PM5

Question 1

What is cost management?

Answer 1

Encompasses data collection, cost accounting, and cost control

Question 2

What do cost accounting and cost control serve as?

Answer 2

Chief mechanisms for identifying and maintaining control over project costs

Question 3

What is cost estimation?

Answer 3

Process that creates a reasonable budget baseline for the project

Question 4

What are common sources of project cost?

Answer 4

Labour
Material
Subcontractors
Equipment
Facilities
Travel

Question 5

What are some types of costs?

Answer 5

Direct vs Indirect
Recurring vs Nonrecurring
Fixed vs Variable
Normal vs Expedited

Question 6

What does direct cost cover?

Answer 6

Material
Labour
Equipment

Question 7

What does indirect cost cover?

Answer 7

Project overhead and G & A overhead

Question 8

What are common cost estimations?

Answer 8

Ballpark - plus/minus 30%
Comparative - plus/minus 15%
Feasibility - plus/minus 10%
Definitive - plus/minus 5%

Question 9

What is function point analysis?

Answer 9

A system for estimating the size of software projects based on what the software does.