Chapter-1 Questions

1.Which of the following statements is correct?

A- A collection of unrelated programs can constitute a portfolio.
B- The scope of a portfolio is typically smaller than that of a program.
C- A program is a group of unrelated projects.
D- A program need not consist of projects.
[PMBOK 6th edition, Page 13]

2. PMBOK recognizes five process groups typical of nearly all projects. Which of the following is not
one of them?

A- Executing

B- Monitoring and Controlling

C- Planning

D- Pre-Inception

.[PMBOK 6th edition, Page 23]

3. Nancy is engaged in the construction of three office buildings. Although the construction sites are
in various places, she has managed each team efficiently to complete the work on time and within
budget. Which of the following statements describes the effort Nancy is doing?

A- Construction of each building is an operational work because it is repetitive in nature.

B- The building construction is considered neither a project nor operational work.

C- Construction of all three buildings is considered one project.

D- Construction of each building is a project because each building is separate in nature.

[PMBOK 6th edition, Page 4]

4.Michael is serving as the Senior Financial Officer at an oil refinery. Michael’s job is to manage any
excess management reserves, which may include multiple external investments at different banks,
the stock exchange, trading, leasing, etc., in order to maximize corporate profit. Each of these
investments needs to be managed as a separate project because they all have a maturity period.
Selection of the right investment project is not industry specific but rather focuses on environmental
conditions and best return rates. Which of the following best describes Michael's role?

A.) Project Coordinator

B.) Project Manager

C.) Program Manager

D.) Portfolio Manager

5. Robert works for an air cargo handling company. He has been asked to design a new shipment
tracking process for the company. This process is required to electronically track every customer
shipment and provide updates. Once designed and approved, Robert is required to transfer this
process to the Operations team for implementation. What type of process has been assigned to
Robert?

A.) It is considered an operations process because it will be used continuously.

B.) It is considered an operations process because air cargo handling falls under operations.

C.) It is considered a project because it has a specific beginning and a specific end.

D.) It is considered a project since it contains a deliverable.

6. The difference between a project, program, and portfolio is:

A. A project is a temporary endeavour with a beginning and an end, a program may include other

nonprojected work, and a portfolio is all the projects in a given department or division.

B. A project is a lengthy endeavour with a beginning and an end, a program combines two or more

unrelated projects, and a portfolio combines two or more programs.

C. A project is a temporary endeavour with a beginning and an end, a program is a group of related

projects, and a portfolio is a group of projects and programs related to a specific strategic

organizational objective.

D. A project is a contracted endeavour with a beginning and an end, a portfolio is a group of projects

with more open-ended completion dates, and a program combines two or more portfolios.

7. The transition from one phase to another within a project's lifecycle (e.g.,
from design to manufacturing) is typically marked by:

A. Kill point
B. Monte Carlo
C. Constraint
D. Decision tree

PMBOK 6th edition, Page 21

8. There are 4 projects to be chosen from, Project A has NPV of $32500, Project B has NPV of
$35000, Project C has NPV of $45000 and Project D has NPV of $10000, which project should be
chosen?
A. Project A
B. Project B
C. Project C
D. Project D

9. Which of the following is the correct logical sequence of the five process groups?
A- Planning, Monitoring and Controlling, Initiating, Executing, Closing
B- Planning, Initiating, Executing, Monitoring and Controlling, Closing
C- Initiating, Monitoring and Controlling, Planning, Executing, Closing
D- Initiating, Planning, Executing, Monitoring and Controlling, Closing