Question 1 During the conceptual phase when project selection occurs, economic factors are an impo consideration in choosing between competing projects. To compare the simple paybacks or inte rates of return between projects, an estimate of the cost of each project is made. The estimates be accurate enough so that the comparisons are meaningful, but the amount of time and resour used to make the estimates should be appropriate to the size and complexity of the project. Read to understand the following scenarios and answer the questions below: scenario1. John sold his apartment and purchased another one. It is now time to plan for the move. John asked friend for advice about the cost of his move. His friend replied, "I moved from an apartment a litt smaller than yours last year and the distance was about the same. I did it with a 4.5-metre truck. It cos about N$5,750 for the truck rental, pads, hand truck, rope, boxes, and gas. Because of the similarity of the projects, John's initial estimate of the cost of the move was less than N$7,000 so he decided that the cost would be affordable and the project could go forward. scenario2. To estimate the size of the truck needed for John's move, the parameter used by a truck rental company is the number of bedrooms. The company assumes that the number of bedrooms is the important parameter in determining how big a truck is needed for a move. John has a one-bedroom apartment, so he chooses the 4.5-metre truck. Once the size is determined, other parameters, such as distance and days, are used to estimate the cost of the truck rental. Case Study 3. After evaluating the bids by the moving companies, John decides the savings are worth his time can get the packing done with the help of his friends. He decides to prepare a detailed estimate of a for packing materials and use of a rental truck. He looks up the prices for packing materials and tru rental costs on company websites and prepares a detailed list of items, quantities, and costs. He go more accurate estimate with the sum of packing materials and truck expenses is estimated to N$6,610.25. Answer the following questions: a) Indicate and discuss the type of cost estimates in each scenario based on where the data has been obtained (30 Marks b) State and discuss the tools and techniques for estimating cost. (20 Marks)