Project Controls PC 08 Rev 03

Which definition is true in respect of whole life costing.

• Whole life costing incorporates the entire Project Budget.

• Whole Life Costing only includes the cost of Labour and Materials.

• Whole Life Costing is a made up process.

• Whole Life Costing is based on the investment of money today will with the addition of interest pay a bill of higher value in the future.

True or False Whole life costing includes all (Capex) and (Opex) expenditure

• True

• False

Which statement regarding whole life costs is not accurate.

• Whole life costs consider the lowest cost for the highest amount quality possible.

• Whole life costs consider functional requirements, technical viability, economic performance and environmental impact.

• Whole life costing no longer exists when a project is terminated and handed over to the end user.

• Whole life costing exists from the initiation to the closing of the project, hand over to the end user and then full production until the product, service or result is terminated and or decommissioned.

Assumptions, Risks and Constraints only show positive affects for the Estimation Process.

• True

• False

Which definition is correct in respect of Productivity.

• Productivity is the amount of money made by a company prior to deductions.

• Productivity is the amount of material used to produce a product.

• Productivity is the ratio of Input facilities and the output of goods and services. Inputs can be Labour, Materials, Machinery resources or a combination of all.

• Productivity is Money made, expenses incurred and net profit realised.

Factors affecting Productivity does not include ?

• Input related factors

• Organizational factors

• External factors

• Technological factors

• Tool Box Talks

What is Benchmarking?

• Making meaningful comparisons to others, and identifying opportunities to improve.

• Transferring a graphical representation to the work surface in preparation to marking out a template.

• A type of Tree Diagram showing specific project relationships.

• An Issue Log used to register negative Project activity Impacts.

Do Software users need to be specifically trained and skilled in order to fully understand the cost estimating data process.

• Yes

• No

What does a Rough order of Magnitude refer to in Estimating.

• The Highest amount of detail investigated to produce the most accurate Estimate.

• The Least amount of detail investigated to produce the most variance within an Estimate.

When would you apply the least amount of contingency within a Project Estimate.

• At the beginning of a project.

• During Execution of the project

• During Planning when the WBS has been fully created and all risks evaluated allowing for the bottom up estimate process to take place.

• During the Monitoring and Control process.