PfMP Free Practice Test

Updates to schedules i.e. resource, funding, benefits, are results of Developing the Portfolio Performance Management Plan process. Where should these updates be recorded?

1. A. Portfolio Management Plan updates
2. B. Enterprise Environmental Factors Update Portfolio Process Assets updates
3. C. Portfolio update

Correct Answer: C

While the Governance Board has a variety of significant roles in portfolio management, especially in terms of the recommendations it makes, c they involve:

1. A. Interdependencies between components
2. B. Resolution of issues and risks
3. C. Portfolio balancing and prioritization
4. D. Resource reallocation

Correct Answer: D

Assume you are the portfolio manager for a leading drug store in your country that offers numerous products. In the past four years, nearly every store has had to enlarge its pharmacy unit and hire additional staff members with the aging population. Observing this change, two years ago, stores set up clinics to provide customers with immediate care. As you see the growth in the stores in the health arena, you are looking at trends and realize:

1. A. Alcohol, tobacco, and sugar soft drink products should no longer be offered
2. B. Each store requires a balance between its health care services and products that may have adverse health effects
3. C. Customers wonder if they should trust the health care services offered given the other available products
4. D. For the health care clinics to be viewed with integrity, a medical doctor must be available at each store

Correct Answer: A

Due to a strategic change, multiple components on your portfolio have been terminated, leaving you with limited remaining funds coming from the terminated components. What should be your best course of action?

1. A. Since the funds are limited, you can leave them with you and use them as equity protection for low probability and high impact risks
2. B. Return the funds to the organization
3. C. Since the remaining budget is limited, the portfolio manager can directly assign it to ongoing components that need a little push
4. D. Re-activate one of the terminated components because you have additional budget

Correct Answer: B

Assume you are working to ensure your organization has a balanced portfolio. You have decided to use a bubble diagram and have set it up to show the components in terms of: ease of execution [difficult or easy] and component importance [high or low]. In such an approach, bubbles are used to:

1. A. Visualize components
2. B. Frame the balancing problem
3. C. Provide scores as outputs
4. D. Focus on existing components

Correct Answer: A