Costs

What is true about costs?

• Costs and price basically mean the same thing

• Cost is a monetary value of human effort to produce something

• Cost is a good indicator of the value of a good or a service

• Cost is independent from location and time

What is meant by the Pareto Frontier in cost estimation?

• The highest cost estimate for a project
• A line representing the maximum cost limit
• The lowest cost estimate for a project
• a set of minimum cost solutions for specific performances

What cost estimating technique is good for very early cost estimations?

• Analogy

• Engineering build-up

• Parametric

Concerning specific cost model and general cost model, which statement is wrong?

• A general parametric cost model displays unit cost in a 3-dimensional chart

• A specific parametric cost model displays unit cost in a 4-dimensional chart

• A specific parametric cost model describes members of one product family

• A general parametric cost mdoel usually needs comparison of product costs to estimate the cost of a given product

What does PBS in cost estimation stand for?

• Product Breakdown Structure

• Professional Business Solutions
• Personal Budgeting System
• Public Broadcasting Service

Concerning the Product Breakdown Structure in cost estimation, which statement is wrong?

• PBS helps in identifying relevant costs

• PBS enables comparisons between different system designs

• In the PBS, all the end elements are represented in one general cost model

• PBS provides a logical link among segements of a project