CAPM Pocket Prep Concepts Flashcards
______ is interpreted as the current estimated value of the work actually accomplished. It is also is the measure of work performed expressed in terms of the budget authorized for that work.
Earned Value (EV)
______ is interpreted as the current actual cost incurred for the work accomplished.
Actual Cost (AC)
______ is interpreted as the current expectation of the total project cost.
Estimate at Completion (EAC)
______ is the estimated value of work that is currently planned to be accomplished.
Planned Value (PV)
______ are added in the aggregation process to achieve the cost baseline. The aggregation process occurs when the work package costs are rolled up to control account costs and then rolled up again to project costs.
Contingency reserves
The purpose of calculating the ______ of each possible project is to compare projects in order to select the best project to initiate.
Net present value (NPV)
An IRR is completed to determine what each project’s anticipated return will be.
Internal Rate of Return (IRR)
The ______ determines the length of time it will take for the organization to recover its investment for each project.
Payback period
The ______ is completed to compare the potential benefits of each project.
Cost-benefit analysis
______ is a projection of the amount of budget deficit or surplus, expressed as the difference between the budget at completion and the estimate at completion.
Variance at Completion (VAC)
______ is the expected cost to finish all the remaining project work.
Estimate to Complete (ETC)
VAC can be calculated with the following formula.
VAC = BAC - EAC.
Positive = Under planned cost Neutral = On planned cost Negative = Over planned cost
______ examines project performance over time to determine if performance is improving or deteriorating.
Trend analysis
A ______ assessment considers the likelihood that a specific risk will occur.
Risk Probability Assessment
A ______ assessment considers the potential effect on one or more project objectives such as schedule, cost, quality, or performance.
Risk Impact Assessment
A ______ assessment evaluates the degree to which the data about individual project risks is accurate and reliable as a basis for qualitative risk analysis.
Risk Data Quality Assessment
A ______ is an action to verify that all risks have been identified, plans have been created to handle risks, and that the individuals responsible for responding to the risks are prepared to take action.
Risk Audit
Five alternative strategies may be considered for dealing with opportunities:
Escalate Exploit Share Enhance Accept
Five alternative strategies may be considered for dealing with threats:
Escalate Avoid Transfer Mitigate Accept
A ______ is an unplanned response that is created to handle unexpected problems on a project.
Workaround
A ______ is an action taken to periodically review and adjust the documentation of the risk management plan and risk register.
Risk Reassessment
A ______ is a review of the project’s financial resources to compare the current balance against the projected amount needed.
Reserve Analysis
