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WorksheetsSG20_Test_S6_CH7 Cost
Total questions: 10
Worksheet time: 10mins
Name
Class
Date
1.
A project manager is determining the budget for a software development project where the product will be built incrementally. Since the project is subject to a strict budget, the project manager has to ensure that scope and schedule baselines stay within cost constraints. The project manager includes budgetary requirements in the release plan.
How can the information in the release plan help the project manager with determining the project budget?
a)
The release plan can become a part of the cost management plan.
b)
The velocity can be increased for the project to stay within budget constraints.
c)
Release burndown charts can be updated with cost trend lines.
d)
Review meetings with stakeholders can be used to discuss the scope and schedule.
2.
A project manager is considering to change the Control Costs process currently used on her project. Instead of submitting budget change requests to the CCB, she wants to invite stakeholders to the parking lot portion of the daily standups and discuss requested changes there. The project manager meets with the stakeholders to propose the process change.
Which of the following arguments would least likely to convince the stakeholders of the benefits of the new process?
a)
The cost management and change management plans will be updated to reflect the new process.
b)
Earned value analysis data from a previous project will be compared to iterative data accumulation.
c)
Only those budget change requests that do not affect the project cost baseline will be discussed.
d)
Other project managers in the organization going through similar process changes will be consulted.
3.
You have been assigned to lead an initiative for which the business case has not been sufficiently made to get approval to initiate a hybrid project. In some of the past projects, teams realized too late into project execution that no one in the company had the skills needed to build some of the features, so it was developed by a contractor, resulting in cost overruns.
What would you do differently in your assignment to avoid cost overruns?
a)
Start with a proof of concept
b)
Use burndown charts for reporting
c)
Develop a project charter
d)
Encourage team knowledge sharing
4.
While monitoring project work, the project manager notices an increase in actual costs that have not been accounted for in the original budget. To understand whether a change request to update the cost baseline should be submitted, the project manager gathers raw observations and measurements of all of the costs that have been authorized, incurred, invoiced, and paid.
What has the project manager gathered?
a)
Planned value
b)
Earned value
c)
Work performance information
d)
Work performance data
5.
The project team has just completed its fourth sprint. As part of the Control Costs process, you determine that the team's average velocity is 25 points per sprint, and the team has earned 1/3 of the total number of story points required to complete the entire project. The average cost per story point is $575. What is the estimate to complete the remaining work?
a)
$57,500
b)
$115,000
c)
$14,375
d)
$172,500
6.
During an initial project planning meeting, the project team decides to save a portion of cost estimates in the work package to offset the potential risk of advances in technology, which would make their current equipment obsolete.
What is the best course of action for the project manager?
a)
Create a management reserve
b)
Submit a change request
c)
Create a contingency reserve
d)
Do nothing as the risk has not yet realized
7.
A project manager has developed the following earned value analysis chart for a software development project. Based on the current trend, what action should the project manager take immediately?
a)
Submit a change request to increase funding for the project
b)
Look for options to reduce costs and improve schedule performance to meet project objectives
c)
No immediate action is required in this case
d)
Crash the schedule to bring it back into alignment with project objectives
8.
A senior executive suggests initiating a project to replace a significant portion of the company's labor force with an automated production line. Other company executives are skeptical that this approach is the best way to increase profit margins and wonder if they are ready to sponsor such an effort.
What is the first thing that should be done in this scenario?
a)
Performing a needs assessment
b)
Consulting with the project management office
c)
Appointing a project sponsor to create a project charter
d)
Providing a project manager with the authority to apply organizational resources
9.
You are the project manager of a project to install new light fixtures throughout several factories. The project is expected to last one year and has a BAC of $750,000. The project is now in month four and has a CPI of 0.89. Which one of the following statements is true about this project?
a)
The project is performing well
b)
The project will likely finish under budget
c)
The project spends 1 dollar for 89 cents of work
d)
The project will likely finish in alignment with the cost baseline
10.
Which of the following shows the remaining amount to be spent on the project based on current spending efficiency?
a)
Cost variance
b)
Estimate to complete
c)
Estimate at completion
d)
Budget remaining
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