Our CAPM Exam Questions provide authentic, up-to-date content for the PMI Certified Associate in Project Management (CAPM) certification. Each question is reviewed by certified project management professionals and includes verified answers with clear explanations to help you understand project lifecycles, key terminology, and PMBOK® Guide principles. With access to our exam simulator, you can practice in real exam conditions and confidently prepare to pass on your first attempt.
All the questions are reviewed by Jasmin Walia who is a CAPM certified professional working with Cert Empire.
Exam Questions
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Q: 1
After winning a large government contract, a company needs to hire a portfolio manager What vital
qualification should candidates possess?
Options
Correct Answer:
A
Explanation
Portfolio management is the centralized management of one or more portfolios to achieve strategic objectives. The primary responsibility of a portfolio manager is to ensure the collection of projects, programs, and operational work aligns with the organization's overall strategy. This involves selecting, prioritizing, and balancing the portfolio components to maximize business value and meet strategic goals. Therefore, the ability to manage and align various initiatives with the organization's strategic objectives is the most critical qualification for a portfolio manager.
References
1. Project Management Institute. (2021). A Guide to the Project Management Body of Knowledge (PMBOK® Guide) (7th ed.). Project Management Institute. Section 1.2.3
Portfolios
states
"A portfolio is a collection of projects
programs
subsidiary portfolios
and operations managed as a group to achieve strategic objectives."
2. Project Management Institute. (2017). The Standard for Portfolio Management (4th ed.). Project Management Institute. Section 1.3
Relationship Among Portfolios
Programs
and Projects
explains that portfolio management focuses on "doing the right work" to align with organizational strategy
while project and program management focus on "doing the work right."
3. Aubry
M.
& Lavoie-Tremblay
M. (2018). The art of managing a portfolio of projects in a complex and uncertain world. Project Management Journal
49(1)
5-10. This article emphasizes that portfolio management's core is the strategic alignment of projects with organizational goals. DOI: https://doi.org/10.1177/8756972818754298
Q: 2
Ensuring that both parties meet contractual obligations and that their own legal rights are protected
is a function of:
Options
Correct Answer:
C
Explanation
Administer Procurements (known as Control Procurements in the PMBOK® Guide – Sixth Edition) is the process of managing the relationship with the seller, monitoring contract performance, and making changes or corrections as needed. A key function of this process is to ensure that both the buyer's and the seller's performance meet the contractual requirements. This involves actively managing the contract to ensure all obligations are met and that the legal rights of both parties are protected throughout the life of the agreement. This process continues from contract signing until contract closure.
References
1. Project Management Institute. (2013). A Guide to the Project Management Body of Knowledge (PMBOK® Guide) – Fifth Edition. Section 12.3
Administer Procurements
p. 379. The guide states
"Administer Procurements is the process of managing procurement relationships
monitoring contract performance
and making changes and corrections as needed... The buyer and seller both administer the procurement contract for similar purposes. Each party ensures that both it and the other party meet their contractual obligations..."
2. Project Management Institute. (2017). A Guide to the Project Management Body of Knowledge (PMBOK® Guide) – Sixth Edition. Section 12.3
Control Procurements
p. 492. This section defines the process as
"Control Procurements is the process of managing procurement relationships
monitoring contract performance
making changes and corrections to contracts as appropriate
and closing out contracts."
3. Vargas
R. V. (2015). Practical Guide to Project Planning: The Standard for Project Management. PMI® Global Congress 2015
London
England. Newtown Square
PA: Project Management Institute. This publication
aligned with PMI standards
discusses the procurement management processes
reinforcing that contract administration involves ensuring compliance with the terms and conditions of the contract.
Q: 3
An input of the Plan Procurement Management process is:
Options
Correct Answer:
B
Explanation
The Plan Procurement Management process involves making decisions about acquiring goods and services for the project. To do this effectively, the project team needs a clear understanding of the project's budget and the estimated costs of the work. Activity cost estimates, which are a type of project document, provide the necessary financial data to determine what can be procured versus what might be developed in-house (informing make-or-buy analysis) and to establish budgets for planned procurements. This cost information is a crucial input, often contained within the project management plan and other project documents that feed into this process.
References
1. Project Management Institute. (2017). A Guide to the Project Management Body of Knowledge (PMBOK® Guide) (6th ed.). Project Management Institute.
For the correct answer (B): Section 12.1.1.4
Project Documents. This section lists inputs like "Resource requirements
" which are directly linked to cost estimates. The overall "Project Management Plan" (Section 12.1.1.3)
which includes the cost baseline derived from activity cost estimates
is also a primary input.
For incorrect option (A) and (D): Section 12.1.3
Outputs. This section explicitly lists "Make-or-Buy Decisions" and "Procurement Documents" as outputs of this process.
For incorrect option (C): Section 12.2.1.3
Inputs. "Seller proposals" are listed as an input to the Conduct Procurements process.
2. MIT OpenCourseWare. (2012). 16.852J / ESD.342J Integrating the Lean Enterprise
Fall 2005. Lecture 15: Sourcing and Procurement. Massachusetts Institute of Technology.
The lecture materials emphasize that understanding project requirements and associated costs is a prerequisite for developing a sourcing and procurement strategy
reinforcing that cost estimates are an essential input to the planning phase. (Available at: ocw.mit.edu)
Q: 4
Definitions of probability and impact, revised stakeholder tolerances, and tracking are components of
which subsidiary plan?
Options
Correct Answer:
D
Explanation
The Risk Management Plan is a subsidiary plan of the overall project management plan that details how risk management activities will be structured and performed. It establishes the framework for risk management throughout the project. Key components defined within this plan include the methodology, roles, budget, timing, risk categories, definitions of risk probability and impact, the probability and impact matrix, stakeholder risk tolerances, and formats for reporting and tracking risk activities. The elements mentioned in the question are all fundamental to this plan.
References
1. Project Management Institute. (2017). A Guide to the Project Management Body of Knowledge (PMBOK® Guide) (6th ed.). Section 11.1.3.1
Risk Management Plan. Newtown Square
PA: Project Management Institute.
This section explicitly lists the components of the Risk Management Plan
stating it can include "Definitions of risk probability and impact
" "Revised stakeholder tolerances
" and "Tracking
" which describes how risk activities will be documented and audited.
2. Kerzner
H. (2017). Project Management: A Systems Approach to Planning
Scheduling
and Controlling (12th ed.). Chapter 18
Risk Management. John Wiley & Sons.
This academic text
widely used in university project management courses
describes the risk management plan as the document that defines the scales for probability and impact
establishes risk thresholds (tolerances)
and sets up the process for risk monitoring and control (tracking).
Q: 5
What is the probability of occurrence if the risk rating is 0.56 and the impact if the risk does occur is
very high (0.80)?
Options
Correct Answer:
C
Explanation
The risk rating, also known as the risk score or exposure, is a fundamental concept in project risk management. It is calculated by multiplying the probability of a risk event occurring by its potential impact on project objectives. The formula is:
Risk Rating = Probability × Impact
Given the values:
Risk Rating = 0.56
Impact = 0.80
We can rearrange the formula to solve for Probability:
Probability = Risk Rating / Impact
Probability = 0.56 / 0.80
Probability = 0.70
References
1. Project Management Institute. (2017). A Guide to the Project Management Body of Knowledge (PMBOK® Guide) (6th ed.). Section 11.4.2.2
Decision Tree Analysis. This section explains the calculation of Expected Monetary Value (EMV) as the product of probability and impact
which is the quantitative application of the principle used in the question.
2. University of Maryland
Project Management Center for Excellence. (n.d.). ENCE424/724: Project Management Fundamentals
Lecture 7: Project Risk Management. The course materials define risk exposure as the product of the probability of a risk event and its consequences (impact). This foundational formula (Risk = P × I) is used for both qualitative and quantitative risk analysis.
3. Chapman
C.
& Ward
S. (2003). Project Risk Management: Processes
Techniques and Insights (2nd ed.). John Wiley & Sons. Chapter 6
"Estimate Step
" details the process of estimating probability and impact to determine risk levels
establishing the multiplicative relationship as a core principle.
Q: 6
The iterative and interactive nature of the Process Groups creates the need for the processes in
which Knowledge Area?
Options
Correct Answer:
B
Explanation
Project Integration Management is the specific Knowledge Area responsible for identifying, defining, combining, unifying, and coordinating the various processes and activities within the Project Management Process Groups. The process groups (e.g., Planning, Executing, Monitoring & Controlling) are not discrete, one-time phases; they overlap and are repeated. This iterative and interactive nature necessitates a central coordinating function to manage interdependencies, resolve issues, and ensure all parts of the project work together cohesively toward the project objectives. This unification is the core purpose of Project Integration Management.
References
1. Project Management Institute. (2017). A Guide to the Project Management Body of Knowledge (PMBOK® Guide) (6th ed.). Section 4: Project Integration Management
Introduction
p. 70. The text states
"Project Integration Management... is the specific responsibility of the project manager... The need for integration is also created by the iterative nature of project management."
2. Schwalbe
K. (2015). Information Technology Project Management (8th ed.). Cengage Learning. Chapter 4
"Project Integration Management
" discusses how this knowledge area coordinates all other knowledge areas throughout the project life cycle
emphasizing its importance in managing the complex interactions between processes. (This textbook is widely used in university project management courses).
3. MIT OpenCourseWare. (2012). 16.852J / ESD.352J Project Management
Fall 2012. Lecture 2: The Project Management Framework. The lecture notes describe Project Integration Management as the overarching function that ties together the other nine knowledge areas across the five process groups
essential for managing the project as a whole.
Q: 7
The ways in which the roles and responsibilities, reporting relationships, and staffing management
will be addressed and structured within a project is described in the:
Options
Correct Answer:
A
Explanation
The human resource management plan, a component of the overall project management plan, is the central document that establishes the framework for managing the project team. It explicitly defines the project roles and responsibilities, creates project organization charts to visualize reporting relationships, and includes the staffing management plan. The staffing management plan outlines the timeline and methods for team member acquisition, development, management, and eventual release from the project. Therefore, this plan comprehensively addresses how team structure and staffing will be managed.
References
1. Project Management Institute. (2017). A Guide to the Project Management Body of Knowledge (PMBOK® Guide) (6th ed.). Newtown Square
PA: Project Management Institute. Section 9.1.3.1
Human Resource Management Plan
pp. 318–319.
2. Meredith
J. R.
Shafer
S. M.
Mantel
Jr.
S. J.
& Sutton
M. M. (2017). Project Management: A Managerial Approach (10th ed.). Wiley. Chapter 5
"Project Organization
" discusses the structuring of project teams
roles
and reporting relationships as a key planning function.
3. MIT OpenCourseWare. (2012). 16.852J / ESD.342J System Architecture
Lecture 10: Organizations and System Architecture. Massachusetts Institute of Technology. This lecture discusses how organizational structure
including roles and reporting lines
is a critical component of project and system planning. Available at https://ocw.mit.edu.
Q: 8
Which Control Quality tool is also known as an arrow diagram?
Options
Correct Answer:
D
Explanation
An activity network diagram is a graphical representation of the logical relationships and dependencies among project schedule activities. One of the methods used to create these diagrams is the Arrow Diagramming Method (ADM). In ADM, activities are represented by arrows, and the nodes or circles at each end of the arrow represent the start and end events (milestones). Due to this graphical convention, the ADM technique and the resulting diagrams are commonly referred to as arrow diagrams.
References
1. Project Management Institute. (2017). A Guide to the Project Management Body of Knowledge (PMBOK® Guide) (6th ed.). Project Management Institute.
Glossary
p. 703: "Arrow Diagramming Method (ADM). A schedule network diagramming technique in which schedule activities are represented by arrows. See also precedence diagramming method (PDM)."
Section 8.1.2.4
Data Representation: Lists "Activity network diagrams" as a tool for Plan Quality Management
alongside Affinity diagrams
Tree diagrams
and Matrix diagrams.
2. Mubashir
M. (2021). Project Management Key to Success: A Practical Guide. CRC Press.
Chapter 5
Project Time Management
Section 5.3.2.1: "The activity network diagram is also known as the arrow diagram or PERT (program evaluation and review technique) chart."
3. Kerzner
H. (2017). Project Management: A Systems Approach to Planning
Scheduling
and Controlling (12th ed.). Wiley.
Chapter 12
Scheduling Techniques
p. 468: "The two most common techniques for network construction and analysis are the program evaluation and review technique (PERT)
which is an event-oriented network
and the critical path method (CPM)
which is an activity-oriented network... PERT networks are also called arrow diagrams."
Q: 9
When a permitting agency takes longer than planned to issue a permit, this can be described as a
risk:
Options
Correct Answer:
A
Explanation
In project management, a risk is defined as an uncertain event or condition that, if it occurs, has a positive or negative effect on project objectives. The actual materialization or occurrence of that uncertain condition is called a risk event. The possibility of a delay from the permitting agency was the risk; the agency actually taking longer than planned is the risk event itself. This event triggers consequences (impacts) and may require the execution of a risk response plan.
References
1. Project Management Institute. (2021). A Guide to the Project Management Body of Knowledge (PMBOK® Guide) (7th ed.). Project Management Institute. Section 2.8
Uncertainty Performance Domain
p. 103. This section discusses how uncertainty gives rise to risks
which are "events or conditions" that can occur.
2. Project Management Institute. (2017). A Guide to the Project Management Body of Knowledge (PMBOK® Guide) (6th ed.). Project Management Institute. Glossary
p. 720. Defines risk as "An uncertain event or condition..." The actual occurrence is therefore the event.
3. MIT OpenCourseWare. (2012). 16.852J / ESD.352J System Project Management
Lecture 11: Risk Management. Massachusetts Institute of Technology. Slide 6. This lecture defines risk as a triplet {scenario
probability
consequence}
where the "scenario" is the adverse event
such as a permit delay.
Q: 10
A project manager seeking insight on previous stakeholder management plans and their
effectiveness should evaluate:
Options
Correct Answer:
A
Explanation
To gain insight into past stakeholder management strategies, a project manager must consult organizational knowledge repositories. Historical information from previous projects provides the actual stakeholder management plans that were used. The lessons-learned database contains the analysis of those plans, detailing what strategies were effective, which were not, and why. Evaluating both provides a comprehensive foundation for developing a new, more effective plan by leveraging past successes and avoiding previous failures.
References
1. Project Management Institute. (2017). A Guide to the Project Management Body of Knowledge (PMBOK® Guide) (6th ed.). Project Management Institute.
Page 512
Section 13.2.1.4
Organizational Process Assets: This section lists OPAs as an input to the "Plan Stakeholder Engagement" process. It explicitly states that these assets include the "lessons learned repository" and "historical information from previous projects
" which contain information on effective stakeholder management strategies.
2. Project Management Institute. (2021). The Standard for Project Management and A Guide to the Project Management Body of Knowledge (PMBOK® Guide) (7th ed.). Project Management Institute.
Page 107
Section 2.8.5
Working with Information: This section emphasizes the importance of using explicit knowledge
which is "readily shared through...documentation." This includes historical databases and lessons learned
which are critical for planning and improving project work
including stakeholder engagement.
3. Kerzner
H. (2017). Project Management: A Systems Approach to Planning
Scheduling
and Controlling (12th ed.). Wiley.
Chapter 5.10
The Project Office: This chapter discusses the role of the Project Management Office (PMO) in maintaining a historical database of project information
including lessons learned. This repository is identified as a primary source for project managers to consult to avoid "reinventing the wheel" and to learn from the successes and failures of past projects.
What is the PMI CAPM Exam, and what will you learn from it?
The PMI Certified Associate in Project Management (CAPM) exam is designed for aspiring project managers and entry-level professionals who want to demonstrate their understanding of fundamental project management concepts, processes, and terminology. The CAPM certification, offered by the Project Management Institute (PMI), is globally recognized and validates your ability to work effectively on project teams while adhering to standard project management practices.
By preparing for the CAPM exam, you will learn how to:
Understand project management terminology and principles as outlined in the PMBOK Guide
Apply project management knowledge to plan, execute, monitor, and close projects
Recognize project constraints, stakeholder requirements, and risk management strategies
Establish a solid foundation for further certifications, such as PMP (Project Management Professional)
Practicing with the best exam questions from Cert Empire ensures you gain realistic exposure to the exam format, scenarios, and key concepts.
Exam Snapshot
Attribute
Details
Exam Code
CAPM
Exam Name
Certified Associate in Project Management
Vendor
PMI (Project Management Institute)
Version / Year
Current version (2024)
Average Salary
60,000 to 85,000 USD annually
Cost
300 USD for PMI members, 450 USD for non-members
Exam Format
Multiple choice
Duration
3 hours
Delivery Method
Online proctored or Pearson VUE testing center
Languages
English (additional languages available)
Scoring Method
Percentage-based
Passing Score
Varies, PMI does not publish exact score
Prerequisites
Secondary degree (high school diploma or equivalent) and 23 hours of project management education
Retake Policy
Retakes allowed with waiting period as per PMI guidelines
Target Audience
Aspiring project managers, project team members, students, and entry-level professionals
Certification Validity
5 years
Release Date
2003 (most recent exam content aligned with PMBOK 7th Edition in 2023)
Prerequisites before taking the CAPM exam
A secondary degree (high school diploma, associate degree, or equivalent)
Completion of 23 hours of formal project management education
Familiarity with project terminology, lifecycle, and knowledge areas
Optional: Practical exposure to projects in a team setting
Main objectives and domains you will study for CAPM
The CAPM exam is based on the PMBOK Guide, covering five process groups and ten knowledge areas:
Project Integration Management – Coordinating all project elements
Project Scope Management – Defining and controlling project work
Project Schedule Management – Planning, estimating, and managing timelines
Project Cost Management – Budgeting, cost estimating, and controlling expenses
IT and business professionals starting in project management
About CAPM Exam Questions
Why Practice Exam Questions Are Essential for Passing PMI CAPM Exam in 2025
Passing the CAPM certification isn’t about memorizing terms or rot learning, it’s about developing the aptitude required of a project management professional. Loaded with detailed explanations and extensive references, Cert Empire’s CAPM Exam Questions are designed to help you think like an actual project manager and view PMI certification learning resources. These practice questions mirror the PMI exam pattern, guiding you through what’s required to pass the exam on your first attempt.
Prepare Smarter with Exam Familiar Quiz
The CAPM exam is challenging and broad, but consistent practice transforms that difficulty into strength. By regularly solving real exam-style questions, you’ll improve your pacing, reduce anxiety, and recognize recurring question logic. Over time, the format will feel second nature, allowing you to focus on accuracy instead of uncertainty on exam day.
Master Every Domain with Real Exam Logic
The CAPM practice questions cover all official domains in the correct proportion. This means you’re not just preparing one area, but all of them, making your exam preparation comprehensive.
What’s Included in Our CAPM Exam Prep Material
It’s not just a question blob that we offer, but a whole experience that transforms your exam preparation. Here is exactly what you get:
PDF Exam Questions
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Question Simulation: Our online CAPM exam practice simulator is designed to help you interactively review and prepare for the exam with tailored features such as show/hide answers, see correct answers etc.
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3 Months of Unlimited Access
Enjoy full, unrestricted access for three months, long enough to practice, revise, and retake simulations until you are satisfied with your results.
Regular Updates
Project management standards evolve constantly, so being current is the cornerstone of CAPM exam prep. Being mindful of that, Cert Empire’s certified exam experts keep the content of the practice questions up to date with the latest exam requirements so that you always have the latest exam questions and resources available to you.
Free Practice Tests
To make the decision easy for you, we offer free practice tests for the CAPM exam. Look at the right side-bar and you will find the free practice test button that will take you to a sample free CAPM practice test. Go through the free CAPM exam questions section and discover the richness of our practice questions.
Free Exam Guides
Cert Empire offers free exam preparation guides for CAPM. You can find a trove of CAPM related exam prep resources at our website in our blog section. From tailored study plans for success in CAPM to exam day guidelines, we have covered it all. Cherry on the top, you do not have to be our customer to access this material, and it is free for all.
Important Note
Our CAPM Exam Questions are updated regularly to match the latest PMI exam version.
The Cert Empire content team, led by certified CAPM professionals, has taken the newest release and added updated concepts, frameworks, and project methodologies to ensure relevance.
✔ Each question includes detailed reasoning for both correct and incorrect options, helping you understand the full context behind every answer. ✔ Every solution links to official PMI references, allowing you to expand your knowledge through verified documentation. ✔ Mobile-Compatible – Both the PDF and simulatorversions are easy to use across smartphones, tablets, laptops, and even in printed form.
The CAPM remains one of the most respected and valuable entry-level certifications in project management, proving mastery of foundational project practices, frameworks, and planning skills.
Is this Exam Dump for PMI CAPM?
No, Cert Empire offers exam questions for practice purposes only. We do not endorse using PMI Exam Dumps. Our product includes expert crafted and verified practice exam questions and quizzes that emulates the real exam. This is why you may find many of the similar questions in your exam, which can help you succeed easily. Nonetheless, unlike exam dumps websites, we do not give any sort of guarantees on how many questions will appear in your exam. Our mission is to help students prepare better for exams, not endorse cheating.
FAQs
Frequently Asked Questions (FAQs)
What is the PMI CAPM certification?
The PMI CAPM certification verifies your understanding of fundamental project management concepts. It’s ideal for beginners who want to learn PMI standards, terminology, and processes based on the PMBOK Guide.
How many questions are included in Cert Empire’s PMI CAPM exam package?
Cert Empire’s CAPM package contains a complete collection of updated and verified questions. Each question reflects the latest PMI exam structure and domains for accurate preparation.
Are the PMI CAPM materials updated regularly?
Yes. The content team at Cert Empire ensures every CAPM practice file aligns with PMI’s latest exam blueprint, including updated process groups and project frameworks.
Can I study the PMI CAPM PDF offline?
Yes. You can download or print the CAPM PDF to study offline. It’s convenient for quick revisions and reviewing questions without relying on internet connectivity.
Are the study materials compatible with mobile devices?
Absolutely. Both PDF and simulator formats are optimized for phones, tablets, and laptops, enabling smooth learning anywhere and anytime.
How long do I have access to my PMI CAPM materials?
Each purchase includes three months of unlimited access. You can attempt practice tests, review results, and revisit explanations during this entire period. Start exploring certifications to find the right PMI exams and learning paths that align with your career goals.
Are these CAPM materials considered exam dumps?
No. Cert Empire provides legitimate and professionally reviewed practice materials, not unauthorized dumps. Our goal is to promote learning, not shortcut-based exam passing.
Does Cert Empire offer a free PMI CAPM practice test?
Yes. You can access a free CAPM sample test on the Cert Empire website to experience the question style and difficulty before buying the full version.
Do the practice questions include explanations?
Yes. Every question includes clear reasoning for both correct and incorrect answers, supported by PMI-referenced sources for accurate concept understanding.
Why should I choose Cert Empire for PMI CAPM exam preparation?
Cert Empire is trusted for its accurate, up-to-date, and well-structured CAPM resources. Our verified questions and simulator help you build confidence and achieve success on your first attempt.
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