CPSM CSPM Time, Cost & Resource Management 5

Question 1

A project team is planning using Monte Carlo simulation. What is the primary benefit of this technique for schedule management?

Accepted Answer

It produces a probability distribution of possible completion dates accounting for uncertainty

Answer

Monte Carlo simulation runs thousands of scenarios with varying task durations to generate a probability distribution of project completion dates.

Question 2

What is 'management reserve' in project cost management?

Accepted Answer

The difference between the cost baseline and the project budget

Answer

Management reserve covers unknown unknowns and sits above the cost baseline; it is not part of the cost baseline but is included in the overall project budget.

Question 3

A project manager notices team members are consistently underestimating task durations. What is this cognitive bias called?

Accepted Answer

Planning fallacy

Answer

The planning fallacy is the tendency to underestimate task duration and cost while overestimating benefits, a well-documented cognitive bias in project planning.

Question 4

What is 'gold plating' in the context of project scope and cost management?

Accepted Answer

Adding extra features or quality beyond what the customer requested, consuming budget

Answer

Gold plating occurs when the project team adds unauthorized enhancements beyond agreed scope, wasting budget and potentially causing rework.

Question 5

When crashing a project schedule, which tasks should be crashed first to maximize schedule compression at minimum cost?

Accepted Answer

Critical path tasks with the lowest crash cost per unit of time saved

Answer

To minimize cost when crashing, identify critical path tasks with the lowest cost-slope (cheapest cost per unit of time saved) and crash those first.

(CPSM) Certified Software Project Manager Practice Test

(CPSM) Certified Software Project Manager Practice Test

CPSM CSPM Time, Cost & Resource Management 5