Question 1

The charge that is most likely a fixed cost is for:

Accepted Answer

A) Materials. 
B) Equipment rental. 
C) Direct labor. 
D) Utilities. 
A) Materials. 
B) Equipment rental. 
C) Direct labor. 
D) Utilities.

Question 2

What are three benefits to the use of contingency funds?

Accepted Answer

Use of contingency funds is at first gla

Question 3

An activity with a learning rate of 0.8 takes 30 hours for the first six units.How long will it take to complete this task for the 12th time?

Accepted Answer

A) 2.985 hours 
B) 3.055 hours 
C) 3.135 hours 
D) 3.325 hours 
A) 2.985 hours 
B) 3.055 hours 
C) 3.135 hours 
D) 3.325 hours

Question 4

The project management research in brief titled "Delusion and Deception Taking Place in Large Infrastructure Projects," describes three reasons that cost overruns occur in large infrastructure project work.Briefly describe these three reasons

Accepted Answer

In most cases,the causes of runaway cost

Question 5

Explain the difference between normal and expedited costs,fixed and variable costs,and recurring or nonrecurring costs.Create a 2 × 2 × 2 matrix and provide one example each (8 total examples)of each combination of these costs.

Accepted Answer

Examples may vary.
Nonrecurring costs mi

Question 6

Contingency money is:

Accepted Answer

A) Not formally in the project budget,but held in a separate company account for all projects. 
B) Added to the project's budget following the identification of all project costs. 
C) The first line item in any project budget at an amount dictated by company policy. 
D) Not in the project's budget,but calculated and set aside once the project budget is completed. 
A) Not formally in the project budget,but held in a separate company account for all projects. 
B) Added to the project's budget following the identification of all project costs. 
C) The first line item in any project budget at an amount dictated by company policy. 
D) Not in the project's budget,but calculated and set aside once the project budget is completed.

Question 7

It began as a simple macro that would extract grades and post them on a web site,but once the web programmer began the work,he became obsessed with various charting features,grade summaries,and reports that could be added to make this the grandest web site in the tri-county area.As 2 hours of programming work grew to 20 and then 80,he knew that the client wouldn't be happy with the cost overrun.The only comment he mumbled as he finished his work was:

Accepted Answer

A) "I had some technical difficulties,sorry." 
B) "There were some specification changes,sorry." 
C) "This project lacked definition from the outset,sorry." 
D) "I thought I'd never get the wizard's hat! Oh,by the way,your grades work." 
A) "I had some technical difficulties,sorry." 
B) "There were some specification changes,sorry." 
C) "This project lacked definition from the outset,sorry." 
D) "I thought I'd never get the wizard's hat! Oh,by the way,your grades work."

Question 8

Once most of the design work is complete,at a point when the scope and capabilities of the project are quite well understood,a ________ may be developed.

Accepted Answer

A) definitive estimate 
B) comparative estimate 
C) parametric estimate 
D) non-parametric estimate 
A) definitive estimate 
B) comparative estimate 
C) parametric estimate 
D) non-parametric estimate

Question 9

If it takes 40 hours to complete the first unit and the company knows from experience that the learning rate should be 0.75,how fast can they be expected to finish all ten units?

Accepted Answer

A) 208.48 hours 
B) 213.52 hours 
C) 218.46 hours 
D) 223.54 hours 
A) 208.48 hours 
B) 213.52 hours 
C) 218.46 hours 
D) 223.54 hours

Question 10

A budget contingency of $1 million on a $10 million project means that the project will be planned for a cost of $10 million,but the project organization receives an extra $1 million to guard against unforeseen cost overruns.

Accepted Answer

A) True 
 B)False

Question 11

It took 44 hours of analysis to complete the first phase,but the second phase was done in 42 hours.If this learning rate continues,then the 8th analysis should take a mere:

Accepted Answer

A) 36 hours and 26 minutes,give or take. 
B) 37 hours and 36 minutes,give or take. 
C) 38 hours and 16 minutes,give or take. 
D) 39 hours and 6 minutes,give or take. 
A) 36 hours and 26 minutes,give or take. 
B) 37 hours and 36 minutes,give or take. 
C) 38 hours and 16 minutes,give or take. 
D) 39 hours and 6 minutes,give or take.

Question 12

What is a budget contingency and what are three reasons it might be useful?

Accepted Answer

A budget contingency is the allocation o

Question 13

What is the total amount budgeted for March in this time-phased budget? $$\begin{array} { | l | l | l | l | l |} 
\hline \text { Activity } & \text { Jaruary } & \text { February } & \text { March } & \text { April } \
\hline \text { Survey } & 8,000 & & & \
\hline \text { Design } & 5,250 & 4,500 & & \
\hline \text { Pirt } & & 6,700 & & \
\hline \text { Foundation } & & 12,550 & & \
\hline \text { Frarning } & & & 37,250 & \
\hline \text { Plurnb } & & & 7,800 & \
\hline \text { Wire } & & & & 5,500 \
\hline
\end{array}$$

Accepted Answer

A) $37,250 
B) $82,050 
C) $41,000 
D) $45,050 
A) $37,250 
B) $82,050 
C) $41,000 
D) $45,050

Question 14

A normal cost is incurred when:

Accepted Answer

A) Overtime is used more than originally planned. 
B) Shipments are expedited. 
C) Additional temporary workers are brought on site. 
D) The aggressive baseline plan is adhered to. 
A) Overtime is used more than originally planned. 
B) Shipments are expedited. 
C) Additional temporary workers are brought on site. 
D) The aggressive baseline plan is adhered to.

Question 15

Normal conditions,by definition,occur the vast majority of the time in project management.

Accepted Answer

A) True 
 B)False

Question 16

Which of the following is NOT contained in a typical time-phased budget?

Accepted Answer

A) Total expenses for each activity 
B) Total expenses for each time unit 
C) Cumulative expenses for each time unit 
D) Cumulative time for each expense 
A) Total expenses for each activity 
B) Total expenses for each time unit 
C) Cumulative expenses for each time unit 
D) Cumulative time for each expense

Question 17

A plan that identifies the allocated resources,the project's goals,and the schedule that allows an organization to achieve those goals is:

Accepted Answer

A) The work breakdown structure. 
B) The risk management plan. 
C) The statement of work. 
D) The project budget. 
A) The work breakdown structure. 
B) The risk management plan. 
C) The statement of work. 
D) The project budget.

Question 18

If a project manager is using a similar,past project as a basis to estimate costs for a new project,he or she is utilizing analogous estimating.

Accepted Answer

A) True 
 B)False

Question 19

A learning rate of 90% means that for every doubling of output,the time required by the activity falls by 10%.

Accepted Answer

A) True 
 B)False

Question 20

Which of these is typically a recurring cost?

Accepted Answer

A) Preliminary market analysis 
B) Personnel training 
C) Outplacement services 
D) Logistics 
A) Preliminary market analysis 
B) Personnel training 
C) Outplacement services 
D) Logistics

The charge that is most likely a fixed cost is for:

What are three benefits to the use of contingency funds?

An activity with a learning rate of 0.8 takes 30 hours for the first six units.How long will it take to complete this task for the 12th time?

The project management research in brief titled "Delusion and Deception Taking Place in Large Infrastructure Projects," describes three reasons that cost overruns occur in large infrastructure project work.Briefly describe these three reasons

Explain the difference between normal and expedited costs,fixed and variable costs,and recurring or nonrecurring costs.Create a 2 × 2 × 2 matrix and provide one example each (8 total examples)of each combination of these costs.

Contingency money is:

Once most of the design work is complete,at a point when the scope and capabilities of the project are quite well understood,a ________ may be developed.

If it takes 40 hours to complete the first unit and the company knows from experience that the learning rate should be 0.75,how fast can they be expected to finish all ten units?

A budget contingency of $1 million on a $10 million project means that the project will be planned for a cost of $10 million,but the project organization receives an extra $1 million to guard against unforeseen cost overruns.

It took 44 hours of analysis to complete the first phase,but the second phase was done in 42 hours.If this learning rate continues,then the 8th analysis should take a mere:

What is a budget contingency and what are three reasons it might be useful?

What is the total amount budgeted for March in this time-phased budget? Activity Jaruary February March April Survey 8,000 Design 5,250 4,500 Pirt 6,700 Foundation 12,550 Frarning 37,250 Plurnb 7,800 Wire 5,500

A normal cost is incurred when:

Normal conditions,by definition,occur the vast majority of the time in project management.

Which of the following is NOT contained in a typical time-phased budget?

A plan that identifies the allocated resources,the project's goals,and the schedule that allows an organization to achieve those goals is:

If a project manager is using a similar,past project as a basis to estimate costs for a new project,he or she is utilizing analogous estimating.

A learning rate of 90% means that for every doubling of output,the time required by the activity falls by 10%.

Which of these is typically a recurring cost?

Introduction: Why Project Management

The Organizational Context: Strategy, Structure, and Culture

Project Selection and Portfolio Management

Leadership and the Project Manager

Scope Management

Project Team Building, Conflict, and Negotiation

Risk Management

Project Scheduling: Networks, Duration Estimation, and Critical Path

Project Scheduling: Lagging, Crashing, and Activity Networks

Advanced Topics in Planning and Scheduling: Agile and Critical Chain

Resource Management

Project Evaluation and Control

Project Closeout and Termination

Filters

Exam 8: Cost Estimation and Budgeting

The charge that is most likely a fixed cost is for:

What are three benefits to the use of contingency funds?

An activity with a learning rate of 0.8 takes 30 hours for the first six units.How long will it take to complete this task for the 12th time?

The project management research in brief titled "Delusion and Deception Taking Place in Large Infrastructure Projects," describes three reasons that cost overruns occur in large infrastructure project work.Briefly describe these three reasons

Explain the difference between normal and expedited costs,fixed and variable costs,and recurring or nonrecurring costs.Create a 2 × 2 × 2 matrix and provide one example each (8 total examples)of each combination of these costs.

Contingency money is:

Once most of the design work is complete,at a point when the scope and capabilities of the project are quite well understood,a ________ may be developed.

If it takes 40 hours to complete the first unit and the company knows from experience that the learning rate should be 0.75,how fast can they be expected to finish all ten units?

A budget contingency of $1 million on a $10 million project means that the project will be planned for a cost of $10 million,but the project organization receives an extra $1 million to guard against unforeseen cost overruns.

It took 44 hours of analysis to complete the first phase,but the second phase was done in 42 hours.If this learning rate continues,then the 8th analysis should take a mere:

What is a budget contingency and what are three reasons it might be useful?

What is the total amount budgeted for March in this time-phased budget? Activity Jaruary February March April Survey 8,000 Design 5,250 4,500 Pirt 6,700 Foundation 12,550 Frarning 37,250 Plurnb 7,800 Wire 5,500

A normal cost is incurred when:

Normal conditions,by definition,occur the vast majority of the time in project management.

Which of the following is NOT contained in a typical time-phased budget?

A plan that identifies the allocated resources,the project's goals,and the schedule that allows an organization to achieve those goals is:

If a project manager is using a similar,past project as a basis to estimate costs for a new project,he or she is utilizing analogous estimating.

A learning rate of 90% means that for every doubling of output,the time required by the activity falls by 10%.

Which of these is typically a recurring cost?

Introduction: Why Project Management

The Organizational Context: Strategy, Structure, and Culture

Project Selection and Portfolio Management

Leadership and the Project Manager

Scope Management

Project Team Building, Conflict, and Negotiation

Risk Management

Project Scheduling: Networks, Duration Estimation, and Critical Path

Project Scheduling: Lagging, Crashing, and Activity Networks

Advanced Topics in Planning and Scheduling: Agile and Critical Chain

Resource Management

Project Evaluation and Control

Project Closeout and Termination

Filters