PMP Math: Final Quiz 2 with ANSWERS

1. A risk has two possible outcomes. The first outcome which has a probability of 20% will incur a
project delay of 10 months. The second outcome will result in a schedule improvement of 5 months and
is rated at a 80% probability. What is the expected value of this risk in terms of project completion?

o 2 months late
o 6 months late
o 8 months late
o *2 months early

ANSWER
Plus meaning early and minus meaning late
- 10 months * .20 = - 2 months
+ 5 months * .80 = + 4 months
--------------
+ 2 months or 2 months early

2. You have completed 100 tasks that have a total budget of $200,000. According to
the project schedule you should have completed 180 tasks with a total budget of
$250,000. What is the schedule performance index?

o 1.0
o 1.25
o *0.8
o SPI cannot be calculated

ANSWER
EV = $200,000
PV = $250,000
SPI = EV/PV
= 200,000/250,000
= .80

3. You are assigned the task of creating a communications plan for the project. The first task is to
assess the number of possible communication channels. There are 4 members on the Steering
Committee. There is 1 project sponsor, 1 project manager and 5 project team members. There are
also 3 suppliers that need to be included. What are the number of communication channels?

o 45
o 58
o 78
 o *91

ANSWER
Communication channels = n (n-1) / 2
= (14 * 13) / 2
= 182 / 2
= 91
Question 4

Based on the S curve shown above the project status is:

o Ahead of schedule, overspent to budget

o Ahead of schedule, underspent to budget
o *Behind schedule, overspent to budget
o Behind schedule, underspent to budget

ANSWER
EV < PV at month 8 therefore behind schedule
AC > EV therefore overspent to budget
Do not look at the point where PV ends. The evaluation must be made for all three lines in month 8.

5. It is four months into the project work and the team has completed tasks worth a budget value of
$80,000. The actual costs to date are $70,000. According to the project reports, you are behind
schedule and should have completed tasks budgeted at $120,000. What are the correct EVM metrics
for your project?

o AC = $70,000; EV = $120,000
o EV = $70,000; PV = $120,000
o *CV = $10,000; SV = -$40,000
o CV = -$10,000; SV = -$40,000
ANSWER
EV = $80,000
AC = $70,000
PV = $120,000
CV = EV - AC
= $80,000 - $70,000
= $10,000
SV = EV - PV
= $80,000 - $120,000
= - $40,000

6. Your team has given you a pessimistic estimate of $4,000 for a task. The optimistic estimate is $840
and the most likely is $2,000. Using the PERT analysis technique what value will you use as the cost
estimate for the task?

o $3,210
o $3,140
o $2,800
o *$2,140

ANSWER: $840 + (4 * $2000) + $4,000 = $12,840

$12,840/6 = $2,140

7. There are eight people involved in the project. How many communications channels are there?

o *28
o 25
o 21
o 6
ANSWER
Communication channels = n (n-1) / 2
= (8 * 7) / 2
= 56 / 2
= 28
8. Based on a critical path analysis, what is the amount of slack for Task B?

o *2 weeks
o 4 weeks
o 6 weeks
o 17 weeks

ANSWER
Path A - B - E - F = 1 + 6 + 4 + 4 = 15 weeks
Path A - C - E - F = 1 + 4 + 4 + 4 = 13 weeks
Path A - D - E - F = 1 + 8 + 4 + 4 = 17 weeks (critical path)
Slack for Task B is 2 weeks

9. There are three possible outcomes for an event, each with a probability and a result. What is the
expected value?

Probability Result of Risk

80% -$40,000
10% +$30,000
10% +$30,000

o -$34,000
o *-$26,000
o -$32,000
o -$40,000

ANSWER:
-$40,000 * .8 = - $32,000
$30,000 * .1 = $3,000
 $30,000 * .1 = $3,000
-------
Sum - $26,000

10.

Based on the S curve shown above the project status is:

o *Ahead of schedule, overspent to budget

o Ahead of schedule, underspent to budget
o Behind schedule, overspent to budget
o Behind schedule, underspent to budget

ANSWER
EV > PV in August therefore ahead of schedule
AC > EV therefore overspent to budget

11. The following values are received for task duration. The most likely time is 6 weeks. The most
optimistic estimate is 4 weeks although there is a possibility that it may take 14 weeks. Using the
triangular analysis technique what value will you use as the duration estimate for the task?

o 14 weeks
o *8 weeks
 o 7 weeks
o 6 weeks

ANSWER: 4 + 6 + 14 = 24
24 / 3 = 8

12. Based on a critical path analysis, what is the amount of slack for Task F?

o 0 weeks
o *1 week
o 4 weeks
o 14 days

ANSWER
Path A - B - D - G = 1 + 6 + 4 + 4 = 15 weeks (critical path)
Path A - C - E - G = 1 + 4 + 6 + 4 = 15 weeks (critical path)
Path A - F - G = 1 + 9 + 4 = 14 weeks

13. You have completed 100 tasks that have a total budget of $200,000. According to
the project schedule you should have completed 180 tasks with a total budget of
$250,000. The actual cost of the tasks completed is $200,000. What is the cost performance index?

o *1.0
o 1.25
o 0.8
o CPI cannot be calculated
ANSWER
EV = $200,000
PV = $250,000
AC = $200,000
CPI = EV/AC
= 200,000/200,000
= 1.0

14. Six months have passed since the project started and the team should have completed tasks worth
a budget value of $190,000. The actual costs to date are $200,000. According to the project reports,
you are ahead of schedule having completed tasks budgeted at $210,000. What are the correct EVM
metrics for your project?

o *CV = $10,000; CPI = 1.05

o EV = $210,000; PV = $200,000
o CV = - $10,000; SV = $20,000
o CV = $10,000; SPI = 1.05

ANSWER
PV = $190,000
AC = $200,000
EV = $210,000
CV = EV - AC
= $210,000 - $200,000
= $10,000
CPI = EV / AC
= $210,000 / $200,000
= 1.05
SPI = EV / PV
= $210,000 / $190,000
= 1.105

15. The project results show a completion of 10 tasks that cost $15,000. According to the project
schedule you should have completed 12 tasks with a total budget of $20,000. Which EVM metric is
correct?

o CPI = 1.25
o * PV = $20,000
o AC = $20,000
 o SV = -$5,000

ANSWER
AC = $15,000 (the cost of the tasks is given not the budget value for the tasks)
PV = $20,000
EV = not given
CPI = EV / AC (cannot be calculated)
SV = EV / PV (cannot be calculated)

16. There are four risk probabilities for an event, each with a negative financial result. What is the
expected value?

Probability Result of Risk

60% -$50,000
20% -$20,000
10% -$10,000
10% -$10,000

o -$90,000
o -$42,000
o -$40,000
o *-$36,000

ANSWER:
-$50,000 * .6 = - $30,000
-$20,000 * .2 = - $4,000
-$10,000 * .1 = - $1,000
-$10,000 * .1 = - $1,000
----------
Sum - $36,000

17. There are five project team members and 2 suppliers. How many communications channels are
there?

o 28
o 25
o *21
o 6
ANSWER
Communication channels = n (n-1) / 2
 = (7 * 6) / 2
= 42 / 2
= 21

18. You have completed 120 tasks that have a total budget of $200,000. According to
the project report the cost of these tasks is $215,000. What EVM metric is correct?

o EV = $215,000
o CV = $15,000
o *AC = $215,000
o CPI = 0.85
ANSWER
EV = $200,000
AC = $215,000

CV = EV - AC
= $200,000 - $215,000
= - $15,000 (CV is negative not positive)
CPI = EV / AC
= $200,000 / $215,000
= 0.9302

19. What is the total time on the critical path?

o 15 weeks
o *14 weeks
o 13 weeks
 o 12 weeks

ANSWER
Path A - B - D - F = 1 + 5 + 4 + 4 = 14 weeks (critical path)
Path A - C - D - F = 1 + 5 + 4 + 4 = 14 weeks (critical path)
Path A - E - F =1+9+4 = 14 weeks (critical path)

20. The project metrics are as follows: the CPI is 0.95 and SPI is 1.05. What is the status of the project?

o *Ahead of schedule, overspent to budget

o Ahead of schedule, underspent to budget
o Behind schedule, overspent to budget
o Behind schedule, underspent to budget

ANSWER
CPI < 1 therefore overspent to budget
SPI > 1 therefore ahead of schedule

21. Six months have passed for the one year the project. Earned Value is $180,000. Actual cost is
$200,000. CPI is .90 and the total project budget is $360,000. If the spend rate for the first six months
continues for the remainder of the project what is the EAC?

o $380,000
o *$400,000
o $420,000
o $480,000

ANSWER
EV = $180,000
AC = $200,000
EAC = $360,000
CPI = .90
EAC = AC + ETC
= $200,000 + ($180,000/.90)
= $400,000

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