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Professional in Project Management (PPM) Questions 206–210 (page: 43)

Updated On: 10-Feb-2026

Communication plays a major role in:

  1. Organizing
  2. Controlling
  3. All of the other alternatives apply
  4. Directing
  5. Planning

Answer(s): C



A Project with a total funding of $70,000 finished with a BAC value of $60,000.
What term can best describe the difference of $10,000?

  1. Management Overhead
  2. Management Contingency Reserve
  3. Cost Variance
  4. Schedule Variance

Answer(s): B

Explanation:

The difference between the Cost Baseline and Funding requirement at Project completion is Management Contingency Reserve. BAC represents the revised Cost baseline for the project. So Management Contingency Reserve is true.



You are a project manager for an agricultural supply company. You have just completed and obtained sign-off on the project scope statement for your new Natural Bug Busters project. A key stakeholder has informed you that a deliverable is missing from the project scope statement. This deliverable is a critical success factor.
Which of the following actions should you take?

  1. Modify the scope statement to reflect the new deliverable.
  2. Modify the scope statement after an approved change request has been received from the stakeholder.
  3. Inform the stakeholder that work not stated in the scope statement is excluded from the project.
  4. Inform the stakeholder that this deliverable must be included in phase two of this project since sign-off has already been obtained.

Answer(s): B

Explanation:

The project scope statement will change throughout the project as change requests are received and approved. Project managers must be certain to discover all deliverables before publishing the project scope statement to prevent situations like the one described in this question.



Control chart theory is based on the differentiation of the causes of variations in quality. Variations may be produced by assignable causes. All of the following are examples of assignable causes except:

  1. None of the other alternatives apply (all are examples)
  2. differences among materials.
  3. differences among machines.
  4. differences among workers.
  5. differences in each of these factors over time.

Answer(s): A



The basic elements of communication include:

  1. Reading, writing and listening
  2. Communicator, encoding, message, medium, decoding, receiver, and feedback
  3. All of the other alternatives apply
  4. Clarity of speech and good listening habits
  5. Listening, talking and sign language.

Answer(s): B



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