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CAPM Cost Management

Subjects : certifications, business-skills, capm

Instructions:

Answer 26 questions in 15 minutes.
If you are not ready to take this test, you can study here.
Match each statement with the correct term.
Don't refresh. All questions and answers are randomly picked and ordered every time you load a test.

This is a study tool. The 3 wrong answers for each question are randomly chosen from answers to other questions. So, you might find at times the answers obvious, but you will see it re-enforces your understanding as you take the test each time.

1. What is the difference between a cost budget and a cost baseline?
The cost budget adds management reserve to the cost baseline
EV/AC
(BAC-EV)/(BAC-AC)
Analogous estimationg; bottom-up estimating; parametric estimating; three-point estimates; one time estimates

2. What does life cycle costing mean?
Considering the furture cost of operating and maintaining the project or deliverable over its life when planning and managing the project
EV/PV
The cost budget adds management reserve to the cost baseline
AC + Bottom-up ETC - BAC/CPI - AC + (BAC-EV) - AC + (BAC - EV) / (CPI x SPI)

3. What is the range for a rough order of magnitude estimate?
+/- 50 percent from actual
Scope baseline; Project schedule; Human resource plan; Enterprise environmental factors; Organizational process assests; Risk register
In integration management as part of the Develop Project Management Plan process
A cost that varies with the amoutn of work done on the project; a cost that does not vary with the amount of work done on the project

4. What are key outputs of the Estimate Costs process?
EV/PV
EV-AC
Activity cost estimates; Updates to the project management plan and project documents
The cost budget adds management reserve to the cost baseline

5. What is the formula for schedule performance index?
EV-PV
EV/PV
(BAC-EV)/(BAC-AC)
The cost budget adds management reserve to the cost baseline

6. What is the formula for cost perfrmance index?
EV/AC
Scope baseline; Project schedule; Human resource plan; Enterprise environmental factors; Organizational process assests; Risk register
(BAC-EV)/(BAC-AC)
AC + Bottom-up ETC - BAC/CPI - AC + (BAC-EV) - AC + (BAC - EV) / (CPI x SPI)

7. What is the formula for schedule variance?
Analogous estimationg; bottom-up estimating; parametric estimating; three-point estimates; one time estimates
AC + Bottom-up ETC - BAC/CPI - AC + (BAC-EV) - AC + (BAC - EV) / (CPI x SPI)
EV-PV
-10 percent to +25 percent from actual

8. In which process is the cost management plan created?
Estimate costs; Determine Budget; Control Costs
A cost that varies with the amoutn of work done on the project; a cost that does not vary with the amount of work done on the project
Creating estimates based on the details of the projects which are then rolled up into project estimates
In integration management as part of the Develop Project Management Plan process

9. What are the main approaches to cost or schedule estimating?
Analogous estimationg; bottom-up estimating; parametric estimating; three-point estimates; one time estimates
Work performance measurements; budget forecasts; change requests; updatse to the project management plan and project documents
Cost baseline; funding requirements
EV/AC

10. What is the formula for cost variance?
Scope baseline; Project schedule; Human resource plan; Enterprise environmental factors; Organizational process assests; Risk register
Analogous estimationg; bottom-up estimating; parametric estimating; three-point estimates; one time estimates
Cost baseline; funding requirements
EV-AC

11. What are the formulas for estimate at completion?
+/- 50 percent from actual
AC + Bottom-up ETC - BAC/CPI - AC + (BAC-EV) - AC + (BAC - EV) / (CPI x SPI)
EV/AC
BAC-EAC

12. What are key outputs of the Control Costs process?
In integration management as part of the Develop Project Management Plan process
Finding a less costly way of doing essentially the same work.
EV-AC
Work performance measurements; budget forecasts; change requests; updatse to the project management plan and project documents

13. What is analogous estimating?
Creating estimates based on the details of the projects which are then rolled up into project estimates
Estimate costs; Determine Budget; Control Costs
A cost that varies with the amoutn of work done on the project; a cost that does not vary with the amount of work done on the project
The cost budget adds management reserve to the cost baseline

14. What is the range for a definitive estimate?
Considering the furture cost of operating and maintaining the project or deliverable over its life when planning and managing the project
In integration management as part of the Develop Project Management Plan process
+/- 10 percent from actual
EV-AC

15. What is earned value measurement?
A cost directly attributable to the project; overhead costs
EV-PV
A method of measuring project performance that looks at the value earned for work accomplished. It can be used to predict future cost performance and project completion dates.
Activity cost estimates; Updates to the project management plan and project documents

16. What is value analysis?
Activity cost estimates; Updates to the project management plan and project documents
A cost directly attributable to the project; overhead costs
Finding a less costly way of doing essentially the same work.
AC + Bottom-up ETC - BAC/CPI - AC + (BAC-EV) - AC + (BAC - EV) / (CPI x SPI)

17. What is the range for a budget estimate?
Activity cost estimates; Updates to the project management plan and project documents
Considering the furture cost of operating and maintaining the project or deliverable over its life when planning and managing the project
Calculating estimates using historical information
-10 percent to +25 percent from actual

18. Name inputs to the Estimate Costs process.
Scope baseline; Project schedule; Human resource plan; Enterprise environmental factors; Organizational process assests; Risk register
Considering the furture cost of operating and maintaining the project or deliverable over its life when planning and managing the project
(BAC-EV)/(BAC-AC)
The cost budget adds management reserve to the cost baseline

19. Describe a direct cost and and indirect cost chargeable to the project
A cost directly attributable to the project; overhead costs
Work performance measurements; budget forecasts; change requests; updatse to the project management plan and project documents
(BAC-EV)/(BAC-AC)
EV-PV

20. What is the formula for TCPI?
EV/AC
EV/PV
+/- 50 percent from actual
(BAC-EV)/(BAC-AC)

21. Describe a varable cost and a fixed cost chargeable to the project.
+/- 10 percent from actual
A cost that varies with the amoutn of work done on the project; a cost that does not vary with the amount of work done on the project
Analogous estimationg; bottom-up estimating; parametric estimating; three-point estimates; one time estimates
BAC-EAC

22. What is parametric estimating?
Estimate costs; Determine Budget; Control Costs
Calculating estimates using historical information
Activity cost estimates; Updates to the project management plan and project documents
EV/AC

23. What is the formula for variance at completion?
BAC-EAC
In integration management as part of the Develop Project Management Plan process
-10 percent to +25 percent from actual
Finding a less costly way of doing essentially the same work.

24. What are key outputs of the Determine Budget process?
BAC-EAC
Cost baseline; funding requirements
Work performance measurements; budget forecasts; change requests; updatse to the project management plan and project documents
Analogous estimationg; bottom-up estimating; parametric estimating; three-point estimates; one time estimates

25. What is the formula for estimate to complete?
Cost baseline; funding requirements
The cost budget adds management reserve to the cost baseline
EAC-AC
A cost directly attributable to the project; overhead costs

26. What is the process of cost management?
Calculating estimates using historical information
Considering the furture cost of operating and maintaining the project or deliverable over its life when planning and managing the project
Work performance measurements; budget forecasts; change requests; updatse to the project management plan and project documents
Estimate costs; Determine Budget; Control Costs