PMT 3600V EXAM 1 2026/2027
QUESTIONS AND ANSWERS
1. When calculating the To-Complete Performance Index (TCPI) based on the Estimate At
Completion (EAC), which formula should a Program Manager use?
A. (BAC - EV) / (BAC - AC)
B. EV / AC
C. (BAC - EV) / (EAC - AC)
D. (EAC - EV) / (BAC - AC)
Answer: C
Conceptual Explanation: The TCPI based on EAC is calculated as the work remaining
divided by the funds remaining, which is (BAC - EV) / (EAC - AC).
2. In the context of the Critical Chain Method, what is the primary purpose of a ‘Feeding
Buffer’?
A. To protect the project completion date from slippage in the critical chain.
B. To manage the uncertainty of resource availability across multiple projects.
C. To account for the ‘Student Syndrome’ at the end of the project.
D. To protect the critical chain from slippage on non-critical paths that feed into it.
,Answer: D
Conceptual Explanation: Feeding buffers are placed at the points where non-critical paths
merge into the critical chain to ensure that delays on those paths do not affect the critical
chain.
3. A project manager is using a Monte Carlo simulation. Which of the following is an output of
this quantitative risk analysis technique?
A. A prioritized list of individual project risks.
B. Probability of achieving cost or schedule objectives.
C. The root causes of specific project variances.
D. Identification of secondary risks and residual risks.
Answer: B
Conceptual Explanation: Monte Carlo simulations provide a distribution of possible
outcome costs or dates, helping to determine the probability of meeting specific targets.
4. Which conflict resolution technique is most likely to result in a ‘lose-lose’ situation where
the underlying issue is avoided?
A. Withdrawing
B. Collaborating
C. Smoothing
D. Compromising
, Answer: A
Conceptual Explanation: Withdrawing or avoiding fails to address the problem, often
leading to unresolved conflict and a lose-lose outcome for all parties involved.
5. In a Fixed Price Incentive Fee (FPIF) contract, what happens when the project costs exceed
the ‘Point of Total Assumption’ (PTA)?
A. The seller bears all subsequent cost overruns.
B. The seller stops working until a change order is approved.
C. The buyer pays all additional costs.
D. The incentive fee is increased to cover the deficit.
Answer: A
Conceptual Explanation: The PTA is the point where the contract becomes a firm fixed-
price contract, and the seller is responsible for every dollar of cost overrun beyond this
point.
6. Which of the following is a characteristic of ‘Explicit Knowledge’ in Knowledge
Management?
A. It is difficult to codify and resides in the minds of experts.
B. It is gained through personal experience and social interaction.
C. It can be easily articulated, codified, and stored in databases.
D. It requires face-to-face communication to be transferred effectively.
QUESTIONS AND ANSWERS
1. When calculating the To-Complete Performance Index (TCPI) based on the Estimate At
Completion (EAC), which formula should a Program Manager use?
A. (BAC - EV) / (BAC - AC)
B. EV / AC
C. (BAC - EV) / (EAC - AC)
D. (EAC - EV) / (BAC - AC)
Answer: C
Conceptual Explanation: The TCPI based on EAC is calculated as the work remaining
divided by the funds remaining, which is (BAC - EV) / (EAC - AC).
2. In the context of the Critical Chain Method, what is the primary purpose of a ‘Feeding
Buffer’?
A. To protect the project completion date from slippage in the critical chain.
B. To manage the uncertainty of resource availability across multiple projects.
C. To account for the ‘Student Syndrome’ at the end of the project.
D. To protect the critical chain from slippage on non-critical paths that feed into it.
,Answer: D
Conceptual Explanation: Feeding buffers are placed at the points where non-critical paths
merge into the critical chain to ensure that delays on those paths do not affect the critical
chain.
3. A project manager is using a Monte Carlo simulation. Which of the following is an output of
this quantitative risk analysis technique?
A. A prioritized list of individual project risks.
B. Probability of achieving cost or schedule objectives.
C. The root causes of specific project variances.
D. Identification of secondary risks and residual risks.
Answer: B
Conceptual Explanation: Monte Carlo simulations provide a distribution of possible
outcome costs or dates, helping to determine the probability of meeting specific targets.
4. Which conflict resolution technique is most likely to result in a ‘lose-lose’ situation where
the underlying issue is avoided?
A. Withdrawing
B. Collaborating
C. Smoothing
D. Compromising
, Answer: A
Conceptual Explanation: Withdrawing or avoiding fails to address the problem, often
leading to unresolved conflict and a lose-lose outcome for all parties involved.
5. In a Fixed Price Incentive Fee (FPIF) contract, what happens when the project costs exceed
the ‘Point of Total Assumption’ (PTA)?
A. The seller bears all subsequent cost overruns.
B. The seller stops working until a change order is approved.
C. The buyer pays all additional costs.
D. The incentive fee is increased to cover the deficit.
Answer: A
Conceptual Explanation: The PTA is the point where the contract becomes a firm fixed-
price contract, and the seller is responsible for every dollar of cost overrun beyond this
point.
6. Which of the following is a characteristic of ‘Explicit Knowledge’ in Knowledge
Management?
A. It is difficult to codify and resides in the minds of experts.
B. It is gained through personal experience and social interaction.
C. It can be easily articulated, codified, and stored in databases.
D. It requires face-to-face communication to be transferred effectively.
