CAPM Questions, Answers 100% Verified 2024/2025
Initiating
Planning
5 process groups Executing
Monitoring and Controlling
Closing
Integration
Scope
Time
Cost
Quality
ten knowledge areas
HR
Communications
Risk
Procurement
Stakeholder management
total float formula total float = late finish - early finish
bell curve - symmetrical distribution - 50%
chance of falling below the mean and 50%
normal distribution chance of falling above the mean
(1sigma=68.27%. 2sigma = 95.45%. 3sigma=
99.73%)
when there are 3 possible values w/ equal probability - distribution is a triangle.
triangular distribution
A= lowest value, B= highest value, M = most likely value
triangular distribution w/ more weight given to the most likely estimate (can be
beta distribution (PERT) asymmetrical). O = optimistic estimate, ML=most likely estimate, P=pessimistic
estimate
mean for a beta distribution mean = (O + 4ML + P)/6
standard deviation for beta distribution standard deviation = (P-O)/6
project mean is the sum of the means of the individual tasks. project standard
statistical sums
deviation is the square root of the project variance
used to monitor the progress of a project and is an analytical technique. uses 3
earned value management
independent values - PV, AC, EV
the budget or the portion of the approved cost estimate planned to be spent
planned value (PV)
during a given period
the total of direct and indirect costs incurred in accomplishing work during a
actual cost (AC)
given period
earned value (EV) the budget for the work accomplished in a given period
cost variance (CV) CV = EV - AC
schedule variance (SV) SV = EV - PV
cost performance index (CPI) CPI = EV/AC
schedule performance index (SPI) SPI = EV/PV
positive CV indicates, negative CV costs are below budget, costs are overrun
indicates
positive SV indicates, negative SV a project is ahead of schedule, a project is behind schedule
indicates
CPI greater than 1.0 indicates costs are below budget
SPI greater than 1.0 indicates project is ahead of schedule
1/5
, CPI less than 1.0 indicates costs are over budget
SPI less than 1.0 indicates a project is behind schedule
the amount we expect the total project to cost on completion and as of the "data
estimate at completion (EAC)
date" (time now)
new estimate technique for finding EAC EAC = AC/new estimate for remaining work
the actual performance to date shows that the original estimates were
new estimate is most applicable when: fundamentally flawed or when they are no longer accurate because of changes in
conditions relating to the project
original estimate technique for finding EAC = AC/(BAC - EV)
EAC
actual variances to date are seen as being the exception, and the expectations for
original estimate is most applicable when: the future are that the original estimates are more reliable than the actual work
effort efficiency date
performance estimate low technique for EAC = AC + (BAC - EV)/CPI or EAC = BAC/CPI
finding EAC
performance estimate low formula is future variances are projected to approximate the same level as current variances
most applicable when:
performance estimate high technique for EAC = AC + (BAC - EV) / (CPI)(SPI)
finding EAC
performance estimate high formula is the project is over budget and the schedule impacts the work remaining to be
most applicable when: completed
BAC budget at completion. the total budgeted cost of all approved activities
estimate to complete - the estimate for completing the remaining work for a
ETC
scheduled activity
ETC when past variances are considered ETC = BAC - EV
to be atypical
ETC when prior variances are considered ETC = (BAC - EV)/CPI
to be typical of future variances
communications channels channels = (n(n-1))/2. n - number of ppl
if 7 or more observations occur in one direction, or a run of 7 observations occurs
rule of seven either above or below the mean, they should be investigated to determine if they
have an assignable cause.
the entire value of a business - the total sum of all tangible and intangible
business value
elements
project team members are physically located close to one another in order to
colocation
improve communications, working relations, and productivity
constraint a restriction or limitation that may force a certain course of action or inaction
external or internal factors that can influence a project's success. includes
controllable factors such as the tools used in managing project within the org, or
enterprise environmental factors
uncontrollable factors that have to be considered by the project manager such as
market conditions or corporate culture
a specific activity or application of a skill, tool, or technique that has been proven
good practice
to contribute positively to the execution of a process
ongoing work performed by ppl, constrained by resources, planned, executed,
operations
monitored, and controlled. unlike a project bc they are repetitive
any formal or informal processes, plans, policies, procedures, guidelines, and
organizational process assets ongoing or historical project info such as lessons learned, measurement data,
project files, and estimates vs actuals
2/5
Initiating
Planning
5 process groups Executing
Monitoring and Controlling
Closing
Integration
Scope
Time
Cost
Quality
ten knowledge areas
HR
Communications
Risk
Procurement
Stakeholder management
total float formula total float = late finish - early finish
bell curve - symmetrical distribution - 50%
chance of falling below the mean and 50%
normal distribution chance of falling above the mean
(1sigma=68.27%. 2sigma = 95.45%. 3sigma=
99.73%)
when there are 3 possible values w/ equal probability - distribution is a triangle.
triangular distribution
A= lowest value, B= highest value, M = most likely value
triangular distribution w/ more weight given to the most likely estimate (can be
beta distribution (PERT) asymmetrical). O = optimistic estimate, ML=most likely estimate, P=pessimistic
estimate
mean for a beta distribution mean = (O + 4ML + P)/6
standard deviation for beta distribution standard deviation = (P-O)/6
project mean is the sum of the means of the individual tasks. project standard
statistical sums
deviation is the square root of the project variance
used to monitor the progress of a project and is an analytical technique. uses 3
earned value management
independent values - PV, AC, EV
the budget or the portion of the approved cost estimate planned to be spent
planned value (PV)
during a given period
the total of direct and indirect costs incurred in accomplishing work during a
actual cost (AC)
given period
earned value (EV) the budget for the work accomplished in a given period
cost variance (CV) CV = EV - AC
schedule variance (SV) SV = EV - PV
cost performance index (CPI) CPI = EV/AC
schedule performance index (SPI) SPI = EV/PV
positive CV indicates, negative CV costs are below budget, costs are overrun
indicates
positive SV indicates, negative SV a project is ahead of schedule, a project is behind schedule
indicates
CPI greater than 1.0 indicates costs are below budget
SPI greater than 1.0 indicates project is ahead of schedule
1/5
, CPI less than 1.0 indicates costs are over budget
SPI less than 1.0 indicates a project is behind schedule
the amount we expect the total project to cost on completion and as of the "data
estimate at completion (EAC)
date" (time now)
new estimate technique for finding EAC EAC = AC/new estimate for remaining work
the actual performance to date shows that the original estimates were
new estimate is most applicable when: fundamentally flawed or when they are no longer accurate because of changes in
conditions relating to the project
original estimate technique for finding EAC = AC/(BAC - EV)
EAC
actual variances to date are seen as being the exception, and the expectations for
original estimate is most applicable when: the future are that the original estimates are more reliable than the actual work
effort efficiency date
performance estimate low technique for EAC = AC + (BAC - EV)/CPI or EAC = BAC/CPI
finding EAC
performance estimate low formula is future variances are projected to approximate the same level as current variances
most applicable when:
performance estimate high technique for EAC = AC + (BAC - EV) / (CPI)(SPI)
finding EAC
performance estimate high formula is the project is over budget and the schedule impacts the work remaining to be
most applicable when: completed
BAC budget at completion. the total budgeted cost of all approved activities
estimate to complete - the estimate for completing the remaining work for a
ETC
scheduled activity
ETC when past variances are considered ETC = BAC - EV
to be atypical
ETC when prior variances are considered ETC = (BAC - EV)/CPI
to be typical of future variances
communications channels channels = (n(n-1))/2. n - number of ppl
if 7 or more observations occur in one direction, or a run of 7 observations occurs
rule of seven either above or below the mean, they should be investigated to determine if they
have an assignable cause.
the entire value of a business - the total sum of all tangible and intangible
business value
elements
project team members are physically located close to one another in order to
colocation
improve communications, working relations, and productivity
constraint a restriction or limitation that may force a certain course of action or inaction
external or internal factors that can influence a project's success. includes
controllable factors such as the tools used in managing project within the org, or
enterprise environmental factors
uncontrollable factors that have to be considered by the project manager such as
market conditions or corporate culture
a specific activity or application of a skill, tool, or technique that has been proven
good practice
to contribute positively to the execution of a process
ongoing work performed by ppl, constrained by resources, planned, executed,
operations
monitored, and controlled. unlike a project bc they are repetitive
any formal or informal processes, plans, policies, procedures, guidelines, and
organizational process assets ongoing or historical project info such as lessons learned, measurement data,
project files, and estimates vs actuals
2/5
