One of your goals as a portfolio manager is to ensure that your stakeholders receive the information they need for decision making. To help manage the portfolio information that is provided, you decide to gather information by holding portfolio component review meetings. Your purpose in holding these meetings is to:

1. A. Ensure the components can provide the data required for status reports
2. B. Use them to introduce the portfolio management information system
3. C. Validate data that now are in the reports
4. D. Work with component managers to plan dashboard reports

Correct Answer: C

When it comes to managing the portfolio value, one of the junior portfolio managers came to you asking about the relation between cost-benefit analysis and the efficient frontier analysis. What should your answer to her be?

1. A. The Efficient frontier analysis is used while performing the Cost-benefit analysis in order to get the confidence factor in the estimates
2. B. Efficient frontiers are not static, and organizations should monitor cost-benefit ratios on a continual basis
3. C. Efficient frontier tracks the realized value against planned costs; thus is another way of cost-benefit analysis
4. D. Cost-Benefit analysis are not static, and organizations should monitor the efficient frontier ratios on a continual basis

Correct Answer: B

After a strategic change is managed and finalized, you as a portfolio manager, are expected to document changes to the portfolio components attributes. Which of the following is the document in which you document these changes?

1. A. Portfolio Strategic Plan updates
2. B. Portfolio updates
3. C. Portfolio Management Plan updates
4. D. Portfolio Process Assets updates

Correct Answer: B

Working to monitor the portfolio especially in terms of its value to the organization, you had each component manager prepare monthly variance reports. Of the components ranked in the top 10, six of them realized they would not require some of their initial funding and still would be completed as planned. This means:

1. A. Three-point estimating should be used as funds are allocated
2. B. Next year's budget can be adjusted
3. C. Historical data would be useful on estimates versus actual costs
4. D. The amount of contingency and management reserves can be decreased

Correct Answer: B

While defining the portfolio mix, the portfolio manager performs a categorization of the portfolio components based on multiple categorization criteria. Which of the following is considered as a portfolio component category?

1. A. Continuous Improvement
2. B. Risk Reduction
3. C. All of the options
4. D. Process Improvement

Correct Answer: C