Question 1

What are the project components in the Project Controlling process?

Question 2

Calculate to 4 decimal places 1.07^8

Question 3

List 3 ways that an organization's balance sheet is important to a project and explain why.

Question 4

Why should a project manager care about project finances when managing a project?

Question 1

Your team has given you a pessimistic estimate of $9,000 for a task. The optimistic estimate is $3,000 and the most likely is $4,500. Using the Beta analysis technique what value will you use as the cost estimate for the task?

1. $4500
2. $4000
3. $5000
4. $8000

Question 2

A project manager is managing a project that has reached the end of the planning phase. The work scope has been agreed to and definitive cost estimates have been completed for the project. The total estimated cost of the project is $300,000. It is reasonable to expect that the project will not cost over which of the following value?

1. $220,000
2. $300,000
3. $310,000
4. $330,000

Question 3

Why is it important to develop accurate cost estimates?

1. To establish justification for project funding
2. To motivate the project team
3. To evaluate cost savings opportunities for the project
4. To support good decisions

Question 4

A project manager wants to move the project team to a new location. Another coworker tells the project manager that it cost $1650 for equipment and two movers to help with a similar relocation. Based on this the project manager multiplies the cost by 1.2. The project manager is performing what kind of estimate?

1. Definitive
2. Analogous
3. Parametric
4. Quantitative

Question 5

A project manager wants to make a trip to New Brunswick by car. The project manager knows how many kilometers it will be to drive to New Brunswick, the current price of gasoline, and how many kilometers the car will get on a liter of gasoline. From this information he or she can calculate the estimated cost of the gasoline for the trip. This is a form of what kind of estimating technique? a)Definitive

1. Analogous
2. Parametric
3. Quantitative

Question 6

One of the environmental factors that has an impact on cost estimating is which of the following? a)Project staffing levels

1. Cost of quality
2. Market conditions
3. Lessons learned

Question 7

In three point estimating the most likely estimate is normally which of the following?

1. average cost for the activity
2. bestcase scenario for the activity
3. normal cost for the activity
4. No risks for the activity

Question 8

a)What cost factor needs to be included for a project that has a long duration (i.e., years)? b)Organization approval levels

1. Inflation
2. Cost of quality
3. Project complexity

Question 9

Why is reserve analysis an important part of cost estimating?

1. To help make good decisions
2. It determines the cash flow requirements
3. It is important for the vendor analysis and selection process.
4. It identifies additional funds based on uncertainty

Question 10

Why is it helpful to have several people review your cost estimates?

1. It supports project team commitment to the cost estimates
2. It can remove personal bias
3. It provides evidence to the sponsor that they are accurate
4. It prevents groupthink