22 Risk, Quality, Resources & Communication Practice Questions & Answers

1. 1. A supplier has already notified the team that a shipment will arrive after the promised date, and the delay is holding up work now. Where should the project team record this?

   • A.In the risk register, with a probability and impact rating
   • B.In the assumption log, as a planning belief still to be validated
   • C.In the issue log, with an owner and a target resolution date✓ Answer
   • D.In the change log, as a change request awaiting board review

   A risk is an uncertain future event; once that event has actually occurred it is no longer uncertain and becomes an issue. Issues are recorded in the issue log with an owner and a target resolution date so someone is accountable for resolving them now, while the risk register holds events that may still happen.

   Source: PMI CAPM Examination Content Outline, project management fundamentals: distinguishing risks, issues, assumptions and constraintsReport a problem with this question

2. 2. A team has just identified a long list of risks and needs to decide which ones deserve attention first. What does qualitative risk analysis do?

   • A.It models risks numerically to forecast overall cost and schedule outcomes
   • B.It prioritizes individual risks by rating probability and impact on a matrix✓ Answer
   • C.It verifies which identified risks have occurred so they can be closed
   • D.It assigns response owners and records residual risk for each threat

   Qualitative analysis is a subjective ranking step: each identified risk is rated for probability and impact and placed on a probability-and-impact matrix so the team can concentrate on the high-scoring few. Numeric modeling such as simulation or expected monetary value belongs to quantitative analysis, which is optional and comes later.

   Source: PMI CAPM Examination Content Outline, using a risk register; qualitative versus quantitative risk analysisReport a problem with this question

3. 3. Worried about the cost of a possible equipment failure, a team buys an insurance policy that would pay for the repair if the failure happens. Which threat response strategy is this?

   • A.Transfer, because the financial impact is shifted to a third party✓ Answer
   • B.Accept, because no action is taken beyond periodic monitoring
   • C.Mitigate, because the chance of the failure occurring is reduced
   • D.Avoid, because the source of the threat is removed from the project

   Transfer moves ownership of the impact to a third party that is paid to carry it, through instruments such as insurance, warranties, performance bonds or a fixed-price contract. Note that the failure is just as likely as before, which is why this is not mitigation.

   Source: Standard project management practice: risk response strategies for threatsReport a problem with this question

4. 4. A team could capture an extra market if it ships early, but it lacks the specialized capability. It forms a partnership with a firm better able to capture the benefit. Which opportunity response is this?

   • A.Enhance, because the probability of the opportunity is deliberately raised
   • B.Share, because a partner better placed to capture it takes part of it✓ Answer
   • C.Escalate, because the opportunity falls outside the project's objectives
   • D.Exploit, because all uncertainty about the outcome is removed

   Sharing allocates part of the ownership of an opportunity to a third party that is better able to capture it, typically through a partnership, joint venture or teaming agreement, so the benefit is realized even though the project alone could not achieve it.

   Source: Standard project management practice: risk response strategies for opportunitiesReport a problem with this question

5. 5. During planning, a team sets aside money to pay for the planned responses to risks it has already identified and analyzed. What is this money called, and who uses it?

   • A.Management reserve, inside the cost baseline and spent on identified risks
   • B.Management reserve, outside the cost baseline and released by management
   • C.Contingency reserve, held outside the project budget and controlled by the sponsor
   • D.Contingency reserve, inside the cost baseline and used by the project manager✓ Answer

   Contingency reserve covers known unknowns, that is, risks the team has already identified, so it is built into the cost baseline and the project manager can draw on it when a planned response is triggered. Management reserve covers unknown unknowns, sits outside the cost baseline, and needs management approval before it can be used.

   Source: Standard project management practice: contingency reserve versus management reserveReport a problem with this question

6. 6. A software release includes only a basic set of features, but everything it does works exactly as the requirements specify. How is this product best described?

   • A.Low grade but acceptable quality, because it meets its requirements✓ Answer
   • B.Low grade and low quality, because fewer features were delivered
   • C.Low quality but acceptable grade, because features were left out
   • D.High grade and low quality, because the customer's need was satisfied

   Grade is a category assigned to items that share a functional use but differ in technical characteristics, while quality is the degree to which the product's characteristics fulfill the stated requirements. A deliberately low grade can be perfectly acceptable when the customer agreed to it, but low quality never is.

   Source: Standard project management practice: quality versus gradeReport a problem with this question

7. 7. An independent auditor reviews whether the team is actually following its documented testing procedures. Which quality activity is this, and what does it examine?

   • A.Validate scope, which obtains formal acceptance of deliverables
   • B.Quality planning, which defines the standards the project will follow
   • C.Quality assurance, which examines the processes used to create deliverables✓ Answer
   • D.Quality control, which inspects finished deliverables against requirements

   Quality assurance is process oriented and proactive: audits and process analysis confirm that the right procedures are being used so defects are prevented rather than found later. Quality control is deliverable oriented and reactive, measuring and inspecting finished output to produce verified deliverables.

   Source: Standard project management practice: quality assurance versus quality controlReport a problem with this question

8. 8. After delivery, customers return units under warranty and the company pays to repair them. How is that repair cost classified?

   • A.A cost of conformance, because prevention training was required
   • B.A cost of nonconformance, because the defect reached the customer✓ Answer
   • C.A cost of nonconformance, because the defect was found internally
   • D.A cost of conformance, because inspection detected the defect early

   Cost of conformance covers prevention and appraisal work done to keep defects from reaching anyone, while cost of nonconformance covers failure costs. A warranty repair is an external failure because the customer found the defect, and external failures are the most expensive category, which is why prevention is preferred over inspection.

   Source: Standard project management practice: cost of quality categoriesReport a problem with this question

9. 9. A team plots defect causes as vertical bars ordered from the most frequent cause to the least frequent. What is this chart used for?

   • A.To reveal how measured values are spread across ranges
   • B.To reveal the few causes that produce most of the defects✓ Answer
   • C.To reveal whether a process is behaving predictably over time
   • D.To reveal whether two measured variables move together

   Ordering the bars by frequency turns a histogram into a Pareto chart, whose purpose is to expose the vital few causes responsible for most defects so limited corrective effort is spent where it removes the most failures. Correlation is shown by a scatter diagram and process stability by a control chart.

   Source: Standard project management practice: the basic quality tools, Pareto chartReport a problem with this question

10. 10. A control chart plots measured results over time with a mean and upper and lower control limits. A plotted point falls outside a control limit. What does that indicate?

    • A.The process is out of control and the cause should be investigated✓ Answer
    • B.The customer's specification limits have been formally exceeded
    • C.The process is out of control only when the point sits above the mean
    • D.The result still conforms, because control limits are only advisory

    Control limits describe what the process itself normally produces, so a point beyond them signals a special cause that must be found and corrected, on either side of the mean. Control limits are not the same as specification limits, which are set by the customer and normally sit wider than the control limits.

    Source: Standard project management practice: control charts and process stabilityReport a problem with this question

11. 11. On a responsibility assignment matrix that uses RACI, a team member is marked 'C' for an activity. What does that letter mean?

    • A.They are consulted for input before the work is decided✓ Answer
    • B.They are accountable and answerable for the final result
    • C.They perform the work and are responsible for completing it
    • D.They are informed of the outcome after the work is done

    In RACI, C means consulted: a two-way exchange in which the person's input is sought before the work is decided or performed. I means informed after the fact in one direction, A marks the single person answerable for the result, and R marks whoever actually does the work.

    Source: Standard project management practice: responsibility assignment matrix (RACI)Report a problem with this question

12. 12. A schedule has one specialist assigned to two activities in the same week, and only that person can do the work. The team applies resource leveling. What can happen to the schedule?

    • A.The critical path is locked once leveling has been applied to the plan
    • B.Activities move only within float, so the finish date does not change
    • C.The resource works more hours per day so the project finishes sooner
    • D.Dates shift to respect the resource limit and the critical path can change✓ Answer

    Resource leveling adjusts start and finish dates so demand never exceeds the resource that is actually available, which often lengthens the schedule and can move the critical path onto a different sequence of activities. Resource smoothing is the gentler technique that adjusts activities only within their float and therefore leaves the critical path and the finish date alone.

    Source: Standard project management practice: resource leveling versus resource smoothingReport a problem with this question

13. 13. A recently formed team is openly arguing about which technical approach to take and who should lead each part of the work. Which stage of team development is this?

    • A.Norming, where members settle into agreed ways of working
    • B.Forming, where members are polite and rely on the leader
    • C.Storming, where members clash over approach and roles✓ Answer
    • D.Performing, where members work together with little friction

    In the Tuckman sequence of forming, storming, norming, performing and adjourning, open disagreement about approach and roles is the defining behavior of storming. This stage is normal and the team can move past it, though it may slip back when membership changes.

    Source: Tuckman model of team development as applied in project management practiceReport a problem with this question

14. 14. Two team members disagree about a technical solution. The project manager brings them together to examine both positions and work out an answer both will support. Which conflict-resolution approach is this?

    • A.Force/direct, where one position is imposed to end the argument
    • B.Compromise/reconcile, where each side gives up something it wants
    • C.Collaborate/problem solve, which incorporates multiple viewpoints✓ Answer
    • D.Smooth/accommodate, which stresses areas of agreement instead

    Collaborating, also called problem solving, treats the conflict as a shared problem and merges the viewpoints into a solution both parties genuinely commit to, which is why it produces the most durable result. Compromise leaves both sides partly unsatisfied, smoothing only postpones the disagreement, and forcing is reserved for emergencies.

    Source: Standard project management practice: conflict resolution approachesReport a problem with this question

15. 15. Several new members join a project team. Why does the communication effort grow faster than the number of people?

    • A.Each new person forms a channel with every existing member✓ Answer
    • B.The channels double every time one more person joins the team
    • C.Channels are set by the meeting schedule, not by team size
    • D.Each new person adds exactly one new communication channel

    Communication channels are counted as n(n-1)/2, where n is everyone involved including the project manager, because each person pairs with every other person. Adding one person therefore creates a channel with each existing member, so the total rises much faster than headcount.

    Source: Standard project management practice: communication channels formula n(n-1)/2Report a problem with this question

16. 16. A project manager must make a large body of reference material available to hundreds of stakeholders who will consult it whenever they need it. Which communication method fits best?

    • A.Informal verbal communication, such as hallway conversations
    • B.Interactive communication, such as a meeting with all of them
    • C.Pull communication, such as a repository stakeholders access at will✓ Answer
    • D.Push communication, such as emailing the material to everyone

    Pull communication lets recipients retrieve information at their own discretion from an intranet, knowledge repository or lessons learned database, which is the efficient choice for very large audiences and large volumes of material. Push suits specific recipients who must be notified, and interactive is best for complex or sensitive topics needing immediate feedback.

    Source: Standard project management practice: interactive, push and pull communication methodsReport a problem with this question

17. 17. A stakeholder misreads a written status update and acts on the wrong information. In the sender-receiver communication model, where does responsibility for the message lie?

    • A.With neither party, because noise excuses the misunderstanding
    • B.With the receiver, as soon as the message has been transmitted
    • C.With the sender, who must be clear and confirm understanding✓ Answer
    • D.With the receiver alone, who must decode the message correctly

    In the sender-receiver model the sender encodes the message and is responsible for making it clear, complete and unambiguous, and for seeking acknowledgement and feedback that it was understood as intended. Noise is anything that interferes with transmission, so it is a reason to confirm understanding rather than an excuse for not doing so.

    Source: Standard project management practice: sender-receiver communication modelReport a problem with this question

18. 18. A buyer needs work whose full extent is not yet known, wants a contractor to start right away, and will pay an hourly rate plus materials up to a not-to-exceed amount. Which arrangement is this, and who carries most of the cost risk?

    • A.Firm fixed price, in which the buyer absorbs any overrun above the price
    • B.Time and materials, a hybrid in which the buyer carries much of the cost risk✓ Answer
    • C.Cost-reimbursable, in which the seller absorbs every overrun above the fee
    • D.Firm fixed price, in which the seller carries almost all of the cost risk

    Time and materials is a hybrid priced per hour or per unit, which suits small or urgent work of unknown extent because it can start before the scope is fully defined; since the buyer pays for whatever hours are used, the buyer carries most of the cost risk and usually caps it with a not-to-exceed value. A firm fixed price puts that risk on the seller, and cost-reimbursable contracts put it on the buyer as well.

    Source: Standard project management practice: contract types and cost risk allocationReport a problem with this question

19. 19. A stakeholder asks the project manager to add a feature that is not in the approved scope baseline. What should the project manager do first?

    • A.Add the feature, because the stakeholder is paying the bill
    • B.Refuse the request, because the baseline is already approved
    • C.Ask the team to start the work while approval is pending
    • D.Document the request and assess its impact on the project✓ Answer

    Baselines can only change through integrated change control, and the project manager's opening move is never to accept or reject on the spot but to capture the request in writing and analyze its effect on scope, schedule, cost, quality, resources and risk. Only with that analysis can the approving authority make an informed decision.

    Source: Standard project management practice: integrated change controlReport a problem with this question

20. 20. Which statement correctly distinguishes a change control board from a configuration management system?

    • A.Both track product features, but only the board documents the decisions
    • B.Both approve changes, though the board acts only after a baseline exists
    • C.The board records product versions, while configuration management approves changes
    • D.The board decides change requests; configuration management tracks the product✓ Answer

    A change control board is a formally chartered group whose job is to approve, reject or defer change requests, with each decision and its rationale recorded in the change log and communicated to affected stakeholders. Configuration management is a separate discipline that identifies, records and verifies the product's characteristics and versions so everyone knows which configuration is current.

    Source: Standard project management practice: change control board versus configuration managementReport a problem with this question

21. 21. A team has recorded lessons in the lessons learned register throughout the project. What happens to that information at project closure?

    • A.It is written for the first time at the final project closure meeting
    • B.It stays in the project archive and is not available to other projects
    • C.It is discarded once the sponsor has accepted the final project report
    • D.It moves into the organization's lessons learned repository for future projects✓ Answer

    The lessons learned register is a project document created early and updated continuously as the work reveals what helps and what hurts. At closure its content is transferred into the organizational lessons learned repository, an organizational process asset, so that later projects can benefit from the experience.

    Source: PMI CAPM Examination Content Outline, project closure and transitions: lessons learned register versus repositoryReport a problem with this question

22. 22. A sponsor cancels a project before the product is finished. What should the project team do about closure?

    • A.Keep the project open until the product is eventually built
    • B.Carry out closure activities and record why the project ended✓ Answer
    • C.Skip closure, since it applies only to projects that finish
    • D.Stop all work at once and release the team without formal steps

    Closing the project or phase is performed for every project, including one that is terminated early, and the reason for termination is documented as part of it. Closure still means settling procurements, capturing lessons learned, archiving records and transferring anything usable, with the team and physical resources released only after those steps are complete.

    Source: PMI CAPM Examination Content Outline, explaining project closure and transitionsReport a problem with this question

Practice questions based on the PMI CAPM Examination Content Outline and standard project-management and business-analysis concepts. CAPM, PMP and PMBOK are marks of the Project Management Institute; this site is not affiliated with or endorsed by PMI. PMI sets and periodically revises the exam's length, scoring and eligibility requirements — read the current CAPM handbook and Exam Content Outline on PMI's site before you apply or test. About the CAPM exam →