PMP Questions page 66

651.

You work for a large manufacturing plant. You are working on a new project to release an overseas product line. This is the company's first experience in the overseas market, and it wants to make a big splash with the introduction of this product. The stakeholders are a bit nervous about the project and historically proceed cautiously and take a considerable amount of time to examine information before making a final decision. The project entails producing your product in a concentrated formula and packaging it in smaller containers than the U.S. product uses. A new machine is needed to mix the ingredients into a concentrated formula. After speaking with one of your stakeholders, you discover that this will be the first machine your organization has purchased from your new supplier. Which of the following statements is true given the information in this question?

Select one

The question describes risk threshold levels of the stakeholders, which should be considered when performing the Plan Risk Management process.

This question describes risk urgency, which should be considered when performing the Plan Risk Management process.

This question describes risk triggers that are derived using interviewing techniques and recorded in the risk register during the Perform Qualitative Risk Analysis process.

This question describes a risk that requires a response strategy from the positive risk category.

Answer

PMP Question No 4171 - All Domains

652.

Your hardware vendor left you a voicemail saying that a snowstorm in the Midwest will prevent your equipment from arriving on time. You identified a risk response strategy for this risk and have arranged for a local company to lease you the needed equipment until yours arrives. This is an example of which risk response strategy?

Select one

Transfer

Acceptance

Mitigate

Avoid

Answer

PMP Question No 4170 - All Domains

653.

Your stakeholders have asked for an analysis of the cost risk. Which of the following are true?

Select three

Monte Carlo analysis is the preferred method to use to determine the cost risk.

Monte Carlo analysis is a simulation technique that computes project costs one time.

A traditional work breakdown structure can be used as an input variable for the cost analysis.

Monte Carlo usually expresses its results as probability distributions of possible costs.

Answer

PMP Question No 4168 - All Domains

654.

Your hardware vendor left you a voicemail saying that a snowstorm in the Midwest might prevent your equipment from arriving on time and they are watching the weather closely. She wanted to give you a heads-up and asked that you return the call. Which of the following statements is true?

Select one

This is a trigger.

This is a contingency plan.

This is a residual risk.

This is a secondary risk.

Answer

PMP Question No 4167 - All Domains

655.

You've identified a risk event on your current project that could save $500,000 in project costs if it occurs. Your organization is considering hiring a consulting firm to help establish proper project management techniques in order to ensure it realizes these savings. Which of the following is true based on this statement?

Select one

This is a risk event that should be accepted because the rewards outweigh the threat to the project.

This risk event is an opportunity to the project and should be exploited.

This risk event should be mitigated to take advantage of the savings.

This is a risk event that should be shared to take full advantage of the potential savings.

Answer

PMP Question No 4166 - All Domains

656.

You've identified a risk event on your current project that could save $100,000 in project costs if it occurs. Which of the following is true based on this statement?

Select one

This is a risk event that should be accepted because the rewards outweigh the threat to the project.

This risk event is an opportunity to the project and should be exploited.

This risk event should be mitigated to take advantage of the savings.

This is a risk event that should be avoided to take full advantage of the potential savings.

Answer

PMP Question No 4165 - All Domains

657.

Your project has a high degree of uncertainty about the project requirements. You decide to use an agile approach to manage the project in order to achieve which of the following?

Select one

Decrease the risk of rework

Produce accurate requirements in a faster timeframe than in a predictive methodology

Increase knowledge among cross-functional team members, which helps them understand and manage risks

Reduce risk and maximize business delivery

All of the above

Answer

PMP Question No 4164 - All Domains

658.

You are using criticality analysis to determine risk impact. You have calculated an index for each risk and realize the more activities the risk impacts, the higher the index. The index is used as an input to a simulation. Which risk does criticality analysis assess?

Select one

Cost

Resource

Schedule

Quality

Answer

PMP Question No 4163 - All Domains

659.

You are performing the Perform Qualitative Risk Analysis process and want to display proximity and connectivity and their impacts on the project. Which of the following methods will you use?

Select one

Tornado diagram

Influence diagram

Histogram

Bubble chart

Answer

PMP Question No 4162 - All Domains

660.

You are using the representations of uncertainty technique of the Perform Quantitative Risk Analysis process. All of the following statements are true regarding this technique except for which one?

Select one

Beta and triangular distributions are commonly used in this process.

Normal and lognormal distributions use mean and standard deviation to quantify risks.

Continuous probability distributions are graphically displayed and depict the impact of the risk event.

Triangular distributions rely on optimistic, pessimistic, and most likely estimates to quantify risks.

Answer

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