Description : Financial accounting is concerned with – a) Recording of business expenses and revenue b) Recording of costs of products and services c) Recording of day to day business transactions d) None of the above
Last Answer : c) Recording of day to day business transactions
Description : A Project with a total funding of $100,000 finished with a BAC value of $95,000. What term can BEST describe the difference of $5,000? A. Cost Variance B. Management Overhead C. Management Contingency Reserve D. Schedule Variance
Last Answer : C. Management Contingency Reserve
Description : What is a cash flow table in project management? A. A table portraying inflow of cash in a project B. A table portraying outgoing expenses of a project C. It is the tool that is used ... inflows and outflows down, usually on a monthly basis D. A table portraying debts taken for a project
Last Answer : C. It is the tool that is used to study such cash flows by breaking inflows and outflows down, usually on a monthly basis
Description : In the initial stage of the project the probability of completing the project is ___ . (A) Zero (B) High (C) Low (D) Any of the above
Last Answer : (C) Low
Description : ___ builds on the work done in project initiation through the development of a project
Last Answer : Ans. Project planning
Description : ___ should be made of all cost factors so as to reflect on all relevant investment and operational costs of the project including contingencies.
Last Answer : Ans. Realistic estimates
Description : .In the initial stage of the project the probability of completing the project is ___ . A.Zero B.High C.Low D.Medium
Last Answer : C.Low
Description : Cole Company has sales revenue of $39,000, cost of goods sold of $24,000 and operating expenses of $9,000 for the year ended December 31. Cole's gross profit is a. $30,000. b. $15,000. c. $6,000.
Last Answer : b. $15,000.
Description : Gross profit is calculated by subtracting ________ from _________, a. operating expenses, net income b. sales discounts from sales revenue c. cost of goods sold, net sales revenue d. merchandise inventory, cost of goods sold
Last Answer : c. cost of goods sold, net sales revenue
Description : With respect to the income statement, a. contra-revenue accounts do not appear on the income statement. b. sales discounts increase the amount of sales. c. contra-revenue accounts increase the amount of operating expenses. d. sales discounts are included in the calculation of gross profit.
Last Answer : d. sales discounts are included in the calculation of gross profit.
Description : Which of the following statements is most correct? A. For small companies, long-term debt is the principal source of external financing. B. Current assets of the typical manufacturing firm account ... the financial manager to make a decision and not address the issue again for several months.
Last Answer : B. Current assets of the typical manufacturing firm account for over half of its total assets.
Description : Which of the following factors does not need to be considered when formulating policies on the level and financing of working capital? A. The attitude to risk of a company's managers B. ... C. The availability of revenue reserves and capital reserves D. Terms of trade offered by competitors
Last Answer : C. The availability of revenue reserves and capital reserves
Description : All of the following influence capital budgeting cash flows except . A. choice of depreciation method for tax purposes B. economic length of the project C. projected sales (revenues) for the project
Last Answer : B. economic length of the project
Description : Which one of the following best describes a project stakeholder? a. A party who is concerned about the project going ahead. b. A party with an interest or role in the project or is impacted by ... of the project. d. A party who has a financial stake in the organization managing the project.
Last Answer : b. A party with an interest or role in the project or is impacted by the project.
Description : Which risk is connected to the circumstance outside the project that may influence the scope of work and the performance of the organization? A.Operational Risk B.Financial Risk C.Strategic Risk D.Contextual Risk
Last Answer : D.Contextual Risk
Description : Contract documentation is an input to both the Close Project and Contract Closure processes. Contract documentation might include all of the following except for which one? A. Supporting documents B. Contract changes C. Financial documents D. Procurement audit documents
Last Answer : D. Procurement audit documents
Description : Which method is not included in seven Project Selection Methods? A. Financial Analysis B. Strategic Alignment C. Weighted Scoring Model D. Straight line Model (Ans.)
Last Answer : D. Straight line Model (Ans.)
Description : Which one of the following best describes a project stakeholder? a. A party who is concerned about the project going ahead. b. A party with an interest or role in the project or is impacted by ... of the project. d. A party who has a financial stake in the organisation managing the project.
Description : The project closing process is essential to overall project planning. What is considered one of the most important steps in closing the project? 1. Insuring that plans are produced to implement ... . 3. Transition the lease of equipment to the owner 4. Satisfying the contractual obligations
Last Answer : 4. Satisfying the contractual obligations
Description : Which of the following is not deferred revenue expenditure? A. Heavy advertisement expenditure. B. Expenses incurred in removing the business to more convenient premises. C. Preliminary expenses. D. Depreciation on fixed assets.
Last Answer : D. Depreciation on fixed assets.
Description : If the Sales is Rs.100 crores, EBIT is Rs.30 crores, PAT is Rs.20 crores and Total Assets is Rs.300 crores, then the return on assets (ROA) is given by A. 6.67% B. 10% C. 33.33% D. 23.33% E. 26.67%
Last Answer : B. 10%
Description : To financial analysts, "working capital" means the same thing as . A. Total assets B. fixed assets C. current assets D. current assets minus current liabilities.
Last Answer : C. current assets
Description : Ambiguity introduced by way by which organization finances its investments is A. country risk B. liquidity risk C. financial risk D. business risk
Last Answer : C. financial risk
Description : Which leaverage shows the relationship between the revenue in the account of sales and the taxable income A. Financial B. Operating C. Combined
Last Answer : Answer: C
Description : The main outcome of risk identification, in a risk management process, is to: a. identify and determine the relative importance of the project risks. b. identify and describe all risks that ... responses to the project risks. d. identify and describe risks that have occurred on previous projects.
Last Answer : b. identify and describe all risks that might occur on the project.
Description : The function of project initiation is to describe all the parameters of a project and establish the suitable project management and excellence environment necessary to complete the project. (True/False)
Last Answer : Ans. True
Description : The main outcome of risk identification, in a risk management process, is to: a. identify and determine the relative importance of the project risks. b. identify and describe all risks that ... to the project risks. d. identify and describe risks that have occurred on previous projects.
Description : Once the project is approved and moves into the planning stage, what happens in the next phase of the project life cycle? Select one: a. Agreements for risk sharing need to be concluded. ... activities. e. A risk response plan can be used to identify increasing levels of detailed risk analysis
Last Answer : d. Risks are identified with each major group of activities.
Description : Complete the following statement. As the project progresses into the execution phase: Select one: a. risks need to be checked off on activities that have been performed. b. the total risk on ... risk breakdown structure needs to be examined to be sure all the risk events have been avoided.
Last Answer : a. risks need to be checked off on activities that have been performed.
Description : In large organisations, project management shall be of line type function where the project manager shall have ____ and has total formal control over the division he or she heads
Last Answer : Ans. Full line authority
Description : Which of the following are parameters involved in computing the total cost of a development project? a) Hardware and costs b) Effort costs c) Travel and training costs d) All of the mentioned
Last Answer : d) All of the mentioned
Description : A project with total budget cost of 30 crores is scheduled to be completed in 80 weeks. A periodic review was carried out at end of 60 weeks and results are as given: Budgeted cost of work performed (EV) = 17 ... crores What is the cost performance index? A.0.895 B.0.81 C.0.90 D.1.12
Last Answer : A.0.895
Description : A cost performance index (CPI) of 0.89 means: A. At this time, we expect the total project to cost 89 percent more than planned B. When the project is completed we will have spent 89 ... at 89 percent of the rate planned D. The project is only getting 89 cents out of every dollar invested
Last Answer : D. The project is only getting 89 cents out of every dollar invested
Description : The time corresponding to minimum total project cost is A. crash time B. normal time C. optimistic time D. between normal time and crash time
Last Answer : D. between normal time and crash time
Description : The time corresponding to minimum total project cost is A. crash time B. normal time C. optimistic time
Description : Adding people to a project team in order to speed up total development time _____. a. is a standard task in timeboxing b. is a useful way to meet a tight deadline c. may actually increase total development time d. simplifies communication within the team e. none of the above
Last Answer : c. may actually increase total development time
Description : Once the logic of a network is laid out, the project manager will conduct a forward pass and a backward pass through the network. This will provide information regarding ______ and will identify ... C. Resource shortages, high risk activities D. The high risk activities, non-critical path
Last Answer : A. The total duration of the project, critical path
Description : )The total amount of risk that is calculated for a project is found by 1. Multiplying the sum of each the risk times the amount at stake 2. Calculating the cumulative sum of the probability for ... 3. Cannot be calculated since all risks are not know 4. The amount of project reserves available
Last Answer : 2. Calculating the cumulative sum of the probability for each risk and multiplying this value times the consequence of occurrence of the risk events
Description : The Three attributes of project risk are _________, ___________ and ___________. 1. What might happen, who it happens to, and how much will it cost 2. Notification, frequency of relevant events, ... planning, total number of risk events 5. Risk event, probability occurrence, the amount at stake
Last Answer : 5. Risk event, probability occurrence, the amount at stake
Description : Considers the total cost of ownership, or development plus support costs, for a project. A. Learning Curve Theory B. Life Cycle Costing C. Parametric Modeling D. Rate of Performance
Last Answer : B. Life Cycle Costing
Description : Which one of the following is true for the Project Management Plan (PMP)? a. The Project Management Plan is developed by the project manager and team and owned by the sponsor. b. A ... The Project Management Plan is developed by the project manager and team and owned by the project manager.
Last Answer : d. The Project Management Plan is developed by the project manager and team and owned by the project manager.
Description : The justification for the investment to be made in a project is documented in the: a. Cost Breakdown Structure. b. procurement strategy. c. business case. d. Project Management Plan.
Last Answer : c. business case.
Description : Which one of the following statements is true? a. Business-as-usual activities cannot be improved. b. Business-as-usual activities are more difficult to manage than projects. c. Projects are ... change to business-as-usual. d. A project is always the starting point for operation refinement
Last Answer : c. Projects are transient endeavours that bring about change to business-as-usual.
Description : Which statement best describes a responsibility of the project manager: a. to be the sole source of expertise for estimating techniques on cost and time. b. to deliver the project objectives to ... benefits. d. to delegate all accountability for managing time, cost and quality to team leaders.
Last Answer : b. to deliver the project objectives to enable benefits to be realised.
Description : Which one of the following statements is true? a. The business case is owned by the sponsor and is created during the concept phase of the project life cycle. b. The business case is ... is owned by the project manager and is created during the definition phase of the project life cycle.
Last Answer : a. The business case is owned by the sponsor and is created during the concept phase of the project life cycle.
Description : What is the most critical aspect in developing a project plan that meets project specifications within the timeframe and at the lowest costs? Select one: a. Assessing risk management b ... business partners e. Developing a project execution plan that matches the complexity level of the project
Last Answer : e. Developing a project execution plan that matches the complexity level of the project
Description : The project team documents its charge in the form of a ____, which is based on the project proposal and business case
Last Answer : Ans. Project charter
Description : Who orchestrate the completion of the project by inducting the right people at the right time to address the right issue and make the right decisions? A.Project Coordinator B.Project Manager C.Operations Manager D.Strategic Business Unit Head
Last Answer : B.Project Manager