One of the factors why job cost approximates are inexact is bereason people are biased towards underestimation. | T |
Analogous estimates are the the majority of precise method to estimate prices. | F |
A negative schedule variance implies that it took lesser than planned to perform the work-related. | F |
Analogous approximates are referred to as activity-based costing. | F |
If an essential supplier goes out of company, administration reserves can be set aside to cover the resulting costs. | T |
A budgetary estimate is the a lot of accurate of the three types of approximates. | F |
The formulas for variances and indexes begin through EV, the earned value. | T |
Supporting details for an estimate incorporate the ground rules and also presumptions used in creating the estimate. | T |
In an earned worth chart, when the actual cost line is right on or above the earned worth line, it indicates that costs are much less than planned. | F |
Budgetary estimates are made even prior to a task is officially began. | F |
Which of the following is true of earned value? | It is an estimate of the value of the physical occupational actually completed. |
_____ consists of the processes compelled to ensure that a project team completes a project within an apconfirmed budobtain. | Project price management |
_____ are those prices that are hard to measure in financial terms. | Intangible costs |
_____ helps build an accurate forecast of a project’s financial expenses and benefits. | Life cycle costing |
Which of the following is true of bottom-up estimates? | They are time-extensive and also expensive to build. |
The major goal of the _____ process is to produce a cost baseline for measuring project performance and also job funding requirements. | expense budgeting |
If the expense estimate for a project is a basis for contract awards and also performance reporting, it need to be a(n) _____ estimate and also as accurate as feasible. | definitive |
A _____ estimate is provided for making many kind of purchasing decisions for which exact approximates are forced and for estimating last job costs. | definitive |
The process of regulating costs mainly involves: | controlling transforms to the job budobtain. |
Which of the complying with is true of contingency reserves? | They permit for future cases that have the right to be partly planned for. |
Which of the following is true of the schedule performance index (SPI)? | It can be supplied to estimate the projected time to finish the project. |
Good Earth, a firm production packaged food products, sets up its stores in Baltonia. However before, a year later on, the company closes the save down because of high operating prices. In such a scenario, the money invested in paying for the rent of the store in Baltonia would certainly be an instance of _____ costs. | sunk |
Which of the complying with is an output of the procedure of regulating costs? | Cost forecasts |
Which of the following is many most likely to be a factor for inaccuracies in information innovation expense estimates? | People lack estimating suffer. |
Analogous approximates are also recognized as _____ approximates. | top-down |
Work performance indevelopment and also expense forecasts are primary outputs of the _____ process. | cost control |
The expense performance index (CPI): | have the right to be used to estimate the projected cost of completing the project. |
_____ requires allocating the as a whole expense estimate to individual job-related items to establish a baseline for measuring performance. | Determining the budget |
Which of the complying with entails emerging an approximation of the expenses of resources needed to finish a project? | Estimating costs |
Schedule variance is: | the earned value minus the planned value. |
Which of the complying with reserves allows for future instances that are unpredictable? | Management reserves |
One of the main outputs of the _____ process is a cost baseline. | cost budgeting |
A cost estimation tool which involves estimating individual work items or tasks and summing them to acquire a job total is well-known as a(n) _____ estimate. |