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Cam 205 Project Management Question Paper
Cam 205 Project Management
Course:Bachelor Of Commerce
Institution: Kca University question papers
Exam Year:2011
UNIVERSITY EXAMINATIONS: 2011/2012
YEAR II EXAMINATION FOR THE BACHELOR OF COMMERCE
CAM 205 PROJECT MANAGEMENT
(DAY & EVENING)
DATE: APRIL 2012 TIME: 2 HOURS
INSTRUCTIONS: Answer Question One and Any other Two Questions
Question One
a) Nderaisho secondary school plans to have their Computers networked before the students start
their KCSE computer exam in November. Due to scarcity of funds you have been asked to advise
the Board of Governors on how to go about this project using the little funds they have. The
following data applies;
Activity Normal time(days) Crash Time(days) Cost slope (t/days)
1-2 5 3 90
1-3 7 4 80
2-4 2 2 -
2-5 3 2 70
3-6 11 6 220
4-6 7 3 60
5-6 5 5 -
The cost of the project is Ksh.200, 000 plus an overhead of Ksh.30 per hour.
2
Required;
i. Draw the network diagram, identify the critical path and calculate the total normal cost of the
project. (7 Marks)
ii. Identify all the paths for the project. (4 Marks)
iii. Determine the least cost solution that the BOG of Nderaisho Secondary should adopt for the
project. (8 Marks)
b) Differentiate between Resource Levelling and Resource Scheduling in projects. (4 Marks)
c) Discuss three reasons for ineffective project control. (3 Marks)
d) Using appropriate examples differentiate between discounted and non-discounted methods in
capital budgeting/financial analysis for projects. (4 Marks)
Question Two
a) Assume that a firm is considering two projects each requiring an investment of kshs. 100,000.
The firm’s marginal cost of capital is 10%. The net cash flows for investments A and B are
shown below.
Cash
Flow
(Ksh.)
Year 1 Year 2 Year 3 Year 4 Year 5 Year 6
A 50,000 40,000 30,000 10,000 1,000 1,000
B 10,000 20,000 30,000 40,000 50,000 60,000
i. Using the payback period method, determine which of these investments the firm should adopt.
(6 Marks)
ii. Outline any four merits of payback period method. (4 Marks)
b) Explain five differences between Project Management and General Management. (10 Marks)
Question Three
Write short notes on the following concepts:
a) Force Field Analysis (5 Marks)
b) Work Breakdown Structures (5 Marks)
c) Project Planning and Organising (5 Marks)
d) Request For Proposal (5 Marks)
3
Question Four
a) In many projects human resources from diverse background, experiences and skills are expected
to work together as team. The group must evolve into a cohesive and effective team in order to
work well and achieve the set goals successfully Discuss Tuckman’s 6 C’s that characterise the
stages in team development. (12 Marks)
b) Describe any four ways of handling conflicts in a project team. (8 Marks)
Question Five
a) Discuss four major qualities of a project manager. (12 Marks)
b) What are the main reasons for failure of government projects? (8 Marks)
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