Question 1

The RFP is sent to a list of vendors who are _____ -meet standards of reliability and capability-to perform the required work.

Accepted Answer

The answer of The RFP is sent to a list...

Question 2

An activity cannot have costs from more than one vendor.

Accepted Answer

A) True 
 B)False

Question 3

It is possible to calculate how much money needs to be spent by any particular date during a project.

Accepted Answer

A) True 
 B)False

Question 4

Describe earned value management EVM).

Accepted Answer

The answer of Describe earned value management EVM)....

Question 5

A budget estimate based on a similar project is an) _____ estimate.

Accepted Answer

A)  subtotaled 
B)  analogous 
C)  parametric 
D)  top-?bottom 
E)  bottom-up

Question 6

_____ is the revised project budget based on actual cost to date plus the estimate to complete.

Accepted Answer

A)  Cost variance 
B)  Budgeted cost of work performed 
C)  Estimate at completion 
D)  Planned value 
E)  Budget at completion

Question 7

Compare and contrast contingency reserves and management reserves.

Accepted Answer

The answer of Compare and contrast contingency reserves and management...

Question 8

_____ is the estimate of the amount of money needed to fill the unfinished part of the project.

Accepted Answer

A)  Budget at completion 
B)  Estimate to complete 
C)  Schedule Performance Index 
D)  Cost Performance Index 
E)  Budgeted cost of work performed

Question 9

Which of the following indicates that a project is behind schedule?

Accepted Answer

A)  A SPI value less than one 
B)  A SPI value more than one 
C)  A SPI value equal to one 
D)  A negative CV 
E)  A positive CV

Question 10

Which of the following is true about managing cash flow?

Accepted Answer

A)  The project manager prefers to keep the company's money working in other investments until the last moment before transferring it to the project account. 
B)  If estimates are rarely exceeded, the estimating method need not be reviewed. 
C)  Occurrences that increase costs above the original estimates are uncommon in projects. 
D)  Instead of underestimating each cost, money is budgeted for dealing with planned but statistically unpredictable cost increases. 
E)  It is not possible to predict which activities cost more than expected but it is reasonable to assume that some of them will be.

Question 11

_____ is the detailed cost estimates for each activity in the project.

Accepted Answer

A)  Actual cost 
B)  Cost Performance Index 
C)  Budgeted cost of work scheduled 
D)  Earned value 
E)  Actual cost of work performed

Question 12

_____ is a method of comparing the budgeted and actual costs of a project periodically during the project.

Accepted Answer

A)  Configuration management 
B)  Risk management 
C)  Change management 
D)  Earned value management 
E)  Contract management

Question 13

The process of subtotaling costs by category is called reconciliation.

Accepted Answer

A) True 
 B)False

Question 14

_____ refers) to decisions based on incomplete information made by people who have extensive personal experience.

Accepted Answer

A)  Guesswork 
B)  Top-down estimation 
C)  Bottom-up estimation 
D)  Speculation 
E)  Expert judgment

Question 15

The schedule variance and the cost variance provide the amount by which the spending is behind or ahead of) schedule and the amount by which a project is exceeding or less than) its budget.

Accepted Answer

A) True 
 B)False

Question 16

_____ is the sum of the items in the budgeted cost of work scheduled that should have been spent by a particular day.

Accepted Answer

A)  Cost Performance Index 
B)  Cost variance 
C)  Earned value 
D)  Budgeted cost of work performed 
E)  Planned value

Question 17

The ratio of the earned value to the planned value is the _____.

Accepted Answer

The answer of The ratio of the earned value to...

Question 18

A request for proposal RFP):

Accepted Answer

A)  is used to gather vendor information from various companies to generate a group of prospects. 
B)  is a formal arrangement in a partnership to execute a project with each party contributing resources. 
C)  involves a supplier who might bypass the bidding process on account of having a special relationship with the project. 
D)  requires a bidder to offer solutions and ideas on how to perform the scope of work and a price for performing that work. 
E)  defines the relationship between the project and subcontractors.

Question 19

If the costs of the activities up to the present vary from the original estimates, it will affect the total estimate for the project cost.

Accepted Answer

A) True 
 B)False

Question 20

The most accurate and time-consuming estimating method:

Accepted Answer

A)  uses the statistical relationship that exists between historical data and a particular delineated list of other variables. 
B)  is to identify the cost of each item in each activity of the schedule, including labor and materials. 
C)  uses the actual costs from previous projects as a basis for estimating the costs for the current project. 
D)  involves scaling estimates which are based on other project estimates upward or downward. 
E)  involves sorting detailed cost estimates by activity and then subtotaling activities to determine the cost for each activity.

Exam 9: Estimating and Managing Costs

The RFP is sent to a list of vendors who are _____ -meet standards of reliability and capability-to perform the required work.

An activity cannot have costs from more than one vendor.

It is possible to calculate how much money needs to be spent by any particular date during a project.

Describe earned value management EVM).

A budget estimate based on a similar project is an) _____ estimate.

_____ is the revised project budget based on actual cost to date plus the estimate to complete.

Compare and contrast contingency reserves and management reserves.

_____ is the estimate of the amount of money needed to fill the unfinished part of the project.

Which of the following indicates that a project is behind schedule?

Which of the following is true about managing cash flow?

_____ is the detailed cost estimates for each activity in the project.

_____ is a method of comparing the budgeted and actual costs of a project periodically during the project.

The process of subtotaling costs by category is called reconciliation.

_____ refers) to decisions based on incomplete information made by people who have extensive personal experience.

The schedule variance and the cost variance provide the amount by which the spending is behind or ahead of) schedule and the amount by which a project is exceeding or less than) its budget.

_____ is the sum of the items in the budgeted cost of work scheduled that should have been spent by a particular day.

The ratio of the earned value to the planned value is the _____.

A request for proposal RFP) :

If the costs of the activities up to the present vary from the original estimates, it will affect the total estimate for the project cost.

The most accurate and time-consuming estimating method: