PM1 Unit 5 Review

Jenna's team is creating a new product. A deliverable for the project consists of building a website for the product. Jenna announces that she will be outsourcing this deliverable. Company A estimated a cost of $60,000 with completion in 3 months, Company B estimated a cost of

$100,000 with completion in 2 months, and Company C estimated a cost of $50,000 with completion in 4 months. Jenna averages the three proposed costs and determines that she will need to put $70,000 into the project budget for the website deliverable. What cost estimating technique did Jenna use?

• cost performance baseline

• historical relationships

• project funding requirements

• vendor bid analysis

Mary sets a target for the project budget during the planning phase. While executing the project, she checks to make sure she is within budget. Mary determines that she needs to refine the scope of the project and change her timeline and costs for the project activities. Mary

is using which tool to manage the cost of this project?

• cost performance baseline

• cost of quality

• funding limit reconciliation

• vendor bid analysis

Liz looks at the activity costs that must be incurred to complete all project deliverables. Liz is determining the:

• cost of quality.

• historical relationships.

• project funding requirements.

• vendor bid analysis.

Felicia averages three quoted costs and determines that she will need to put an extra $20,000 into the project budget. What cost estimating technique did Felicia use?

• cost performance baseline

• historical relationships

• project funding requirements

• vendor bid analysis

Hollie is managing a bathroom renovation project. The project has a budget of $1,500 and is 40% complete. The project is a three-month project and Hollie planned to spend $500 a month on the project. Hollie is evaluating the status of the project at the end of the first month.

What is the project's earned value?

• $500

• $600

• $1,000

• $1,500

Glenn is determining the project cost baseline by calculating the costs approved for each of the project's work packages. Glenn is determining the:

• actual cost.

• cost variance.

• earned value management.

• planned value.

The project manager would like to show the rate at which the project is progressing compared to what was planned. What indicator should she reference?

• Gantt chart

• schedule variance

• variance report

• schedule performance index

The project manager would like to determine the aggregate estimated costs from the individual work packages to create a detailed breakdown of projected costs. In which process is the project manager most likely

participating?

• control costs

• estimate costs

• determine budget

• earned value management

Tucker is the construction project manager for a new school building. With six months left on the project, he is able to determine whether the project is on target by using:

• forecasting.

• performance review(s).

• the cost management plan.

• the earned value management.

Which metric should Carol use to determine her project's future cost efficiency?

• cost performance index

• schedule variance index

• schedule performance index

• to-complete performance index