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Nokia CPM Sample Questions:

1. As theoretically defined, what characteristic best describes the cost baseline?

A) Total budget for the project including the contingency budget and the management reserve.
B) Total budget for the project.
C) Total budget for the project including the contingency budget.
D) Time phased budget for the project.

2. In order to accurately report non conformance costs, it is necessary to:

A) record the extra cost in an SvO with Accounting indicators 1,5,92-95.
B) have a non conformance cost budget approved in advance.
C) forecast non conformance costs in NELLE.
D) create an internal invoice to transfer costs to product lines.

3. Company A is working on a project. The project's budget is EUR10,000. The Planned value as
of date X is EUR4,000. The project is 30% completed. 60% of the budget has been spent. If the company continues to spend money at the same rate, what will the project cost (EAC)?

A) EUR20,000.
B) EUR10,000.
C) EUR6,000.
D) EUR4,000.

4. What is Gross Profit?

A) Net sales minus cost of goods sold.
B) Gross sales minus gross costs.
C) Gross sales minus discounts and penalties.
D) Gross sales minus all operating costs.

5. What is the correct approach when handling extra costs of which the customer is deemed
responsible and the relevant purchase order has been received?

A) Cost baseline updated.
B) Update estimate to completion (ETC) and update materialized costs in cost baseline.
C) Update estimate to completion (ETC) and update ordered works in cost baseline.
D) Estimate to completion updated.

Solutions: