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PMP Perjuangan Chapter 7 Cost Management

Total questions: 10

Worksheet time: 6mins

Name
Class
Date
1.

You are over budget and it seems difficult for you to complete with your current budget which is 250,000 USD. Considering your current cost performance will be the same as the future cost performance, you calculate your new budget as 300,000 USD. To date, you have spent 100,000 USD. What is the Earned Value?

a)

150,000 USD

b)

120,000 USD

c)

83,000 USD

d)

100,000 USD

2.

Due to some issues, your project is behind schedule and over budget, therefore management is very concerned about the future of your project. To show the exact picture of your project you calculate the TCPI, and you go to management. What does this TCPI show the management?

a)

The required cost performance to complete the project within the approved budget

b)

The required schedule performance to complete the project within the approved time

c)

The new projected cost to complete the project within the approved time

d)

The new projected time to complete the project within the approved budget

3.

The cost management plan has all the following characteristics:

a)

It is based on project cost estimates and is separate from the project management plan.

b)

It may specify variance thresholds for monitoring cost performance to indicate an agreed-upon amount of variation to be allowed before some action needs to be taken.

c)

It may specify the level of precision, which is the degree to which activity cost estimates will be rounded up or down.

d)

It describes how the project costs will be planned, structured, and controlled.

4.

Parametric estimating involves:

a)

Defining cost or duration parameters of the project life cycle.

b)

Calculating individual cost estimates for each work package and integrating them to obtain the total cost of the project.

c)

Using a statistical relationship between relevant historical data and other variables to calculate a cost estimate for project work.

d)

Using the actual cost of a previous similar project to estimate the cost of the current project.

5.

Which of the following cumulative measures indicates that your project is about 9% over the budget?

a)

The cumulative AC was 100, and the cumulative EV was 110

b)

The cumulative PV was 100, and the cumulative AC was 110

c)

The cumulative AC was 110, and the cumulative EV was 100

d)

The cumulative EV was 100, and the cumulative PV was 110

6.

The authorized time phased budget which you use to monitor and control the cost of the project is known as:

a)

Funding limit reconciliation

b)

EAC

c)

Cost baseline

d)

Schedule baseline

7.

Assuming your past performance will be the same as the future performance, you have calculated the EAC as 250,000 USD. Your previous budget was 200,000 USD and you have earned 50,000 USD to date. What is the money spent to date?

a)

40,000 USD

b)

50,000 USD

c)

90,000 USD

d)

62,500 USD

8.

Haryo have been given a multi-year project to build a refinery. This is a very large and complex project, and now he need to estimate the cost for this project. What basic assumption will he need to make while estimating the cost for this project?

a)

If he will get the project budget in phases

b)

He will be given all costs and resources at the beginning of the project

c)

Whether the estimate will be limited to direct costs or if it will include the indirect costs as well

d)

If the project schedule is fixed or based on events

9.

Wawan is in the process of aggregating the estimated costs of individual

activities or work packages to establish an authorized cost baseline. What process is this?

a)

Estimate cost

b)

Determine budget

c)

Plan cost management

d)

Control cost

10.

Felix have been given a task to estimate a budget for his project. Felix is using a bottom up cost estimation technique to calculate the cost of each activity. Management told him that the management reserve will be 6% of the cost baseline. Which of the following represents the budgeted cost of the project?

a)

Cost Baseline + Management Reserve

b)

Cost Baseline + Contingency Reserve

c)

Contingency Reserve + Management Reserve

d)

None of the above