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Chapter 16 - Managing Service Projects

CHAPTER QUIZ QUESTIONS


True/False
1. The critical path for a project with uncertain activity times is not known for certain until after the
project is completed. (T)
2. A project can be defined as a set of complex interrelated tasks with different requirements regarding
activity time and resources, but with a high degree of repetitiveness. (F)
3. Gantt charts fail to indicate the interdependence among project activities. (T)
4. The critical path refers to the sequence of activities that represent the longest time path through a
project network. (T)
5. The term total slack refers to the amount of time an activity can be delayed without delaying the start
of a subsequent activity. (F)
6. It is possible to delay the start of a non-critical activity and, in the process, make a following activity
critical. (T)
7. Total slack for an activity can be shared with following activities. (T)
8. The term Late Finish refers to the latest time an activity can begin without delaying the completion
of the project. (F)
9. A major flaw in critical path analysis with uncertain activity times is the conservative nature of the
expected project completion time. (F)
10. Before calculating a Late Start time for an activity, the Late Finish time must be known. (T)
11. The single important attribute of a project manager is leadership ability. (F)
12. Schedule variance is the difference between budgeted cost for work performed and actual cost of
work performed. (F)
13. The term calendar is used in project management to keep track of the days and hours required for
completion of projects. (F)

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© 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any
manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.
Chapter 16 - Managing Service Projects

14. Time variance is calculated by subtracting actual time used for work performed from scheduled time
for work performed. (T)
15. When delays occur owing to technical difficulties, performance becomes the source of unexpected
project management problems. (F)
16. Developing a project network is the only major concern for implementing critical path analysis. (F)
17. Merge node bias occurs where the project network contains non-critical paths with small total slack
times. (T)
18. Estimates of project expected completion time and variance usually are not biased when based on the
single critical path. (F)
19. When crashing activities for construction projects, the contractor’s minimum cost duration might not
coincide with the client’s target completion date. (T)
20. A major assumption in project network analysis is that sufficient resources are available to perform
many activities concurrently. (T)
Multiple Choice
1. Which of the following is not true about a critical path in a project network with certain activity times?
a. Activities on the critical path have the least slack.
b. The longest activity in the project must lie on the critical path.*
c. There can be several critical paths in a project network.
d. The first activity in the network is always on the critical path.
2. For a project with uncertain activity times, the probability of project completion exceeding the expected
time calculated for the critical path is:
a. 25 percent.
b. 50 percent.*
c. 75 percent.
d. none of the above.
3. A key assumption underlying project networks is:
a. dummy activities take up no time.
b. the critical path is known with certainty.
c. an activity begins only after all predecessors are completed.*
d. a project network is cyclic.

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© 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any
manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.
Chapter 16 - Managing Service Projects

4. The Beta distribution is useful in network analysis because it:


a. provides formulas for calculating the activity mean and variance.*
b. can be approximated by a normal distribution.
c. provides probability estimates for project completion time.
d. requires only three time estimates to describe uncertain activity duration.
5. A major weakness with project completion time analysis with uncertain activity times is the:
a. possibility that more than one critical path might exist.
b. need to solicit three time estimates for each activity.
c. assumption that the project completion time is normally distributed.
d. bias associated with the expected project completion time.*
6. Monte Carlo simulation of project networks is not recommended when:
a. activity times are deterministic.*
b. more than one critical path exists.
c. bias in project completion time is important.
d. activity time distributions are Beta.
7. Gantt project charts are useful for all but one of the following reasons:
a. visual presentation is appealing.
b. they show interdependence of activities.*
c. they are easy to understand.
d. they assist in planning construction forces.
8. Which one of the following is not an objective of activity crashing?
a. reduce the total cost of completing a project.
b. complete a project in less time than normally expected.
c. create multiple critical paths.*
d. prepare a contract bid.

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© 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any
manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.
Chapter 16 - Managing Service Projects

9. A resource-leveled schedule would have all but one of the following characteristics:
a. the project duration could be longer than normal.
b. slack time is used to begin some activities later than their early start time.
c. the critical path may be changed.*
d. a more balanced use of labor resources would be exhibited.
10. Implementing critical path analysis is faced with all but one of the following problems:
a. availability of project management software.*
b. agreement on the project network.
c. eliciting time estimates for activities.
d. introduction of bias in activity time estimates.
11. Which one of the following attributes is not considered in the selection of a project manager?
a. credibility.
b.originality.*
c. sensitivity.
d.ability to handle stress.
12. The four sequential stages of team development include all but one of the following:
a. forming.
b. storming.
c. coalescing.*
d. performing.
13. Which oneof the following is not considered a source of unexpected project management problems?
a. cost.
b. time.
c. economy.*
d. performance.

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© 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any
manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.
Chapter 16 - Managing Service Projects

14. Projects are terminated for all but one of the following reasons:
a. subtraction.*
b. addition.
c. integration.
d. starvation.
15. A project history report should include all but one of the following items:
a. project performance.
b. organization structure.
c. project success and failures.*
d. project and administrative team.
16. Which one of the following is not considered a source of variance on the earned value chart?
a. time.
b. cost.
c. schedule.
d. none of the above.*
17. Which one of the following makes performance a source of unexpected project management problem?
a. delays owing to technical difficulties.
b. unexpected technical problems.*
c. unforeseen government regulations.
d. increase in the scope of work.
18. Which one of the following is not a critical time estimate for a Beta distribution?
a. optimistic time.
b. pessimistic time.
c. most likely time.
d. expected time.*

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© 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any
manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.
Chapter 16 - Managing Service Projects

19. Which one of the following allows the manager to make probability statements with regard to meeting
project objectives?
a. Gantt chart.
b. CPM.
c. PERT.*
d. earned-value chart.
20. The amount of time an activity can be delayed without delaying the completion of the project is referred
to as:
a. total slack.*
b. late finish.
c. late start.
d. free slack.

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© 2014 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any
manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part.

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