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PMI-002 Certified Associate in Project Management (CAPM) Certification Questions and Answers

Questions 4

Comparing actual to baseline schedules, examining the statement of work, understanding cost overruns, and assessing risk; all occur during a:

Options:

A.

Project audit.

B.

Contract negotiation.

C.

Stakeholder meeting.

D.

Resource leveling activity.

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Questions 5

Which characteristic distinguishes the network diagram from the Gant chart?

Options:

A.

Critical dependencies

B.

Few resources

C.

Critical dates

D.

key milestones

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Questions 6

Which is the Estimate Costs technique used most frequently in the early stages of a project.

Options:

A.

Analogous estimating

B.

Life-cycle costing

C.

Parametric modeling

D.

Bottom up estimating

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Questions 7

Which of the following statements is false?

Options:

A.

Uncertainty and risk are greatest at the start of the project and lowest at the end.

B.

The amount at stake Is lowest at the end of the project and greatest at the start.

C.

Expected monetary value can be expressed as the product of the risk event probability and the risk event value.

D.

Opportunities are positive outcomes of risk.

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Questions 8

Human resource adininistration is the primary responsibility of the_____________

Options:

A.

Project Management Team

B.

Human Resources Department

C.

Executive Manager

D.

Project Manager

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Questions 9

Which of the following is true about pure risk?

Options:

A.

The risk can be deflected or transferred to another party through a contract or insurance policy.

B.

Pure risks involve the chance of both a profit and a loss.

C.

No opportunities are associated with pure risk, only losses.

D.

Botn A and c are correct.

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Questions 10

A tool which links the project roles and responsibilities to the project Define Scope is called ____________.

Options:

A.

Define Scope Matrix

B.

Responsibility Assignment Matrix

C.

Roles Assignment Matrix

D.

Project Scope and Roles Matrix

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Questions 11

Tools and techniques used during the Plan Quality process include ___________.

Options:

A.

Benefit/Cost analysis

B.

Benchmarking

C.

Quality Audits

D.

Both A and B

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Questions 12

A significant difference between independent estimates and proposed pricing could mean that _________________.

Options:

A.

The independent estimates are most likely incorrect and the proposed pricing correct

B.

The sow was not adequate

C.

The prospective seller either misunderstood or failed to respond fully to the SOW

D.

Either B or C

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Questions 13

You are a project manager with several years of experience in project management. You have just accepted your first project in a foreign country. You have been in the country a week or two and are experiencing some disorientation. This is known as which of the following?

Options:

A.

Collocation

B.

Diversity shock

C.

Global culturing

D.

Culture shock

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Questions 14

The quality management plan includes all of the following EXCEPT quality:

Options:

A.

Planning

B.

Definitions

C.

Assurance

D.

Control

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Questions 15

Which of the following situations will cause schedule activity duration estimates to directly influence the cost estimates EXCEPT:

Options:

A.

When resource cost rate information is unavailable from commercial databases

B.

When resources are applied per unit of time of duration of schedule activity

C.

When union labor with regularly expiring collective bargaining agreements are involve

D.

When seasonal cost variations are involve

E.

When project budget includes interest rate changes

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Questions 16

Which of the following are not tools and techniques of source selection ?

Options:

A.

a weighting system.

B.

Organizational policies

C.

Independent estimates.

D.

A screening system.

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Questions 17

You are managing a project that will implement a new MARKETING software package. You have assigned the resources and want to keep the IT manager in the loop by informing your decisions. Which type of organizational structure are you working in?

Options:

A.

Projectized

B.

Strong Matrix

C.

Weak Matrix

D.

Functional

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Questions 18

Make payment to seller is done in _________.

Options:

A.

Plan Procurements

B.

Conduct Procurements

C.

Administer Procurements

D.

Close Procurements

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Questions 19

A unilateral contract under which the seller is paid a preset amount per unit of service is called _________.

Options:

A.

A cost reimbursable contract

B.

A lumP sum contract

C.

A unit price contract

D.

A fixed price contract

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Questions 20

A cost-plus-percentage-cost (CPPC) contract has an estimated cost of $120,000 with an agreed profit of 10% of the costs. The actual cost of the project is $130,000. What is the total reimbursement to the seller?

Options:

A.

$143,000

B.

$142,000

C.

$140,000

D.

$132,000

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Questions 21

Which of the following is best for handling cross-functional project needs for a large, complex project?

Options:

A.

A strong matrix organization

B.

A project coordinator

C.

A project expediter

D.

Direct executive involvement

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Questions 22

Your selection committee is debating between two projects. Project A has a payback period of 20 months. Project B has a cost of $150,000, with expected cash inflows of $50,000 the first year and $25,000 per quarter after that. Which project should you recommend?

Options:

A.

Either Project A or Project B, because the payback periods are equal

B.

Project A, because Project B's payback period is 24 months

C.

Project A, because Project B's payback period is 20 months

D.

Project A, because Project B's payback period is 21 months

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Questions 23

A _______ is a series of actions bringing about a result.

Options:

A.

Project plan

B.

Process

C.

Schedule

D.

Flowchart

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Questions 24

Analogous estimating ____________.

Options:

A.

Uses bottom-up estimating techniques

B.

Uses the actual costs from a previous, similar project

C.

Is synonymous with top-down estimating

D.

Both B and c are correct

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Questions 25

A tool that analyzes the inputs to a process to identify the causes of errors is called ____________.

Options:

A.

Cause and Effect Diagram

B.

Fishbone Diagram

C.

Ishikawa Diagram

D.

Al1 of the above

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Questions 26

The two closing procedures are called:

Options:

A.

Contract close out and Verify Scope

B.

Contract close out and administrative closure

C.

Project closure and product verification

D.

Project closure and lessons learned

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Questions 27

Adjusting Leads and Lags is a technique for:

Options:

A.

Develop Schedule

B.

Estimate Activity Durations

C.

Estimate Activity Resources

D.

Sequence Activities

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Questions 28

A period of time in work weeks which includes non-working days is called:

Options:

A.

Elapsed Time

B.

Duration

C.

Effort

D.

Earned Time

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Questions 29

What is the lowest level in a work breakdown structure?

Options:

A.

Project task

B.

Work package

C.

sow

D.

none

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Questions 30

The one document that should always be used to help identify risk is the _____________________.

Options:

A.

Risk Quantification

B.

Identify Risks

C.

Risk Analysis

D.

Risk Response Development

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Questions 31

Which of the following is true about the project charter?

Options:

A.

The project charter should be published under the name of a manager external to the project.

B.

The project charter should be published under the project sponsor's name.

C.

The project charter should be published under the name of the project manager.

D.

The project charter should be published under the name of the project champion.

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Questions 32

As a project manager, you know that the most important activity to ensure customer and stakeholder satisfaction is which of the following?

Options:

A.

Documenting and meeting the requirements

B.

Reporting project status regularly and in a timely manner

C.

Documenting and meeting the performance measurements

D.

Reporting changes and updating the project plan and other project documents where appropriate

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Questions 33

Control Costs includes all of the following EXCEPT:

Options:

A.

Informing stakeholders of changes.

B.

Recording appropriate changes to the cost baseline.

C.

Monitoring cost performance.

D.

Preparing cost estimates.

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Questions 34

Risks are accepted when ___________.

Options:

A.

You develop a contingency plan to execute should the risk event occur

B.

You accept the consequences of the risk

C.

You transfer the risk to another party

D.

Both A and B

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Questions 35

Which of the following is a method for quantifying qualitative data in order to minimize the effect of personal prejudice on source selection?

Options:

A.

Weighting system

B.

Screening system

C.

Selecting system

D.

None of the above

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Questions 36

Which of the following is not considered a cost of non-conformance to quality?

Options:

A.

Scrap

B.

Rework

C.

Expediting

D.

Process control

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Questions 37

According to the PMBOK Guide, the project statement of work (SOW) should contain or reference all the following elements except?

Options:

A.

Business need, strategic plan, and product scope description

B.

Requirements, business need, and stakeholder expectations

C.

Strategic plan, product scope description, stakeholder influences, and business need

D.

Project purpose, business case, stakeholder influences, and product scope description

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Questions 38

All of the statements regarding control accounts and planning packages are true EXCEPT:

Options:

A.

Control accounts and planning packages are tools and techniques of Develop Schedule process.

B.

A control account is an assigned WBS level used to monitor cost and schedule performance of significant element of work.

C.

Planning packages reflect a future segment of work within a control account that has not yet been decomposed into detailed work packages.

D.

As work becomes more clearly defined, planning packages are converted into work packages.

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Questions 39

Which of the following techniques accounts for path convergence and generally estimates project durations more accurately?

Options:

A.

CPM

B.

PERT

C.

Schedule simulation

D.

Path convergence method

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Questions 40

Which of the following is not true for a Resource Leveling:

Options:

A.

Project's Critical path may be altered

B.

Reverse resource allocation scheduling

C.

Resource based scheduling method

D.

None

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Questions 41

Project Managers have maximum authority in which type of organization?

Options:

A.

Weak Matrix organization

B.

Strong Matrix

C.

Balanced Matrix organization

D.

None

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Questions 42

You are the Project Managers of ABC company. The Project team members are from the finance and accounts. The team members report to Finance and Account Managers respectively, and you have limited control over them. What type of organizational hierarchy does ABC company follow?

Options:

A.

Matrix organization

B.

Projectized organization

C.

Functional organization

D.

None

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Questions 43

Which of the following is NOT an output of the Control Schedule:

Options:

A.

Schedule updates

B.

Revisions

C.

Corrective action

D.

Lessons learned

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Questions 44

Which of the following models of conflict resolution allows a cooling off period, but seldom resolves the issue in the long term?

Options:

A.

Problem solving

B.

Withdrawal

C.

Forcing

D.

Smoothing

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Questions 45

With triangular distribution, the low, likely and high values are 20, 30 and 40, respectively. The mean is _____.

Options:

A.

30.0

B.

22.5

C.

25.0

D.

27.5

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Questions 46

What is the primary purpose of a milestone chart?

Options:

A.

To show task dependencies.

B.

To show resource constraints.

C.

To show significant events in the project such as completion of key deliverables.

D.

To highlight the critical path.

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Questions 47

You are in charge of developing a new product for a bank. Your quality metrics are based on the 80th percentile of each of the last three products developed. This is an example of:

Options:

A.

Statistical sampling

B.

Metrics

C.

Benchmarking

D.

Operational definitions

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Questions 48

A Project Cost Management Plan is created as a part of:

Options:

A.

Estimate Costs process

B.

Determine Budget process

C.

Control Costs process

D.

None

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Questions 49

Which of the following must be measured regularly to identify variances from the plan.

Options:

A.

Stakeholder requirements

B.

Project performance

C.

Control Schedule

D.

Project controls

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Questions 50

Which of the following is not a part of the Earned Value calculations?

Options:

A.

Unknown Unknowns

B.

Project Budget

C.

Known Unknowns

D.

Amount of work completed

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Questions 51

A complex project will fit best in what type of an organization?

Options:

A.

Functional

B.

Cross-functional

C.

Matrix

D.

Balanced

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Questions 52

A Trend Analysis is best described as:

Options:

A.

Examining project performance over time

B.

Calculating Earned Value

C.

Calculating Cost Variance

D.

Analyzing performance of similar projects over time

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Questions 53

Given the following estimates: Optimistic 3 days, Pessimistic 9 days, and most likely 6 days. What is the standard deviation for the estimates?

Options:

A.

1

B.

2

C.

1-5

D.

0-5

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Questions 54

The Project Procurement Management includes:

Options:

A.

Procurement planning

B.

Solicitation planning

C.

Solicitation

D.

All of the above

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Questions 55

You are in process of developing an approximation of the costs of resources needed to complete each schedule activity. Which of the following is the least helpful input?

Options:

A.

WBS, WS dictionary

B.

Market place conditions, commercial databases

C.

Estimate Costs policies/ templates, historical information, project team knowledge

D.

Activity cost estimates, activity cost estimate supporting detail

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Questions 56

During the Develop Schedule process, a Project Manager may have to go through several iterations of the schedule before establishing the schedule baseline. All of the following are tools and techniques that may be used during this process:

Options:

A.

Critical Path Method, GERT, Resource Requirements

B.

Resource Levelling Heuristics, Mathematical Analysis, Calendar!

C.

Duration compression, Resource Leveling Heuristics, PERT

D.

GERT, PERT, Leads and Lags

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Questions 57

The Person primarily responsible for the quality of deliverables is the.

Options:

A.

Quality control inspector.

B.

Project manager.

C.

Design engineer.

D.

Quality manager.

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Questions 58

Which of the following statements regarding configuration management system is least true?

Options:

A.

Configuration management systems establish a method to consistently identify and request changes to established baselines.

B.

Configuration management systems provide mechanisms to communicate changes to all stakeholders.

C.

Configuration management systems provide mechanisms to manage risk and implement risk response activities.

D.

Configuration management systems provide opportunities to improve project by considering impact of changes.

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Questions 59

Which of the following are inputs of the Develop Project Charter process?

Options:

A.

Project statement of work, Contract, Business case and organizational process assets

B.

Project SOW, project selection methods, and enterprise environmental factors

C.

Contract, project selection methods, enterprise environmental factors, and organizational process assets

D.

Contract, project SOW, enterprise environmental factors, and organizational process assets

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Questions 60

23 Reverse analysis is a tool or technique in all of the following processes EXCEPT:

Options:

A.

Monitor and Control Risks

B.

Activity resource estimation

C.

Cost estimation

D.

Determine Budget

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Questions 61

Which of the following approaches to quality improvement is LEAST likely to produce positive results?

Options:

A.

Continuous improvement

B.

Increased inspection

C.

Statistical quality control

D.

IS09001 certified process

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Questions 62

As a project manager, you know that the most important activity to ensure customer and stakeholder satisfaction is which of the following?

Options:

A.

Documenting and meeting the requirements

B.

Reporting project status regularly and in a timely manner

C.

Documenting and meeting the performance measurements

D.

Reporting changes and updating the project plan and other project documents where appropriate

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Questions 63

You are the project manager and cost or schedule for a project is often dictated by management. In this situation, you should take all of the following steps EXCEPT:

Options:

A.

Accept is with no prior action.

B.

Inform management of the consequences.

C.

Negotiate scope.

D.

Perform risk assessment.

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Questions 64

Random variance in a process, as measured by the standard deviation can be directly reduced by:

Options:

A.

Studying scatter diagrams.

B.

Increasing the number of quality inspectors.

C.

Improving the overall system of production.

D.

Identifying patterns of variance.

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Questions 65

As a CAPM, you will be required to comply with the CAPM Code of Professional Conduct. This code refers to all of the following except which one?

Options:

A.

Reporting conflicts of interest

B.

Complying with the stakeholder requirements

C.

Reporting experience and CAPM status truthfully

D.

Complying with the rules and standards of foreign countries

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Questions 66

Which of the following best describes the conflict resolution technique that involves problem solving and fact finding missions in order to discuss a win-win resolution?

Options:

A.

Withdrawal

B.

Forcing

C.

Confrontation

D.

Smoothing

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Questions 67

Which of the following is NOT considered as strategy for negative risk ?

Options:

A.

Avoid

B.

Transfer

C.

Accept

D.

ExPlot

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Questions 68

The sender is responsible for __________.

Options:

A.

Confirming that the message is understood

B.

Ensuring that the receiver agrees with the message

C.

Scheduling communication exchange

D.

Presenting the message in the most agreeable manner

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Questions 69

Who gives project acceptance?

Options:

A.

Sponsor

B.

Customer

C.

Project Manager

D.

Team Lead

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Questions 70

__________ involves using project characteristics in a mathematical model

Options:

A.

Analogous estimating

B.

Life-cycle costing

C.

Parametric modelling

D.

Bottom up estimating

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Questions 71

Which statement is true about Bottom-up estimating?

Options:

A.

Estimating the cost of individual work items and then rolling up the costs to arrive at a project total.

B.

Uses the actual cost of a previous similar project as the basis for estimating the cost of the current project.

C.

Using project characteristics (or parameters) in a mathematical model to predict costs.

D.

Cost of quality can also be used to prepare the schedule activity cost estimate.

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Questions 72

Which one of the following comes first in the project plan?

Options:

A.

Scope Statement

B.

Quality Plan

C.

WBS

D.

Development Plan

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Questions 73

Which of the following is conflict resolution technique?

Options:

A.

Compromise

B.

Smoothing

C.

Foimal

D.

Coercive

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Questions 74

Which type of network diagram is also referred to activity-on-arrow (AOA) diagrams?

Options:

A.

Precedence Diagramming Method (PDM)

B.

Gant Cnart Diagram (GCD)

C.

Dependency Diagramming Method (DDM)

D.

Arrow Diagramming Method (ADM)

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Questions 75

The primary output of the project closing process ____________.

Options:

A.

To formalize and distribute all information pertaining to the project closing

B.

Lessons learned

C.

To get customer and sponsor approval

D.

Milestone list

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Questions 76

You are the project manager and you have created a contract for your customer. The contract must have ________.

Options:

A.

Offer and consideration

B.

Start date and acceptance of start date

C.

Signatures and the stamp of a notary public

D.

Signatures of all stakeholders

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Questions 77

You are the project manager of a project and budgeted money to provide cash awards to team members that exceed expectations. A project team member that is motivated by the chance to earn cash reward can most accurately be explained by which theory

Options:

A.

Hierarchy of needs

B.

Expectancy theory

C.

Achievement theory

D.

Al1 of the above

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Questions 78

In PMBOK, the buyer is ________ to the project team.

Options:

A.

Internal

B.

External

C.

Outside

D.

Assigned

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Questions 79

Which monitoring or controlling activities would not result in preventive action being applied?

Options:

A.

Control Scope

B.

Manage project team

C.

Quality control

D.

Manage Scope statement

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Questions 80

Project Quality Management includes:

Options:

A.

Customer satisfaction

B.

Prevention over inspection

C.

Continuous improvement

D.

Al1 of the above

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Questions 81

You are project manager of a project and you are offering an estimate that you know will be changed after the contract is signed is ___________.

Options:

A.

Bad practice

B.

Unprofessional practice

C.

Bacl f°r both tne buyer and seller

D.

Al1 of the above

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Questions 82

Which of the following statement is true about project charter?

Options:

A.

Provides a high level definition of the effort and its stakeholders

B.

Announces who is the project engineer

C.

Tells the newspapers and media when the project will end

D.

Announces who is the project sponsor

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Questions 83

Which time estimating tools estimate the basis for activity durations can be quantitatively determined by multiplying the quantity of work to be performed by the productivity rate?

Options:

A.

Parametric estimating

B.

Funding limit reconciliation

C.

Reserves analysis

D.

None of the above

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Questions 84

Define Scope involves subdividing the major project deliverables into smaller, more manageable components to __________.

Options:

A.

Improve the accuracy of cost, time and resource estimates

B.

Define a baseline for performance measurement and control

C.

Facilitate clear responsibility assignments

D.

Al1 of the above

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Questions 85

In which phase you define the final deliverable?

Options:

A.

Closing

B.

Execution

C.

Planning

D.

Initiation

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Questions 86

Which document is best suited for tracking the assignment of all resources to specific tasks in a project?

Options:

A.

RACI mAl,x

B.

sow

C.

Staffing management plan D)0 CPI

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Questions 87

Which risk response is most likely to involve contingency reserves?

Options:

A.

Acceptance

B.

shaie

C.

Mitigate

D.

Transfer

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Questions 88

You are the project manager for a Project. Project is a global project. Some peoples are working from US and some are from India. Client says budget should not cost more than $12 million. Because of the global concerns, the final budget must be in U.S. dollars. This is an example of which of the following?

Options:

A.

Internationalization

B.

Budget constraint

C.

Management constraint

D.

Quality constraint

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Questions 89

A Risk Register is a part of the ________.

Options:

A.

Project Scope Statement

B.

Project Management plan

C.

Project Scheduling plan

D.

Project Charter

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Questions 90

__________ is providing detailed plans for tasks that are about to start in the near future using the most current information and revisiting future activities when they near their starting dates.

Options:

A.

Rolling wave planning

B.

Progressive elaboration

C.

Milestone detail planning

D.

Expert judgment

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Questions 91

_________ is always the lowest risk for the buyer if the scope of work is not well defined.

Options:

A.

Cost plus incentive fee

B.

F'xed P|ice

C.

Time and material

D.

"'s^ 's nc* 'elated to price

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Questions 92

Which of the following technique to identify the underlying cause of a problem and take steps to prevent further occurrence?

Options:

A.

Root cause analysis

B.

Quality audits

C.

Project audits

D.

Risk audits

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Questions 93

Who is the person responsible for obtaining funding for a new project's conceptual study?

Options:

A.

Project manager

B.

President

C.

Chief financial officer

D.

Project sponsor

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Questions 94

Formal acceptance by the client or sponsor of the project should be prepared and distributed during which of the following process?

Options:

A.

Distribute Information

B.

Administrative Closure

C.

Organizational Planning

D.

Report Performance

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Questions 95

A scope management plan describes __________.

Options:

A.

An assessment of the stability of the stakeholder environment

B.

A highly detailed approach to managing the work breakdown structure scope

C.

How the project scope will be managed and how scope changes will be integrated into the project

D.

The stakeholder's expectation on how changes will be identified and by what priority they will be addressed

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Questions 96

The practice of ceasing mass inspections and ending awards based on price is credited to which of the following:

Options:

A.

Edward Deming

B.

Philip Crosby

C.

Juran

D.

Pareto

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Questions 97

The ___________ documents the characteristics of the product or service that the project was undertaken to create.

Options:

A.

Project charter

B.

Scope statement

C.

Product description

D.

Technical article

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Questions 98

The quality team for the project consists of several groups. Which of the following project participants plays the most important role in the quality function?

Options:

A.

Customer

B.

Project Manager

C.

Project Team

D.

Vendors and Suppliers

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Questions 99

Developing a written scope statement as the basis for future project decisions is called _________________.

Options:

A.

Product Analysis

B.

Define Scope

C.

Project Development

D.

Collect Requirements

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Questions 100

A risk response which involves eliminating a threat is called

Options:

A.

Mitigation

B.

Deflection

C.

Avoidance

D.

Transfer

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Questions 101

Project Procurement Management includes all of the following EXCEPT:

Options:

A.

Administration

B.

Stakeholder analysis

C.

Planning

D.

Solicitation

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Questions 102

Most schedule simulations are based on some form of which of the following?

Options:

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Questions 103

Estimate Costs_____________.

Options:

A.

Involves developing an estimate of the costs of the resources needed to complete project activities

B.

Cost estimates are generally expresses in unit of some currency.

C.

Involves allocating the overall estimates to individual work items

D.

All of the above

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Questions 104

Which of the following are inputs belong to Estimates Activity Resources?

Options:

A.

Activity List

B.

Resource Calendar

C.

Activity attributes

D.

All of the above are inputs of Estimates Activity Resources

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Questions 105

A tool which is used to illustrate links between work packages or activities and team members is called _______.

Options:

A.

Define Scope Matrix

B.

Responsibility Assignment Matrix

C.

Roles Assignment Matrix

D.

Project Scope and Roles Matrix

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Questions 106

Correspondence, contract changes, and payment requests are ___________ of contract administration.

Options:

A.

Outputs

B.

Tools

C.

Functions

D.

InPuts

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Questions 107

A is the correct answer. Trend analysis is a tool and technique used in Monitor and Control Risks.

Options:

A.

Financial records

B.

Inspection specifications

C.

Project charter

D.

Project reports

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Questions 108

Projects are typically authorized as a result of any of the following except:

Options:

A.

Market demand

B.

Successful RFP bidding

C.

Regulatory requirement

D.

Technological advance

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Questions 109

The project manager's leadership style should be matched to the corresponding developmental level of the project team and should move through successive steps in the following order:

Options:

A.

Disciplinary, autocratic, and participative

B.

Staff planning, team training, and performance monitoring

C.

Team building, team development, and responsibility assignment

D.

Directing, coaching, supporting, and delegating

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Questions 110

All of the following aid in achieving consensus EXCEPT __________.

Options:

A.

Maintaining a focus on the problem, not each other

B.

Avoiding conflict

C.

Seeking facts

D.

Avoiding voting, trading, or averaging

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Questions 111

A series of consecutive points on the same side of the average is called ____________.

Options:

A.

Run Chart

B.

Trend Analysis

C.

Outliers

D.

Cycle

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Questions 112

What impact does a matrix organization have on project team development?

Options:

A.

No impact at all

B.

It complicates team development

C.

It simplifies team development

D.

It hinders team development completely

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Exam Code: PMI-002
Exam Name: Certified Associate in Project Management (CAPM) Certification
Last Update: Jun 15, 2025
Questions: 748
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