cost CPM Scheduling model analysis. The time is in days and the costs include both direct and indirect costs. If you crash this project to reduce the total time by one day what is the total time of the project and total cost?

A) Total time is 13 days, total cost is $1500
B) Total time is 12 days, total cost is $2000
C) Total time is 12 days, total cost is $2300
D) Total time is 11 days, total cost is $1850
E) Total time is 11 days, total cost is $2350

Question 70

You have just used the network planning model for a county road resurfacing project and found the critical path length is 40 days and the standard deviation of the critical path is 10 days. Suppose you want to pick a time (in days) within which you will complete the project with 90% confidence level, what should be that time (in days and round to the nearest whole number.)

A) 40
B) 13
C) 45
D) 29
E) 53

Question 71

Below are the data for a Time-Cost CPM Scheduling analysis. The time is in days and the costs include both direct and indirect costs. If you crash this project to reduce the total time by four days, what is the total time of the project and total cost?

A) Total time is 10 days, total cost is $2,500
B) Total time is 9 days, total cost is $2,300
C) Total time is 8 days, total cost is $2,750
D) Total time is 8 days, total cost is $14,800
E) Total time is 9 days, total cost is $2350

Question 72

You have collected the data for a Time-Cost CPM Scheduling model analysis. The time is in days and the project "direct costs" are given below. The indirect costs for the project are determined on a daily duration basis. If the project lasts 16 days the total indirect costs are $400, 15 days they will be $250, 14 days they will be $200, and 13 days they will be $100. At what day do we achieve the lowest total project cost (i.e., direct plus indirect costs)?

A) 16 days
B) 15 days
C) 14 days
D) 13 days
E) 12 days

Question 73

The major goal of critical path analysis is to:

A) Estimate the project's completion date
B) Identify and manage the critical path
C) Determine the latest feasible start date
D) Provide a visual aid that indicates precedent and antecedent relationships
E) To determine when each activity in the project should be scheduled

Question 74

What does "EVM" stand for?

A) Extra Value Materials-premium quality raw materials at the project site.
B) Enterprise Vacation Matrix-A chart indicating team members planned vacation absences
C) Earned Value Management-a technique for measuring project progress objectively.
D) Early Vision Management-An technique used in early project planning meetings for activities that set expectations to highlight and avoid "scope creep."
E) External Variance Measurement-identifying the degree to which project time and cost variances were due to forces and issues uncontrollable by the project manager.

Question 75

You know when you have arrived at the optimal solution in using the Time-Cost CPM Scheduling model analysis when what happens?

A) You have found the critical path
B) You have run out of crash time
C) You no longer have a linear relationship with costs
D) You have reached the minimum total cost
E) You have run out of crash costs