Question 1

The main output of the planning cost management process is a(n) _____.

Accepted Answer

cost management plan

Question 2

Supporting details for an estimate include the ground rules and assumptions used in creating the estimate.

Accepted Answer

A) True 
 B)False  True

Question 3

Which statement is true of tangible costs?

Accepted Answer

A)  They cannot be calculated in monetary terms. 
B)  They can be easily measured. 
C)  They are difficult to quantify. 
D)  Their examples include goodwill and prestige. 
A)  They cannot be calculated in monetary terms. 
B)  They can be easily measured. 
C)  They are difficult to quantify. 
D)  Their examples include goodwill and prestige. B

Question 4

Which statement is true of contingency reserves?

Accepted Answer

A)  They allow for future situations that can be partially planned for. 
B)  They are also known as unknown unknowns. 
C)  They are not included in a cost baseline. 
D)  They allow for dollar amounts to be used to cover existing, fixed costs. 
A)  They allow for future situations that can be partially planned for. 
B)  They are also known as unknown unknowns. 
C)  They are not included in a cost baseline. 
D)  They allow for dollar amounts to be used to cover existing, fixed costs.

Question 5

The main goal of which process is to produce a cost baseline for measuring project performance and project funding requirements?

Accepted Answer

A)  cost budgeting 
B)  cost planning 
C)  cost controlling 
D)  cost estimating 
A)  cost budgeting 
B)  cost planning 
C)  cost controlling 
D)  cost estimating

Question 6

What type of management includes the processes required to ensure that a project team completes a project within an approved budget?

Accepted Answer

A)  project scope management 
B)  project quality management 
C)  project time management 
D)  project cost management 
A)  project scope management 
B)  project quality management 
C)  project time management 
D)  project cost management

Question 7

It is important for project managers to focus on indirect costs because they can be easily controlled.

Accepted Answer

A) True 
 B)False

Question 8

A cost management plan is a subsidiary of the _____ plan.

Accepted Answer

The answer of  A cost management plan is a subsidiary...

Question 9

Parametric models are reliable when the models are flexible in terms of the project's size.

Accepted Answer

A) True 
 B)False

Question 10

Earned value management involves calculating three values for each activity or summary activity from a project's WBS. Describe each of these three values with examples.

Accepted Answer

(1) The planned value (PV) is the author

Question 11

Newtech Inc. hires John for the position of a software programmer to work on their new project. Salary paid to John by Newtech Inc. would be an example of which type of costs?

Accepted Answer

A)  direct 
B)  indirect 
C)  sunk 
D)  intangible 
A)  direct 
B)  indirect 
C)  sunk 
D)  intangible

Question 12

List and briefly describe the four project cost management processes.

Accepted Answer

The four processes for project cost mana

Question 13

Which type of estimating uses project characteristics in a mathematical model to estimate project costs?

Accepted Answer

A)  rough order of magnitude estimating 
B)  parametric 
C)  bottom-up 
D)  analogous 
A)  rough order of magnitude estimating 
B)  parametric 
C)  bottom-up 
D)  analogous

Question 14

What is the first step in project cost management?

Accepted Answer

A)  allocate project cost estimates to individual material resources 
B)  plan how costs will be managed 
C)  control project costs and monitor cost performance 
D)  develop several estimates of costs for different types of resources 
A)  allocate project cost estimates to individual material resources 
B)  plan how costs will be managed 
C)  control project costs and monitor cost performance 
D)  develop several estimates of costs for different types of resources

Question 15

What are tangible and intangible costs? Distinguish between direct and indirect costs and give examples of each.

Accepted Answer

Tangible and intangible costs and benefi

Question 16

It is important for project managers to understand that every cost estimate is unique.

Accepted Answer

A) True 
 B)False

Question 17

The cost incurred for the work performed on an activity during a specific time period is known as the _____.

Accepted Answer

actual cos

Question 18

The time frame for a(n) _____ estimate is often three or more years prior to project completion.

Accepted Answer

rough order of magni

Question 19

The cost performance index can be used to calculate the _____ which gives an approximate cost of completing a project based on performance to date.

Accepted Answer

estimate at completi

Question 20

Which is most likely to be a reason for inaccuracies in information technology cost estimates?

Accepted Answer

A)  Estimates take a long time to be worked out. 
B)  People lack estimating experience. 
C)  Human beings are biased toward overestimation. 
D)  Only software development provides the scope for estimates to be accurate. 
A)  Estimates take a long time to be worked out. 
B)  People lack estimating experience. 
C)  Human beings are biased toward overestimation. 
D)  Only software development provides the scope for estimates to be accurate.

The main output of the planning cost management process is a(n) _____.

Supporting details for an estimate include the ground rules and assumptions used in creating the estimate.

Which statement is true of tangible costs?

Which statement is true of contingency reserves?

The main goal of which process is to produce a cost baseline for measuring project performance and project funding requirements?

What type of management includes the processes required to ensure that a project team completes a project within an approved budget?

It is important for project managers to focus on indirect costs because they can be easily controlled.

A cost management plan is a subsidiary of the _____ plan.

Parametric models are reliable when the models are flexible in terms of the project's size.

Earned value management involves calculating three values for each activity or summary activity from a project's WBS. Describe each of these three values with examples.

Newtech Inc. hires John for the position of a software programmer to work on their new project. Salary paid to John by Newtech Inc. would be an example of which type of costs?

List and briefly describe the four project cost management processes.

Which type of estimating uses project characteristics in a mathematical model to estimate project costs?

What is the first step in project cost management?

What are tangible and intangible costs? Distinguish between direct and indirect costs and give examples of each.

It is important for project managers to understand that every cost estimate is unique.

The cost incurred for the work performed on an activity during a specific time period is known as the _____.

The time frame for a(n) _____ estimate is often three or more years prior to project completion.

The cost performance index can be used to calculate the _____ which gives an approximate cost of completing a project based on performance to date.

Which is most likely to be a reason for inaccuracies in information technology cost estimates?

Introduction to Project Management

The Project Management Information Technology Context

The Project Management Process Groups

Project Integration Management

Project Scope Management

Project Schedule Management

Project Quality Management

Project Resource Management

Project Communications Management

Project Risk Management

Project Procurement Management

Project Stakeholder Management

Filters

Exam 7: Project Cost Management

The main output of the planning cost management process is a(n) _____.

Supporting details for an estimate include the ground rules and assumptions used in creating the estimate.

Which statement is true of tangible costs?

Which statement is true of contingency reserves?

The main goal of which process is to produce a cost baseline for measuring project performance and project funding requirements?

What type of management includes the processes required to ensure that a project team completes a project within an approved budget?

It is important for project managers to focus on indirect costs because they can be easily controlled.

A cost management plan is a subsidiary of the _____ plan.

Parametric models are reliable when the models are flexible in terms of the project's size.

Earned value management involves calculating three values for each activity or summary activity from a project's WBS. Describe each of these three values with examples.

Newtech Inc. hires John for the position of a software programmer to work on their new project. Salary paid to John by Newtech Inc. would be an example of which type of costs?

List and briefly describe the four project cost management processes.

Which type of estimating uses project characteristics in a mathematical model to estimate project costs?

What is the first step in project cost management?

What are tangible and intangible costs? Distinguish between direct and indirect costs and give examples of each.

It is important for project managers to understand that every cost estimate is unique.

The cost incurred for the work performed on an activity during a specific time period is known as the _____.

The time frame for a(n) _____ estimate is often three or more years prior to project completion.

The cost performance index can be used to calculate the _____ which gives an approximate cost of completing a project based on performance to date.

Which is most likely to be a reason for inaccuracies in information technology cost estimates?

Introduction to Project Management

The Project Management Information Technology Context

The Project Management Process Groups

Project Integration Management

Project Scope Management

Project Schedule Management

Project Quality Management

Project Resource Management

Project Communications Management

Project Risk Management

Project Procurement Management

Project Stakeholder Management

Filters