Pmi Pfmp Portfolio Management Professional Practice Test - Set 1

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PfMP: Portfolio Management Professional - Exam Information

Exam Information

Exam Code

Pmi Pfmp Portfolio Management Professional

Exam Title

PfMP: Portfolio Management Professional

Vendor

PMI

Difficulty

Expert

Duration

4 Hours

Question Format

Multiple Choice

Last Updated

February 24, 2025

For senior professionals managing project portfolios and strategic initiatives.

Practice Test

Shop Best PfMP: Portfolio Management Professional Resources Worldwide Amazon

1. What is the primary goal of portfolio management?

Align projects with strategic objectives
Maximize individual project success
Reduce stakeholder engagement
Eliminate project risks

2. Which document defines the portfolio management strategy?

Portfolio Management Plan
Project Charter
Risk Register
Stakeholder Register

3. What is the purpose of a Portfolio Governance Framework?

Define decision-making processes for portfolio management
Track project costs
Assign project resources
Define project scope

4. Which technique is used to prioritize portfolio components?

Weighted Scoring Model
Gantt Chart
Stakeholder Analysis
Risk Register

5. What is the purpose of a Portfolio Performance Report?

Track the performance of portfolio components
Track project costs
Assign project resources
Define project scope

6. Which technique is used to balance portfolio components?

Portfolio Balancing
Gantt Chart
Stakeholder Analysis
Risk Register

7. What is the purpose of a Portfolio Roadmap?

Visualize the timeline of portfolio components
Track project costs
Assign project resources
Define project scope

8. Which technique is used to assess portfolio risks?

Portfolio Risk Assessment
Gantt Chart
Stakeholder Analysis
Risk Register

9. What is the purpose of a Portfolio Charter?

Formally authorize the portfolio
Track project costs
Assign project resources
Define project scope

10. Which technique is used to optimize portfolio value?

Portfolio Optimization
Gantt Chart
Stakeholder Analysis
Risk Register

11. What is the purpose of a Portfolio Governance Board?

Make decisions on portfolio components
Track project costs
Assign project resources
Define project scope

12. Which technique is used to align portfolio components with strategic objectives?

Strategic Alignment
Gantt Chart
Stakeholder Analysis
Risk Register

13. What is the purpose of a Portfolio Dashboard?

Provide a visual summary of portfolio performance
Track project costs
Assign project resources
Define project scope

14. Which technique is used to evaluate portfolio performance?

Key Performance Indicators (KPIs)
Gantt Chart
Stakeholder Analysis
Risk Register

15. What is the purpose of a Portfolio Risk Management Plan?

Define how portfolio risks will be managed
Track project costs
Assign project resources
Define project scope

16. Which technique is used to prioritize portfolio investments?

Investment Prioritization
Gantt Chart
Stakeholder Analysis
Risk Register

17. What is the purpose of a Portfolio Communication Plan?

Define how portfolio information will be shared
Track project costs
Assign project resources
Define project scope

18. Which technique is used to assess portfolio value?

Value Assessment
Gantt Chart
Stakeholder Analysis
Risk Register

19. What is the purpose of a Portfolio Review?

Evaluate the performance of portfolio components
Track project costs
Assign project resources
Define project scope

20. Which technique is used to manage portfolio resources?

Resource Allocation
Gantt Chart
Stakeholder Analysis
Risk Register

21. What is the primary purpose of portfolio categorization?

Group components by strategic objectives
Reduce management complexity
Eliminate underperforming projects
Standardize reporting formats

22. Which portfolio management process ensures alignment with organizational strategy?

Strategic Alignment
Governance
Performance Management
Risk Management

23. What is the key benefit of portfolio balancing?

Optimal resource allocation across components
Higher individual project success rates
Reduced stakeholder involvement
Elimination of all portfolio risks

24. Which document defines portfolio management roles and responsibilities?

Portfolio Governance Charter
Portfolio Management Plan
Portfolio Performance Report
Portfolio Roadmap

25. What is the primary purpose of portfolio capacity planning?

Ensure adequate resources for portfolio components
Reduce project durations
Eliminate budget variances
Standardize project methodologies

26. Which technique helps evaluate portfolio component interdependencies?

Dependency Mapping
Earned Value Analysis
Critical Path Method
SWOT Analysis

27. What is the main output of the Define Portfolio process?

Portfolio Charter
Portfolio Management Plan
Portfolio Roadmap
Portfolio Performance Report

28. Which portfolio management function ensures compliance with organizational policies?

Governance
Strategic Alignment
Performance Management
Communication Management

29. What is the primary purpose of portfolio value management?

Maximize return on investment
Minimize project durations
Standardize processes
Reduce documentation

30. Which technique is used to assess portfolio component health?

Component Health Assessment
Earned Value Analysis
Critical Path Method
PERT Analysis

31. What is the key benefit of portfolio risk management?

Proactive identification of threats and opportunities
Elimination of all risks
Reduced need for governance
Faster project execution

32. Which document guides portfolio component selection and prioritization?

Portfolio Management Plan
Portfolio Charter
Portfolio Roadmap
Portfolio Performance Report

33. What is the primary purpose of portfolio reporting?

Support executive decision-making
Replace component status meetings
Reduce documentation requirements
Eliminate variance analysis

34. Which portfolio management process ensures optimal resource utilization?

Resource Optimization
Strategic Alignment
Governance
Performance Management

35. What is the key output of the Manage Portfolio Value process?

Value Assessment Report
Portfolio Management Plan
Portfolio Roadmap
Portfolio Performance Report

36. Which technique helps visualize portfolio component timelines?

Portfolio Roadmap
Gantt Chart
PERT Chart
Network Diagram

37. What is the primary purpose of portfolio governance?

Ensure effective decision-making
Reduce project durations
Eliminate risks
Standardize methodologies

38. Which portfolio management process monitors component performance?

Performance Management
Strategic Alignment
Governance
Risk Management

39. What is the key benefit of portfolio communication management?

Stakeholder alignment and support
Reduced documentation
Faster project execution
Elimination of conflicts

40. Which technique is used to evaluate portfolio financial performance?

Return on Investment (ROI) Analysis
Critical Path Method
Earned Value Analysis
PERT Analysis

41. What is the primary purpose of portfolio component authorization?

Formally approve component initiation
Reduce documentation
Eliminate risks
Standardize methodologies

42. Which document tracks portfolio-level risks?

Portfolio Risk Register
Portfolio Management Plan
Portfolio Charter
Portfolio Roadmap

43. What is the key output of the Optimize Portfolio process?

Portfolio Balancing Decisions
Portfolio Management Plan
Portfolio Roadmap
Portfolio Performance Report

44. Which technique helps assess portfolio strategic alignment?

Strategic Contribution Analysis
Critical Path Method
Earned Value Analysis
PERT Analysis

45. What is the primary purpose of portfolio performance management?

Ensure components deliver expected benefits
Reduce project durations
Eliminate budget variances
Standardize methodologies

46. Which portfolio management process handles component changes?

Portfolio Change Management
Strategic Alignment
Governance
Performance Management

47. What is the key benefit of portfolio strategic alignment?

Components support organizational objectives
Reduced management overhead
Faster project execution
Elimination of risks

48. Which technique is used to prioritize portfolio components?

Multi-Criteria Decision Analysis
Critical Path Method
Earned Value Analysis
PERT Analysis

49. What is the primary purpose of portfolio governance reviews?

Assess portfolio health and performance
Reduce documentation
Eliminate risks
Standardize methodologies

50. Which document defines portfolio reporting requirements?

Portfolio Communication Plan
Portfolio Management Plan
Portfolio Charter
Portfolio Roadmap

51. What is the key output of the Manage Portfolio Risks process?

Risk Response Plans
Portfolio Management Plan
Portfolio Roadmap
Portfolio Performance Report

52. Which technique helps visualize portfolio resource allocation?

Resource Heat Map
Gantt Chart
PERT Chart
Network Diagram

53. What is the primary purpose of portfolio component termination?

Stop underperforming or misaligned components
Reduce documentation
Eliminate risks
Standardize methodologies

54. Which portfolio management process ensures benefits realization?

Benefits Management
Strategic Alignment
Governance
Performance Management

55. What is the key benefit of portfolio optimization?

Maximized value within constraints
Reduced management overhead
Faster project execution
Elimination of all risks

56. Which technique is used to assess portfolio component value?

Business Case Analysis
Critical Path Method
Earned Value Analysis
PERT Analysis

57. What is the primary purpose of portfolio stakeholder management?

Engage stakeholders in portfolio decisions
Reduce documentation
Eliminate risks
Standardize methodologies

58. Which document records portfolio-level changes?

Portfolio Change Log
Portfolio Management Plan
Portfolio Charter
Portfolio Roadmap

59. What is the key output of the Authorize Portfolio process?

Portfolio Component Authorizations
Portfolio Management Plan
Portfolio Roadmap
Portfolio Performance Report

60. Which technique helps analyze portfolio financial metrics?

Net Present Value (NPV) Analysis
Critical Path Method
Earned Value Analysis
PERT Analysis

61. What is the primary purpose of portfolio capacity analysis?

Assess resource availability for components
Reduce project durations
Eliminate budget variances
Standardize methodologies

62. Which portfolio management process handles stakeholder communications?

Communication Management
Strategic Alignment
Governance
Performance Management

63. What is the key benefit of portfolio performance reporting?

Informed decision-making
Reduced documentation
Faster project execution
Elimination of risks

64. Which technique is used to evaluate portfolio component interdependencies?

Dependency Analysis
Critical Path Method
Earned Value Analysis
PERT Analysis

65. What is the primary purpose of portfolio component prioritization?

Allocate resources to highest-value components
Reduce documentation
Eliminate risks
Standardize methodologies

66. Which document defines portfolio risk thresholds?

Portfolio Risk Management Plan
Portfolio Management Plan
Portfolio Charter
Portfolio Roadmap

67. What is the key output of the Develop Portfolio Management Plan process?

Portfolio Management Plan
Portfolio Charter
Portfolio Roadmap
Portfolio Performance Report

68. Which technique helps visualize portfolio strategic alignment?

Strategic Alignment Matrix
Gantt Chart
PERT Chart
Network Diagram

69. What is the primary purpose of portfolio value measurement?

Quantify component contributions
Reduce project durations
Eliminate budget variances
Standardize methodologies

70. Which portfolio management process handles component transitions?

Transition Management
Strategic Alignment
Governance
Performance Management

71. What is the key benefit of portfolio governance frameworks?

Consistent decision-making processes
Reduced management overhead
Faster project execution
Elimination of risks

72. Which technique is used to assess portfolio component performance?

Balanced Scorecard
Critical Path Method
Earned Value Analysis
PERT Analysis

73. What is the primary purpose of portfolio resource management?

Optimize allocation across components
Reduce documentation
Eliminate risks
Standardize methodologies

74. Which document records portfolio-level decisions?

Portfolio Governance Minutes
Portfolio Management Plan
Portfolio Charter
Portfolio Roadmap

75. What is the key output of the Manage Portfolio Performance process?

Portfolio Performance Report
Portfolio Management Plan
Portfolio Roadmap
Portfolio Risk Register

76. Which technique helps analyze portfolio component mix?

Bubble Chart Analysis
Critical Path Method
Earned Value Analysis
PERT Analysis

77. What is the primary purpose of portfolio risk assessment?

Identify threats and opportunities
Reduce project durations
Eliminate all risks
Standardize methodologies

78. Which portfolio management process handles component benefits realization?

Benefits Management
Strategic Alignment
Governance
Performance Management

79. What is the key benefit of portfolio communication plans?

Stakeholder awareness and engagement
Reduced documentation
Faster project execution
Elimination of conflicts

80. Which technique is used to evaluate portfolio financial health?

Financial Ratio Analysis
Critical Path Method
Earned Value Analysis
PERT Analysis

81. What is the primary purpose of portfolio component categorization?

Group by strategic contribution
Reduce management complexity
Eliminate underperforming projects
Standardize reporting

82. Which document defines portfolio performance metrics?

Portfolio Performance Management Plan
Portfolio Management Plan
Portfolio Charter
Portfolio Roadmap

83. What is the key output of the Manage Portfolio Communications process?

Portfolio Performance Reports
Portfolio Management Plan
Portfolio Roadmap
Portfolio Risk Register

84. Which technique helps visualize portfolio risk exposure?

Risk Heat Map
Gantt Chart
PERT Chart
Network Diagram

85. What is the primary purpose of portfolio governance committees?

Make strategic portfolio decisions
Reduce documentation
Eliminate risks
Standardize methodologies

86. Which portfolio management process ensures component alignment?

Strategic Alignment
Governance
Performance Management
Risk Management

87. What is the key benefit of portfolio value assessment?

Focus on high-return components
Reduced management overhead
Faster project execution
Elimination of risks

88. Which technique is used to prioritize portfolio investments?

Cost-Benefit Analysis
Critical Path Method
Earned Value Analysis
PERT Analysis

89. What is the primary purpose of portfolio performance thresholds?

Define acceptable performance ranges
Reduce documentation
Eliminate risks
Standardize methodologies

90. Which document records portfolio lessons learned?

Portfolio Lessons Learned Register
Portfolio Management Plan
Portfolio Charter
Portfolio Roadmap

91. What is the key output of the Manage Portfolio Risks process?

Risk Response Implementations
Portfolio Management Plan
Portfolio Roadmap
Portfolio Performance Report

92. Which technique helps analyze portfolio resource utilization?

Resource Capacity Analysis
Critical Path Method
Earned Value Analysis
PERT Analysis

93. What is the primary purpose of portfolio component evaluation?

Assess ongoing viability
Reduce documentation
Eliminate risks
Standardize methodologies

94. Which portfolio management process handles component initiation?

Component Authorization
Strategic Alignment
Governance
Performance Management

95. What is the key benefit of portfolio dependency management?

Coordinated component delivery
Reduced management overhead
Faster project execution
Elimination of risks

96. Which technique is used to assess portfolio strategic fit?

Alignment Assessment
Critical Path Method
Earned Value Analysis
PERT Analysis

97. What is the primary purpose of portfolio governance policies?

Standardize decision-making
Reduce documentation
Eliminate risks
Speed up approvals

98. Which document defines portfolio reporting cadence?

Portfolio Communication Plan
Portfolio Management Plan
Portfolio Charter
Portfolio Roadmap

99. What is the key output of the Optimize Portfolio process?

Portfolio Rebalancing Decisions
Portfolio Management Plan
Portfolio Roadmap
Portfolio Performance Report

100. Which technique helps visualize portfolio component value?

Value Contribution Matrix
Gantt Chart
PERT Chart
Network Diagram

101. What is the primary purpose of portfolio capacity management?

Match resources to demand
Reduce project durations
Eliminate budget variances
Standardize methodologies

102. Which portfolio management process handles component termination?

Component Decommissioning
Strategic Alignment
Governance
Performance Management

103. What is the key benefit of portfolio performance metrics?

Objective performance evaluation
Reduced documentation
Faster project execution
Elimination of risks

104. Which technique is used to analyze portfolio financial returns?

Internal Rate of Return (IRR) Analysis
Critical Path Method
Earned Value Analysis
PERT Analysis

105. What is the primary purpose of portfolio component selection?

Choose highest-value initiatives
Reduce documentation
Eliminate risks
Standardize methodologies

106. Which document defines portfolio risk appetite?

Portfolio Risk Management Plan
Portfolio Management Plan
Portfolio Charter
Portfolio Roadmap

107. What is the key output of the Develop Portfolio Roadmap process?

Portfolio Roadmap Document
Portfolio Management Plan
Portfolio Charter
Portfolio Performance Report

108. Which technique helps visualize portfolio strategic objectives?

Strategy Map
Gantt Chart
PERT Chart
Network Diagram

109. What is the primary purpose of portfolio value optimization?

Maximize overall portfolio return
Reduce project durations
Eliminate budget variances
Standardize methodologies

110. Which portfolio management process handles benefits tracking?

Benefits Realization
Strategic Alignment
Governance
Performance Management

111. What is the key benefit of portfolio governance reviews?

Continuous improvement
Reduced management overhead
Faster project execution
Elimination of risks

112. Which technique is used to assess portfolio component alignment?

Strategic Fit Analysis
Critical Path Method
Earned Value Analysis
PERT Analysis

113. What is the primary purpose of portfolio risk response planning?

Address identified risks
Reduce documentation
Eliminate all risks
Standardize methodologies

114. Which document records portfolio performance variances?

Portfolio Performance Variance Report
Portfolio Management Plan
Portfolio Charter
Portfolio Roadmap

115. What is the key output of the Manage Portfolio Value process?

Value Realization Report
Portfolio Management Plan
Portfolio Roadmap
Portfolio Risk Register

116. Which technique helps analyze portfolio component performance?

Key Performance Indicators (KPIs)
Critical Path Method
Earned Value Analysis
PERT Analysis

117. What is the primary purpose of portfolio stakeholder analysis?

Understand influence and interests
Reduce documentation
Eliminate conflicts
Standardize communications

118. Which portfolio management process handles resource allocation?

Resource Management
Strategic Alignment
Governance
Performance Management

119. What is the key benefit of portfolio change control?

Managed evolution of portfolio
Reduced documentation
Faster project execution
Elimination of risks

120. Which technique is used to evaluate portfolio financial viability?

Payback Period Analysis
Critical Path Method
Earned Value Analysis
PERT Analysis

121. What is the primary purpose of portfolio performance benchmarking?

Compare against industry standards
Reduce documentation
Eliminate risks
Standardize methodologies

122. Which document defines portfolio governance roles?

Portfolio Governance Charter
Portfolio Management Plan
Portfolio Charter
Portfolio Roadmap

123. What is the key output of the Manage Portfolio Communications process?

Stakeholder Engagement Reports
Portfolio Management Plan
Portfolio Roadmap
Portfolio Risk Register

124. Which technique helps visualize portfolio component categorization?

Portfolio Bubble Chart
Gantt Chart
PERT Chart
Network Diagram

125. What is the primary purpose of portfolio risk monitoring?

Track risk response effectiveness
Reduce documentation
Eliminate all risks
Standardize methodologies

126. Which portfolio management process handles strategic updates?

Strategic Alignment
Governance
Performance Management
Risk Management

127. What is the key benefit of portfolio value tracking?

Demonstrate organizational impact
Reduced management overhead
Faster project execution
Elimination of risks

128. Which technique is used to prioritize portfolio components?

Scoring Models
Critical Path Method
Earned Value Analysis
PERT Analysis

129. What is the primary purpose of portfolio governance metrics?

Measure governance effectiveness
Reduce documentation
Eliminate risks
Standardize methodologies

130. Which document records portfolio component decisions?

Portfolio Decision Register
Portfolio Management Plan
Portfolio Charter
Portfolio Roadmap

131. What is the key output of the Manage Portfolio Risks process?

Updated Risk Register
Portfolio Management Plan
Portfolio Roadmap
Portfolio Performance Report

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