Project Management Project Scheduling and Costing 5

Question 1

Which technique identifies the minimum project duration by finding the longest sequence of dependent activities?

Accepted Answer

Critical Path Method (CPM)

Answer

CPM calculates the longest path through the project network, which determines the shortest possible project duration.

Question 2

A project manager uses Monte Carlo simulation for schedule risk analysis. What is the primary output of this technique?

Accepted Answer

A probability distribution of possible project outcomes

Answer

Monte Carlo simulation runs thousands of scenarios to produce a probability distribution showing the likelihood of completing by various dates.

Question 3

What is 'management reserve' in project cost management?

Accepted Answer

Budget withheld by management for unknown unknowns outside project scope

Answer

Management reserve is a portion of the total budget held by upper management for unforeseen work outside the current project scope.

Question 4

Which schedule compression technique increases project risk the most?

Accepted Answer

Fast-tracking

Answer

Fast-tracking increases risk because performing planned sequential activities in parallel creates more opportunities for rework and errors.

Question 5

What is a 'lead' in project scheduling?

Accepted Answer

A time advance that allows a successor activity to start before its predecessor completes

Answer

A lead allows a successor activity to begin before its predecessor finishes, effectively accelerating the schedule.

Project Management Practice Test