Question 1

Calculate the forecasted cost at completion if the total budgeted cost = $10,000, the CEV is $8,000, and the CAC is $4,000.

Accepted Answer

A)  FCAC = $5,000 
B)  FCAC =$20,000 
C)  FCAC =$6,000 
D)  FCAC = $4,000 
A)  FCAC = $5,000 
B)  FCAC =$20,000 
C)  FCAC =$6,000 
D)  FCAC = $4,000

Question 2

The cost performance index (CPI) is a measure of the cost efficiency with which the project is being performed. If the cumulative earned value is greater than the cumulative actual costs, then

Accepted Answer

A)  the CPI is greater than 1.0. 
B)  the CPI is less than 1.0. 
C)  CPI cannot be determined with CEV and CAC. 
D)  the CPI is negative. 
A)  the CPI is greater than 1.0. 
B)  the CPI is less than 1.0. 
C)  CPI cannot be determined with CEV and CAC. 
D)  the CPI is negative.

Question 3

Costs related to ___________ are for outsourced work when the project teams or contractors do not have the expertise or resources to do certain project tasks.

Accepted Answer

A)  benefactors and suppliers 
B)  stakeholders 
C)  reserve and withholding 
D)  subcontractors and consultants 
A)  benefactors and suppliers 
B)  stakeholders 
C)  reserve and withholding 
D)  subcontractors and consultants

Question 4

Large projects would have charge codes for the work package numbers to

Accepted Answer

A)  have a place for other projects to charge expenses. 
B)  determine how the actual costs compare to the planned costs. 
C)  have resources be able to determine what tasks they should complete. 
D)  allow for cutting of the budget for the activities if need to cut the budget. 
A)  have a place for other projects to charge expenses. 
B)  determine how the actual costs compare to the planned costs. 
C)  have resources be able to determine what tasks they should complete. 
D)  allow for cutting of the budget for the activities if need to cut the budget.

Question 5

A second method for determining the forecasted cost at completion assumes that, regardless of the efficiency rate the project or work package has experienced in the past, the work to be performed on the remaining portion of the project or work package will be done according to budget. If the cumulative actual cost is greater than the cumulative earned value, then

Accepted Answer

A)  the FCAC is greater than the TBC. 
B)  the FCAC is less than the TBC. 
C)  the FCAC cannot be calculated with the values given. 
D)  additional information is needed to predict the FCAC. 
A)  the FCAC is greater than the TBC. 
B)  the FCAC is less than the TBC. 
C)  the FCAC cannot be calculated with the values given. 
D)  additional information is needed to predict the FCAC.

Question 6

Facilities costs in the project costs estimate are for

Accepted Answer

A)  general facilities for the project organization. 
B)  special facilities or additional space for the project team. 
C)  special facilities or additional space for the organization where other projects will be in progress. 
D)  storage of materials even if not for the project. 
A)  general facilities for the project organization. 
B)  special facilities or additional space for the project team. 
C)  special facilities or additional space for the organization where other projects will be in progress. 
D)  storage of materials even if not for the project.

Question 7

Once a total budgeted cost has been established for each work package, the second step in the project budgeting process is to

Accepted Answer

A)  assign each TBC at the start of its work package. 
B)  assign each TBC at the end of its work package. 
C)  distribute each TBC over the project by dividing the total by the number of work packages and assigning that amount to each. 
D)  distribute each TBC over the duration of its work package. 
A)  assign each TBC at the start of its work package. 
B)  assign each TBC at the end of its work package. 
C)  distribute each TBC over the project by dividing the total by the number of work packages and assigning that amount to each. 
D)  distribute each TBC over the duration of its work package.

Question 8

A third method for determining the forecasted cost at completion is to re-estimate the costs for all the remaining work to be performed and then add this re-estimate to the cumulative actual cost. If the amount of cumulated actual costs is less than difference between the total budgeted cost and the re-estimate, then

Accepted Answer

A)  the FCAC is greater than the TBC. 
B)  the FCAC is less than the TBC. 
C)  the FCAC cannot be calculated with the values given. 
D)  additional information is needed to predict the FCAC. 
A)  the FCAC is greater than the TBC. 
B)  the FCAC is less than the TBC. 
C)  the FCAC cannot be calculated with the values given. 
D)  additional information is needed to predict the FCAC.

Question 9

As data are collected on _______, including portions of any committed cost, they need to be totaled by work package so that they can be compared to the ________

Accepted Answer

A)  planned cost, total budgeted cost. 
B)  budgeted cost of work scheduled, actual cost of work performed. 
C)  actual cost, cumulative budgeted cost. 
D)  cumulative earned value, total budgeted cost. 
A)  planned cost, total budgeted cost. 
B)  budgeted cost of work scheduled, actual cost of work performed. 
C)  actual cost, cumulative budgeted cost. 
D)  cumulative earned value, total budgeted cost.

Calculate the forecasted cost at completion if the total budgeted cost = $10,000, the CEV is $8,000, and the CAC is $4,000.

The cost performance index (CPI) is a measure of the cost efficiency with which the project is being performed. If the cumulative earned value is greater than the cumulative actual costs, then

Costs related to ___________ are for outsourced work when the project teams or contractors do not have the expertise or resources to do certain project tasks.

Large projects would have charge codes for the work package numbers to

Facilities costs in the project costs estimate are for

Once a total budgeted cost has been established for each work package, the second step in the project budgeting process is to

As data are collected on _, including portions of any committed cost, they need to be totaled by work package so that they can be compared to the __

Project Management Concepts

Identifying and Selecting Projects

Developing Project Proposals

Defining Scope, Quality, Responsibility, and Activity Sequence

Developing the Schedule

Resource Utilization

Managing Risk

Closing the Project

The Project Manager

The Project Team

Project Communication and Documentation

Project Management Organizational Structures

Project Management Information Systems

Filters

Exam 7: Determining Costs, Budget, and Earned Value

Calculate the forecasted cost at completion if the total budgeted cost = $10,000, the CEV is $8,000, and the CAC is $4,000.

The cost performance index (CPI) is a measure of the cost efficiency with which the project is being performed. If the cumulative earned value is greater than the cumulative actual costs, then

Costs related to ___________ are for outsourced work when the project teams or contractors do not have the expertise or resources to do certain project tasks.

Large projects would have charge codes for the work package numbers to

Facilities costs in the project costs estimate are for

Once a total budgeted cost has been established for each work package, the second step in the project budgeting process is to

As data are collected on _______, including portions of any committed cost, they need to be totaled by work package so that they can be compared to the ________

Project Management Concepts

Identifying and Selecting Projects

Developing Project Proposals

Defining Scope, Quality, Responsibility, and Activity Sequence

Developing the Schedule

Resource Utilization

Managing Risk

Closing the Project

The Project Manager

The Project Team

Project Communication and Documentation

Project Management Organizational Structures

Project Management Information Systems

Filters

As data are collected on _, including portions of any committed cost, they need to be totaled by work package so that they can be compared to the __