1.

Cost variance is *
0/1
earned value – planned value

earned value / planned value

earned value / actual cost
earned value – actual cost

Correct answer
earned value – actual cost

2. CPI is 1.2, SPI is 1.1. Four months later CPI is.91 and SPI is .86. The most
likely reason for this change is *
0/1
The WBS was inaccurate

As work packages were being executed, discovery on critical path activities caused estimates to
change drastically on several of the work packages
The project manager has not been keeping track of variances on the project to implement
corrections
Several key stakeholders insisted on a last-minute scope change

Correct answer
As work packages were being executed, discovery on critical path activities caused estimates to
change drastically on several of the work packages

3. Which of the following is not correct about initial phase of a project? *

···/1
All the above statements are correct.

The highest uncertainty is at this stage of the project.

Stakeholders have maximum influence during this phase.

No correct answers
 4. You are three months into a six month project. Assume the budget burn rate is
constant. The budget at completion (BAC) is $120,000. AC = $65,000. The SPI
= 1.2. What is the CPI of this project? (Round to 2 decimal places) *
0/1
1.25

1.32
It cannot be determined from the information given
1.11

Correct answer
1.11

5. You are three months into a six month project. Assume the budget burn rate is
constant. The budget at completion (BAC) is $120,000. AC = $65,000. The SPI
= 1.2. What is the CPI of this project? (Round to 2 decimal places) *
0/1
1.32

It cannot be determined from the information given

1.25
1.11

Correct answer
1.11

6. Schedule performance index is : *

···/1
earned value – actual cost

earned value / actual cost

earned value – planned value

No correct answers
 7. Cost estimating techniques which estimate the cost of individual work packages
or individual schedule activities with the lowest level of detail.This detailed cost
is then summarized or “rolled up” to higher levels for reporting and tracking
purposes is called as: *
0/1
Analogous estimating

Bottom up estimating
None of the above
Parametric estimating

Correct answer
Bottom up estimating

8. Several stakeholders on the project have been questioning the effectiveness of

some of the technical team. While the work is proceeding according to plan,
some of the stakeholders are not satisfied with the work delivered to date, even
though it meets requirements specifications. You have held several meetings
with the stakeholders to try to get to the root cause of the problem. With some
of the technical team present at these meetings, it becomes obvious that some
of the stakeholders have had great difficulty in describing what they want. As a
result, some of the delivered product doesn't meet stakeholder expectations.
Currently your CPI is 1.3 and the SPI is .89. What is your largest concern right
now? *
0/1
An increasing probability that some technical team members may leave the project due to high
levels of frustration with stakeholders

The schedule
Clarifying the requirements collection process
Managing stakeholder expectations

Correct answer
The schedule

9. Cost performance index value is less than 1 indicates *

0/1
Cost average
Cost under run
None of the above
Cost overrun

Correct answer
Cost overrun

10. Schedule variance is: *

1/1
earned value – planned value

earned value – actual cost

earned value / actual cost
earned value / planned value
----Is the utility of consuming a good *
0/1
None of these

Use value
Reliability
Cost

Correct answer
Use value

A pen having a cost of Rs.13 caters the utility worth Rs.15 of the customer after selling
it in the market. Calculate the value of the pen. *
0/1
.90

.91
1.11
1.15

Correct answer
1.15

Nowadays, we can observe that in online shopping we can exchange our old product
withthe new ones by a reduction in the price of the new ones and we get the new
product at lower prices.Which type of value does this show?
0/1
Use Value

Esteem Value
Cost Value
Exchange Value
No, the answer is incor

Correct answer
Exchange Value

Value analysis is the systematic application of recognized techniques which identify

thefunction of a product or service, establish a monetary value for that function and
provide the necessaryfunction reliably at the lowest overall cost. *
1/1
True

False
Other:

Value analysis examines the *

0/1
Design of every component

Method of manufacturing
Material used
All of the above

Correct answer
All of the above

Value analysis is normally applied to

0/1
New products

Old products
Future products
New and old products
Correct answer
New and old products

Value analysis is a ____ process

1/1
Remedial

Preventive
Continuous
None of the above

Value analysis should be applied when the following symptom(s) is (are) present *
0/1
Rate of return on investment is reducing

Reduction in sales of the product

Firm is unable to meet delivery promises
All of the above

Correct answer
All of the above

Which of the following statement is false about value analysis? *

0/1
Value analysis results in cost reduction without sacrificing the functional attributes of a product.

Value analysis reduces cost and increases the quality of a product first providing maximum
satisfaction to customers.
Value analysis involves an innovative exercise
Value analysis reduces the cost through research in alternative materials, simplifying the process
and effective services.

Correct answer
Value analysis involves an innovative exercise

Value analysis does not refer to which of the following value?

0/1
Functional value

Spiritual value
Esteem value
Exchange value

Correct answer
Spiritual value