which of the following is equivalent to a lump sum contract:

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• 1the utility of a risk seeker is:

  A.negatively exponential

  B.positively skewed

  C.increasing

  D.decreasing

  E.symmetrical

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• 2management reserves are normally defined as a % of the total budget. as a project progresses, the project manager wants the $ value ofmanagement reserve to （    ）, whereas the customer wants the management reserve to （    ）.

  A.increase, increase.

  B.increase, decrease.

  C.decrease, decrease.

  D.decrease, increas

  E.E.remain the same, return to customer.

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• 3japanese quality control has improved dramatically in the last 30 years for all of the following reasons except:

  A.the use of quality circles.

  B.small, continuous improvements in quality control.

  C.the use of worker suggestion systems.

  D.the use of quality control charts.

  E.focusing quality control efforts on production outputs.

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• 4during project execution, a line manager informs you that he will not have sufficient resources available next month to support your and twoother projects. the best way to handle this problem would be to:

  A.ask the line manager to make the decision.

  B.ask the line manager to work with senior management to prioritize the work.

  C.ask your sponsor to meet with the line manager.

  D.ask the line manager to set up a meeting with you and the other project managers to work out the problem yourselves.

  E.prepare a purchase order to outsource the work.

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• 5communication in both project and non-project-driven organizations should occur in directions.

  A.one

  B.two

  C.three

  D.four

  E.five

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• 6back charges refers to:

  A.transferring charges from sub-contractors to the owner

  B.adjusting payments to reflect late invoices consequence

  C.the cost of corrective action taken by the owner and charged to the contractor for non-conformance

  D.gaining restitution from the owner for non payment

  E.c and d only

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• 7company expenses such as auditing costs, supervision, office supplies, building rent and maintenance are elements of the:

  A.capital budgeting process.

  B.overhead rates.

  C.contracts and administration costing system.

  D.fringe benefits packages.

  E.none of the above.

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• 8job continuity would be an example of （    ） in maslow's hierarchy of needs.

  A.self-actualization

  B.esteem

  C.physiological

  D.belonging

  E.safety

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• 9overlapping activities on a project, such as design and construction, is referred to as:

  A.fast tracking

  B.risk conversion.

  C.parallel management.

  D.process improvement.

  E.synchronous manufacturing

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• 10the major reason why a project manager would use written instead of oral communication is:

  A.documentation

  B.feedback

  C.cost

  D.barrier elimination

  E.all of the above.

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