Project Management, 2e (Pinto)
Chapter 14 Project Closeout and Termination
14.1 True/False
1) A project that is terminated by extinction is not completed successfully.
Answer: FALSE
Diff: 1
Section: 14.1 Types of Project Termination
Skill: Definition
AACSB Tag: Reflective
2) Termination by addition and termination by integration both represent successful project
completion.
Answer: TRUE
Diff: 2
Section: 14.1 Types of Project Termination
Skill: Definition
AACSB Tag: Reflective
3) The build, operate, transfer option for projects requires the project contractor to take initial
ownership of the project in order to make sure it works, thus mitigating risk in the short run.
Answer: FALSE
Diff: 2
Section: 14.2 Natural Termination - The Closeout Process
Skill: Factual
AACSB Tag: Reflective
4) Systematic errors are not one-time incidents, but instead represent built-in components of the
project management process.
Answer: TRUE
Diff: 2
Section: 14.2 Natural Termination - The Closeout Process
Skill: Definition
AACSB Tag: Reflective
5) The actual carryover from one project to another is minimal because projects are unique, one-
time events.
Answer: FALSE
Diff: 2
Section: 14.2 Natural Termination - The Closeout Process
Skill: Factual
AACSB Tag: Reflective
1
Copyright © 2010 Pearson Education, Inc.
, 6) Closeout activities are typically among the highest priority activities in a project.
Answer: FALSE
Diff: 2
Section: 14.2 Natural Termination - The Closeout Process
Skill: Factual
AACSB Tag: Reflective
7) Static factors that may play a role in the decision to terminate a project early include company
image and the presence of high sunk costs.
Answer: TRUE
Diff: 2
Section: 14.3 Early Termination for Projects
Skill: Factual
AACSB Tag: Reflective
8) A classic early warning sign of project failure is the realization that a product being developed
was targeting a market that few new products and firms were entering.
Answer: TRUE
Diff: 2
Section: 14.3 Early Termination for Projects
Skill: Factual
AACSB Tag: Reflective
9) Loss of team identify during project termination is a significant internal intellectual issue.
Answer: FALSE
Diff: 2
Section: 14.3 Early Termination for Projects
Skill: Factual
AACSB Tag: Reflective
10) Arbitration refers to the formalized system for dealing with grievances and administering
corrective justice to parties in a bargaining situation.
Answer: TRUE
Diff: 2
Section: 14.3 Early Termination for Projects
Skill: Definition
AACSB Tag: Reflective
2
Copyright © 2010 Pearson Education, Inc.
Chapter 14 Project Closeout and Termination
14.1 True/False
1) A project that is terminated by extinction is not completed successfully.
Answer: FALSE
Diff: 1
Section: 14.1 Types of Project Termination
Skill: Definition
AACSB Tag: Reflective
2) Termination by addition and termination by integration both represent successful project
completion.
Answer: TRUE
Diff: 2
Section: 14.1 Types of Project Termination
Skill: Definition
AACSB Tag: Reflective
3) The build, operate, transfer option for projects requires the project contractor to take initial
ownership of the project in order to make sure it works, thus mitigating risk in the short run.
Answer: FALSE
Diff: 2
Section: 14.2 Natural Termination - The Closeout Process
Skill: Factual
AACSB Tag: Reflective
4) Systematic errors are not one-time incidents, but instead represent built-in components of the
project management process.
Answer: TRUE
Diff: 2
Section: 14.2 Natural Termination - The Closeout Process
Skill: Definition
AACSB Tag: Reflective
5) The actual carryover from one project to another is minimal because projects are unique, one-
time events.
Answer: FALSE
Diff: 2
Section: 14.2 Natural Termination - The Closeout Process
Skill: Factual
AACSB Tag: Reflective
1
Copyright © 2010 Pearson Education, Inc.
, 6) Closeout activities are typically among the highest priority activities in a project.
Answer: FALSE
Diff: 2
Section: 14.2 Natural Termination - The Closeout Process
Skill: Factual
AACSB Tag: Reflective
7) Static factors that may play a role in the decision to terminate a project early include company
image and the presence of high sunk costs.
Answer: TRUE
Diff: 2
Section: 14.3 Early Termination for Projects
Skill: Factual
AACSB Tag: Reflective
8) A classic early warning sign of project failure is the realization that a product being developed
was targeting a market that few new products and firms were entering.
Answer: TRUE
Diff: 2
Section: 14.3 Early Termination for Projects
Skill: Factual
AACSB Tag: Reflective
9) Loss of team identify during project termination is a significant internal intellectual issue.
Answer: FALSE
Diff: 2
Section: 14.3 Early Termination for Projects
Skill: Factual
AACSB Tag: Reflective
10) Arbitration refers to the formalized system for dealing with grievances and administering
corrective justice to parties in a bargaining situation.
Answer: TRUE
Diff: 2
Section: 14.3 Early Termination for Projects
Skill: Definition
AACSB Tag: Reflective
2
Copyright © 2010 Pearson Education, Inc.
