PMP Exam Set C – Q31

You are authorized to approve expenditures above $15,000. For the last several weeks you have been negotiating the terms and pricing of a contract with a vendor, and you want to keep costs as low as possible. This has been a very difficult negotiation process. A colleague suggests you tell the vendor you can only approve expenses below $10,000 as a way to keep the price low. What do you do?

A. Ask for binding arbitration.
B. Tell the vendor you are only authorized to approve expenses under $10,000.
C. Do not follow the colleague’s advice.
D. Put a deadline on the negotiation completion.

C. Do not follow the colleague’s advice.

PMP Exam Set C – Q28

Decision making is an important skill a project manager must possess to manage and lead the team. Which of the following is NOT a part of the six- phase decision-making model?

A. Solution evaluation planning
B. Solution action planning
C. Problem solution generation
D. Problem solution escalation

D. Problem solution escalation

PMP Exam Set C – Q27 ( PMBOK 6th edition )

Which of the following activities fall under the planning process group but not under the Project Schedule Management?

A. Estimating the type of materials and equipment needed to perform project activities
B. Developing the Schedule Management Plan
C. Identification of various activities to produce the project deliverables
D. Developing a detailed description of the project and product being developed

D. Developing a detailed description of the project and product being developed

PMP Exam Set C – Q26

While going through a list of candidates to be hired for your project, you find that your cousin is one the 3 short listed candidates. You know that she was desperately looking for job. After reviewing these resumes, you’ll be sending them to the electronics engineer for a technical interview. Having a first look at the 3 short listed resumes, you realize that they have similar qualifications and experiences. What should you do?

A. To avoid conflict of interest, ignore your cousin’s resume but forward the other two resumes.
B. Forward all three resumes.
C. Call your cousin and conduct an informal interview yourself before forwarding the resumes.
D. Consult your boss before forwarding the resumes for interview.

B. Forward all three resumes.

PMP Exam Set C – Q25

A good quality audit should be:

A. structured and independent
B. informal and independent
C. informal and internal
D. structured and internal

A. structured and independent

PMP Exam Set C – Q24

All of the monitoring and control processes and many of the executing processes produce change requests as an output. Change requests include corrective action and preventive action. Which of the following are normally affected by corrective and preventive actions?

A. Defect repair
B. Regressive baselines
C. The project baselines
D. The performance against baselines

D. The performance against baselines

PMP Exam Set C – Q23

A project manager has decided to use a decision tree to make a build or upgrade analysis. The build requires an investment of $ 200 M (where M represents million). On the build decision branch, there is a 60% probability of strong demand (yielding a revenue of $ 400 M) and a 40% probability of weak demand (yielding a revenue of $150 M). What is the expected monetary value (EMV) of the build?

A. $ 100 M
B. $ 300 M
C. $ 140 M
D. $ 200 M

A. $ 100 M

PMP Exam Set C – Q22

A seller entered into contract with a buyer. At the end of the project, the seller was reimbursed for the cost of the project, but received a very low fee based on certain subjective criteria that had been laid down in the contract. What type of contract is this likely to be?

A. Cost Plus Fixed Fee (CPFF) contract
B. Fixed Price Incentive Fee (FPIF) contract
C. Cost Plus Incentive Fee (CPIF) contract
D. Cost Plus Award Fee (CPAF) contract

D. Cost Plus Award Fee (CPAF) contract