PSPO I: Business Strategy & Metrics practice questions
53 questions on Business Strategy & Metrics, one of the 7 areas assessed in Professional Scrum Product Owner I. Untimed, with an explanation after every answer.
This topic links product decisions to business results. It tests outputs versus outcomes, leading indicators that warn early versus lagging ones such as last quarter’s revenue, return on investment, cost of delay and risk. Several questions match a situation, such as stalled growth or rising churn, to one of the four EBM Key Value Areas.
Velocity and feature counts measure output, not value, and optimizing a single metric invites gaming it. Value is broader than financial results: satisfaction, risk and learning count. The highest return on investment does not win regardless of risk; test an uncertain, high-value bet first with a spike or experiment. Market analysis is continuous, not a launch task.
ROI (Return on Investment) measures:
Ready for exam conditions? 80 questions, 60 minutes, 85% to pass.
Mock examA worked example
A question from the bank with its answer and the reasoning behind it. Every practice question comes with an explanation like this one.
Risk management in product development involves:
- AAvoiding all risks
- BIdentifying, assessing, and addressing uncertainties that could affect value(correct answer)
- CIgnoring risks until they occur
- DTransferring all risks to the team
Why
Risk management involves identifying, assessing, and addressing uncertainties that could affect value delivery. The PO considers risk when ordering the Product Backlog.