Exam 5: Estimating Project Times and Costs

The project management structure chosen to manage the project will have little impact on the quality of estimates.

A(n) __________ is something that is a valuable but burdensome possession.

Phase estimating is used when a project cannot be rigorously defined because of the uncertainty of design or the final product.

The approach to estimating project time and cost that begins with an overall estimate for the project and then refines estimates for various stages of the project as it is implemented is known as ____________.

The top-down method of estimating when the pooled experience of senior and / or middle managers are used to estimate the total project duration and cost is the _________ method.

Estimates should be based on normal conditions, efficient methods, and a normal level of resources. Explain.

The process of forecasting or approximating the time and cost of completing project deliverables is called planning.

The ideal approach to estimating project time and costs is to use both the top-down and the bottom-up approach.

Thinking holistically, suppose a never-before-done project is being estimated in which there is unstable scope. There is high uncertainty in the duration and cost of each work package. What impact will this have on the project schedule and budget? A bottom-up detailed estimate of total project duration, project schedule, project budget and cost is needed immediately prior to execution of the project. What method will you use, assuming a rough-cut top-down estimate of duration and cost already has been determined (perhaps months, years ago) for the entire project?

The preferred method for situations involving strategic decision making, projects with a high degree of uncertainty, and projects with an unstable scope is the ___________ approach to estimating project time and costs.

If time and costs are important to a project the top-down approach to estimating time and costs for the project is the best choice.

The information necessary to conduct a bottom-up estimate of project time and cost starts with the ___________.

Top-down methods are used for all but which of the following intended usages?

Project estimates should be broken down into as much detail, and with as much accuracy, as possible.

Refining estimates may be necessary for a number of reasons. For example, resource shortages, in the form of people, equipment, or materials, can extend original estimates. This is a good example of

Mega Projects often under deliver on expected benefits and cost more than expected.

A project estimator is working on estimates for a project that is very similar to a previous project, in that it has many of the same features and those features have similar costs. Each feature or deliverable will represent the same percentage of the total cost as it did for the previous project. He is using the _________ method of top-down estimating.

One guideline to follow when estimating time, cost and resources is to use several people to make the estimate for a task.

Which of the following is NOT one of the recommended guidelines for developing useful work package estimates?

Costs that are not directly related to a specific project, such as advertising, accounting, and senior management's salary, are classified as _____________ costs.