Agile mock test - Value-driven 1 with
100% Correct Answers
To ensure the success of our project, in what order should we execute the work, taking
into account the necessary dependencies and risk mitigation tasks?
A. The order specified by the project manager
B. The order specified by the business representatives
C. The order specified by the project team
D. The order specified by the project management office (PMO) - ANS-B. The order
specified by the business representatives
Explanation
It is largely the business representatives who outline the priority of the functional
requirements on the project. That prioritization is then a key driver for the order in which
we execute the work. Domain: Value-Driven Delivery Source: PMI-ACP Exam Prep
Page: 101
When your team presents a product demonstration, what do they expect to learn?
A. Whether they are building the right product
B. How accurate their user story estimates were
C. Whether the increment passes QA testing
D. How the customer wants them to proceed - ANS-A. Whether they are building the
right product
Explanation
Product demonstrations give the team feedback about whether they are building the
right product so far. They typically don't provide feedback about user story estimates or
QA testing results. Although the customer and the team may discuss the features to be
worked on next as part of the review meeting, the demo itself is simply an opportunity to
get feedback about the increment they have just finished. Domain: Value-Driven
Delivery Source: PMI-ACP Exam Prep Page: 129
A small business is considering two potential projects and is wondering which one to
implement first. Project A returns $700,000 in 5 years, and Project B returns $400,000
in 2 years. What should the organization do?
A. Calculate the NPV of both projects, and select the one with the lower cost.
B. Calculate the IRR of both projects, and select the one with the lower rate.
C. Calculate the NPV of both projects, and select the one with the higher value.
D. Calculate the ROI of both projects, and select the one with the longer payback
period. - ANS-C. Calculate the NPV of both projects, and select the one with the higher
value.
, Explanation
To weigh the value of two projects, we would calculate the NPV of both projects (to
determine their value in today�۪s terms), and select the one that has the higher value.
Domain: Value-Driven Delivery Source: PMI-ACP Exam Prep Page: 89
A sponsor is considering the business value of two projects. How could she apply the
concept of internal rate of return (IRR) to choose between these projects?
A. Choose the project with the lowest revenue.
B. Choose the project with the highest discount rate.
C. Choose the project with the highest revenue.
D. Choose the project with the lowest cost. - ANS-B. Choose the project with the
highest discount rate.
Explanation
Internal rate of return (IRR) shows the earning potential for a project. A higher rate of
return, or discount rate, means a better investment proposition. So to use IRR to
evaluate projects, we calculate the IRR for each project and then select the project with
the highest IRR. Costs and revenue are rolled into the calculation of the rate of return,
rather than being considered separately. Domain: Value-Driven Delivery Source: PMI-
ACP Exam Prep Page: 90
Your agile team is planning the work to be done in the second iteration of a six-month
project. What two priorities should you be trying to balance?
A. Identifying risks and mitigating them
B. Delivering high-value features and mitigating risks
C. Avoiding threats and taking advantage of opportunities
D. Monitoring risks and satisfying customer needs - ANS-B. Delivering high-value
features and mitigating risks
Explanation
In the early iterations, we want to take action to mitigate (not just avoid, monitor, or
identify) risks as soon as possible, and at the same time we want to deliver the highest-
value features as quickly as possible. Although an agile team will try to avoid (or
reduce) threats and take advantage of opportunities, one of the two main priorities must
be delivering value to the customer. Domain: Value-Driven Delivery Source: PMI-ACP
Exam Prep Page: 98
After the project priorities are determined in the initial planning stage of a project, it is
important to:
A. Work with the customer to revisit them throughout the project, especially after each
iteration
B. Keep them fixed throughout the project, to avoid scope creep
C. Allow the end users to adjust them as needed throughout the project
D. Allow the team to adjust them as needed throughout the project - ANS-A. Work with
the customer to revisit them throughout the project, especially after each iteration
100% Correct Answers
To ensure the success of our project, in what order should we execute the work, taking
into account the necessary dependencies and risk mitigation tasks?
A. The order specified by the project manager
B. The order specified by the business representatives
C. The order specified by the project team
D. The order specified by the project management office (PMO) - ANS-B. The order
specified by the business representatives
Explanation
It is largely the business representatives who outline the priority of the functional
requirements on the project. That prioritization is then a key driver for the order in which
we execute the work. Domain: Value-Driven Delivery Source: PMI-ACP Exam Prep
Page: 101
When your team presents a product demonstration, what do they expect to learn?
A. Whether they are building the right product
B. How accurate their user story estimates were
C. Whether the increment passes QA testing
D. How the customer wants them to proceed - ANS-A. Whether they are building the
right product
Explanation
Product demonstrations give the team feedback about whether they are building the
right product so far. They typically don't provide feedback about user story estimates or
QA testing results. Although the customer and the team may discuss the features to be
worked on next as part of the review meeting, the demo itself is simply an opportunity to
get feedback about the increment they have just finished. Domain: Value-Driven
Delivery Source: PMI-ACP Exam Prep Page: 129
A small business is considering two potential projects and is wondering which one to
implement first. Project A returns $700,000 in 5 years, and Project B returns $400,000
in 2 years. What should the organization do?
A. Calculate the NPV of both projects, and select the one with the lower cost.
B. Calculate the IRR of both projects, and select the one with the lower rate.
C. Calculate the NPV of both projects, and select the one with the higher value.
D. Calculate the ROI of both projects, and select the one with the longer payback
period. - ANS-C. Calculate the NPV of both projects, and select the one with the higher
value.
, Explanation
To weigh the value of two projects, we would calculate the NPV of both projects (to
determine their value in today�۪s terms), and select the one that has the higher value.
Domain: Value-Driven Delivery Source: PMI-ACP Exam Prep Page: 89
A sponsor is considering the business value of two projects. How could she apply the
concept of internal rate of return (IRR) to choose between these projects?
A. Choose the project with the lowest revenue.
B. Choose the project with the highest discount rate.
C. Choose the project with the highest revenue.
D. Choose the project with the lowest cost. - ANS-B. Choose the project with the
highest discount rate.
Explanation
Internal rate of return (IRR) shows the earning potential for a project. A higher rate of
return, or discount rate, means a better investment proposition. So to use IRR to
evaluate projects, we calculate the IRR for each project and then select the project with
the highest IRR. Costs and revenue are rolled into the calculation of the rate of return,
rather than being considered separately. Domain: Value-Driven Delivery Source: PMI-
ACP Exam Prep Page: 90
Your agile team is planning the work to be done in the second iteration of a six-month
project. What two priorities should you be trying to balance?
A. Identifying risks and mitigating them
B. Delivering high-value features and mitigating risks
C. Avoiding threats and taking advantage of opportunities
D. Monitoring risks and satisfying customer needs - ANS-B. Delivering high-value
features and mitigating risks
Explanation
In the early iterations, we want to take action to mitigate (not just avoid, monitor, or
identify) risks as soon as possible, and at the same time we want to deliver the highest-
value features as quickly as possible. Although an agile team will try to avoid (or
reduce) threats and take advantage of opportunities, one of the two main priorities must
be delivering value to the customer. Domain: Value-Driven Delivery Source: PMI-ACP
Exam Prep Page: 98
After the project priorities are determined in the initial planning stage of a project, it is
important to:
A. Work with the customer to revisit them throughout the project, especially after each
iteration
B. Keep them fixed throughout the project, to avoid scope creep
C. Allow the end users to adjust them as needed throughout the project
D. Allow the team to adjust them as needed throughout the project - ANS-A. Work with
the customer to revisit them throughout the project, especially after each iteration
