You are the project manager of the JKM Project for your organization. Your project is supposed to be 60 percent complete but you are only 45 percent complete. The project has an assigned budget of $765,000 but you have already spent $365,000 to reach this point in the project due to some errors and rework. Management is pressing you on when you'll complete the project and how much the project will likely cost based on the current performance. You need to tell management what the project's current cost performance index (CPI) is. What value should you report to management based on your project's performance?
Answer(s): B
Management wants to know the cost performance index (CPI). You can find the CPI by first finding the earned value (EV) and then dividing it by the actual costs (AC) spent to date on the project. You find EV by multiplying percent complete by the project's budget; in this instance that's $344,250. The actual costs are reported as $365,000. The formula for the CPI on this project is $344,250 / $365,000 for a value of .94.What is CPI?Cost performance index (CPI) is used to calculate performance efficiencies. It is used in trend analysis to predict future performance. CPI is the ratio of earned value to actual cost. The CPI is calculated based on the following formula:CPI = Earned Value (EV) / Actual Cost (AC)If the CPI value is greater than 1, it indicates better than expected performance, whereas if the value is less than 1, it shows poor performance. The CPI value of 1 indicates that the project is right on target.What is BCWP (or EV)?Budgeted cost of work performed (BCWP) or Earned Value (EV) is the value of completed work. It is the budgeted amount for the work actually completed on the schedule activity during a given time period.Answer options C, A, and D are incorrect. These do not reflect an accurate value for the project's cost performance index. The project is performing moderately well on cost as the closer the CPI is to 1 the better the project's performance.
You are the project manager for the NHQ Project. Management has asked you to create a time estimate for this project although you have only just received the project charter. They would like some idea of how long the project will take based on the information in the project charter. While you are uncomfortable giving any type of estimate at this point, you work with your assigned project to create a quick time estimate. What type of estimate have you created for management?
Answer(s): C
The rough order of magnitude (ROM) estimate is used early in the project when there is not much information available to create a time estimate. Rough order of magnitude estimates can have a range of variance as large as -25% to +75 percent. While ROM is mostly used withcost estimates, it can be used with time estimates too.Rough order of magnitude (ROM), also known as ball park estimate, is a rough approximation, made with a degree of knowledge and confidence that the estimated figure falls within a reasonable range of values. ROM range can vary from half to twice (-50 to +100) the actualcost.Answer option B is incorrect. Broad estimate is not a valid time estimating type. Answer option D is incorrect. Expert judgment is what the project manager used in this scenario to create the time estimate, but it is not a time estimating type.Answer option A is incorrect. An analogous estimate is based on historical information from a similar project. For example, Project A took 8 months to complete and Project B, while similar but larger, will take 10 months to complete.
You are the project manager of the NHQ Project. You have created the project network diagram as shown in the figure:Based on the project network diagram, how much float is available for Activity H if Activity B is delayed by four days and Activity D is delayed by two days?
Answer(s): D
The path of ABDHJ will take 21 days to complete and cannot exceed 27 days or else the project will be late. If Activity B takes four additional days and Activity D takes two additional days, this adds (4+2= 6) six days to the path, bringing the path's duration to exactly (21+6 = 27) twenty seven days. There is no available float left for Activity E or H. Float or total float (TF) is the total amount of time that a schedule activity may be delayed from its early start date without delaying the project finish date, or violating a schedule constraint. It is calculated by using the critical path method technique and determining the difference between the early finish dates and late finish dates. Answer options A, C, and B are incorrect. There is no float available because the path's duration has increased to 27 days.
You are the project manager for your organization. You are working with your project team to create activity duration estimates using the PERT method. What is the formula for PERT?
PERT, which means the Program Evaluation and Review Technique, is a duration estimating technique that uses the formula (O+(4M)+P)/6 forthe optimistic, most likely, and pessimistic values for each work package. A PERT chart is a project management tool used to schedule, organize, and coordinate tasks within a project. PERT stands for Program Evaluation Review Technique, a methodology developed by the U.S. Navy in the 1950s to manage the Polaris submarine missile program. A PERT chart presents a graphic illustration of a project as a network diagram consisting of numbered nodes (either circles or rectangles) representing events, or milestones in the project linked by labeled vectors (directional lines) representing tasks in the project. The direction of the arrows on the lines indicates the sequence of tasks. Answer option C is incorrect. This is the formula for the three-point estimate. Answer options A and B are incorrect. These are not the valid formulas.
Gary is the project manager of the NHF project, which is a part of a program in his organization. According to the PMBOK, how will Gary provide feedback to programs and portfolios?
According to the PMBOK, the project manager provides the feedback to programs and portfolios by means of status reports and change requests that may impact other projects, programs, or portfolios. The needs of the projects, including the resource needs, are rolled up and communicated back to the portfolio level, which in turn sets the direction for organizational planning.What is a status report?A status report is a narrative description about a subject that is relevant to an organization. Typically, a user submits a status report that was created for him by a manager. He can also create and submit his own unrequested status report at any time. It is a collaborative feature specific to PWA. Status report in PWA is a convenient way to exchange textual information with the team members about the status of a project or items in addition to task progress, which a user updates on the Tasks page.What are change requests?Change requests are requests to expand or reduce the project scope, modify policies, processes, plans, or procedures, modify costs or budgets or revise schedules. These requests for a change can be direct or indirect, externally or internally initiated, and legally or contractually imposed or optional. A Project Manager needs to ensure that only formally documented requested changes are processed and only approved change requests are implemented. Answer option C is incorrect. While regular communication is needed, this is not the best answer for the question. Answer option A is incorrect. Status meetings are a part of project communications, but do not answer the questionas completely as status reports and change requests.Answer option B is incorrect. Push communications is one type of communicating mode where the project manager pushes the information torecipients. This is not the best choice for the question because there are other modes communicating as well.
Post your Comments and Discuss PMI PMI-SP exam prep with other Community members:
Our website is free, but we have to fight against AI bots and content theft. We're sorry for the inconvenience caused by these security measures. You can access the rest of the PMI-SP content, but please register or login to continue.