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ASSIGNMENT ONE 2ND SEMESTER : PROJECT MANAGEMENT

(PRM201B)

STUDY UNITS COVERED : STUDY UNITS 1 AND 2

CHAPTERS COVERED : 1 - 11
SUBMISSION DEADLINE : 15:00 ON 12 AUGUST 2019
COMPLETE ELEARN ACTIVITY
TOTAL MARKS : 50
PRESENTATION MARKS : NOT APPLICABLE

INSTRUCTIONS TO CANDIDATES FOR COMPLETING AND SUBMITTING

ASSIGNMENTS VIA THE ELEARN ACTIVITY

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important notes.

1) You must submit TWO assignments for this module.

2) Assignments count out of 50 marks each, and contribute 40% towards the final module mark. The
remaining 60% will be contributed by the examination, however, the examination paper will count out
of 100 marks.
3) No cover sheets are required for completing the assignment via the eLearn activity.
4) The assignment submission deadline refers to the day up to which assignments will be accepted for
marking purposes. The deadline for submitting is 15:00 on the assignment due date. Late
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will be accepted.

5) If you fail to follow these instructions carefully, the IMM Graduate School cannot accept responsibility
for the return of the assignment. It may even result in your assignment not being marked.
6) Retain a copy of your assignment before submitting it, in case of a system error.

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Assignment One: 2nd Semester 2019 PRM201B
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Answer ALL the questions

QUESTION 1 (MULTIPLE CHOICE) [50]

Answer the following multiple-choice questions. 2 marks will be awarded per

question.

1.1 Which of the following definition of a project is correct?

a. A temporary endeavour undertaken to create a unique product or service.
b. A prolonged, elusive, endeavour undertaken to achieve a desired result.
c. To make many components as efficiently as possible.
d. To carry out ongoing maintenance of the company’s manufacturing
machinery.

1.2 Select the best example of work that can be defined as a project.
a. A contract to construct sports stadia for each year of the Olympic games.
b. The manufacturing of production cars.
c. The process to make a vat of beer.
d. To design and implement a new financial product for a high street bank.

1.3 From the following, choose the statement that best defines project
management.
a. The application of knowledge to project activities to meet the project
requirements.
b. The design of the project.
c. The operation of the project when it is complete.
d. The application of processes, methods, knowledge, skills, tools and
experience to achieve the project objectives.

1.4 Which of the following is a project management knowledge area?

a. Project Management
b. Personnel Management
c. Developing Corporate Strategy
d. Project Stakeholder Management

1.5 Who developed the first project management body of knowledge?

a. The Project Management Institute
b. Henry Gantt 1920 circa
c. The pyramid builders 4000 BC circa
d. Industrialists in the Industrial Revolution

1.6 Identify the responsibility that relate to the project sponsor from the following:
a. Manage the disposal process
b. Realise benefits for the company
c. Select the project team
d. Manage the sub-contractors

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Assignment One: 2nd Semester 2019 PRM201B
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1.7 A project manager’s job description will include which task from the ones listed
below?
a. To achieve the critical success factors of finishing the project on time and
within budget
b. To select the company’s employees
c. To take minutes at meetings
d. To do all the project administration

1.8 Among others, the responsibilities of the Project Steering Board are?
a. The project steering board consists of a small group of eminent
professionals
b. They provide an independent overview of the project’s feasibility
c. They manage the project
d. They do the books of the project

1.9 Which of the following could the project manager use to define project success?
a. The project was finished before another company project
b. The project was mentioned in the local paper
c. The project finished on time
d. The project was undergoing careful review

1.10 Choose the attributes of a project life cycle from the following.
a. The project is may be subdivided into phases.
b. Each phase produces a distinct deliverable.
c. Each phase repeats itself many times over the duration of the project
d. Subdivide the project into work packages.

Questions 1.11 to 1.21 are based on the following two projects that are being
considered during a selection process at a discount rate of 12%.

Project Planet
Year Cash Flow
0 60 000
1 35 000
2 20 000
3 15 000
4 10 000

Project Quad
Year Cash Flow
0 45 000
1 30 000
2 15 000
3 10 000
4 10 000

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Assignment One: 2nd Semester 2019 PRM201B
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1.11 What is the payback period for Project Planet?

a. 2 years.
b. 2 years 4 months
c. 2,3 years
d. 3 years

1.12 What is the payback period for Project Quad?

a. 2 years
b. 2 years 4months
c. 2,3 years
d. 3 years

1.13 The return on investment for Project Planet is

a. 8,33%
b. 0,08%
c. 83%
d. 8%

1.14 The return on investment on Project Quad is

a. 111%
b. 11,11%
c. 0,11%
d. 12%

1.15 What is the present value for Project Planet in year 1?

a. 35 000
b. 0,8929
c. 31 251,50
d. 31 251

1.16 What is the present value for Project Planet in year 3?

a. 10 000
b. 10 600
c. 10 700
d. 10 677

1.17 State the present value for Project Quad in year 2.

a. 11 000
b. 15 000
c. 11 958
d. 12 000

1.18 Give the value of the present value for Project Quad in year 4.
a. 6 355
b. 6 300
c. 6 400
d. 6 360

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Assignment One: 2nd Semester 2019 PRM201B
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1.19 What is the NPV for Project Planet?

a. 60 000
b. 4 227,50
c. 4 227
d. 422 750

1.20 What is the NPV for Project Quad?

a. 7 218
b. 7 000
c. 7 200
d. 7 210

1.21 Which of the two projects would you select?

a. Planet
b. Quad
c. Both
d. None

1.22 As project manager you have been asked by the project sponsor to produce a
Project Charter. Which of the following relates to a Project Charter?
a. A document issued by the project initiator or sponsor that formally
authorises the existence of a project.
b. A document that quantifies the project’s profit and loss accounts.
c. A certificate of completion that is given to the project sponsor by the
project manager on completion of the project.
d. A document that provides the floor manager with the authority to use
organisational resources.

1.23 The feasibility study confirms that the project is feasible within the identified
constraints. Which of the following constraint would normally be considered?
a. The product life cycle
b. The execution strategy
c. The company’s organisation structure
d. The project life cycle

1.24 Which of the following relates to internal project constraints?

a. The regulations pertaining to another industry
b. How the project will help the company achieve competitive advantage
c. How the project will address capital rationing
d. The execution strategy considers who will complete the project work

1.25 Why do companies impose a design freeze on projects?

a. Companies impose a design freeze at the end of the design phase so that
they can make expensive changes during the execution phase.
b. The design freeze occurs in the winter when the weather is cold and
severe.
c. The project manager likes to delay the design freeze as long as possible
so that the latest technology can be incorporated.
d. The design freeze gives the procurement function longer to order the

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Assignment One: 2nd Semester 2019 PRM201B
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components.
ASSIGNMENT TOTAL: 50

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Assignment One: 2nd Semester 2019 PRM201B