Test your basic knowledge |

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 formula for schedule performance index?
Activity cost estimates; Updates to the project management plan and project documents
A cost directly attributable to the project; overhead costs
Analogous estimationg; bottom-up estimating; parametric estimating; three-point estimates; one time estimates
EV/PV

2. What is the difference between a cost budget and a cost baseline?
EAC-AC
Scope baseline; Project schedule; Human resource plan; Enterprise environmental factors; Organizational process assests; Risk register
+/- 50 percent from actual
The cost budget adds management reserve to the cost baseline

3. What are the formulas for estimate at completion?
EAC-AC
AC + Bottom-up ETC - BAC/CPI - AC + (BAC-EV) - AC + (BAC - EV) / (CPI x SPI)
+/- 10 percent from actual
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.

4. What is the range for a definitive estimate?
-10 percent to +25 percent from actual
+/- 10 percent from actual
EAC-AC
A cost directly attributable to the project; overhead costs

5. What is analogous estimating?
+/- 50 percent from actual
Creating estimates based on the details of the projects which are then rolled up into project estimates
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

6. What is the formula for TCPI?
BAC-EAC
EAC-AC
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
(BAC-EV)/(BAC-AC)

7. What is parametric estimating?
The cost budget adds management reserve to the cost baseline
Finding a less costly way of doing essentially the same work.
A cost directly attributable to the project; overhead costs
Calculating estimates using historical information

8. What is the process of cost management?
Considering the furture cost of operating and maintaining the project or deliverable over its life when planning and managing the project
Cost baseline; funding requirements
Estimate costs; Determine Budget; Control Costs
Creating estimates based on the details of the projects which are then rolled up into project estimates

9. What is the formula for estimate to complete?
Considering the furture cost of operating and maintaining the project or deliverable over its life when planning and managing the project
Estimate costs; Determine Budget; Control Costs
Creating estimates based on the details of the projects which are then rolled up into project estimates
EAC-AC

10. What is the formula for cost perfrmance index?
EV/AC
Calculating estimates using historical information
+/- 50 percent from actual
A cost directly attributable to the project; overhead costs

11. Describe a direct cost and and indirect cost chargeable to the project
BAC-EAC
A cost directly attributable to the project; overhead costs
EV-AC
Creating estimates based on the details of the projects which are then rolled up into project estimates

12. What are key outputs of the Estimate Costs process?
BAC-EAC
Activity cost estimates; Updates to the project management plan and project documents
Scope baseline; Project schedule; Human resource plan; Enterprise environmental factors; Organizational process assests; Risk register
EV-AC

13. What is the formula for variance at completion?
The cost budget adds management reserve to the cost baseline
BAC-EAC
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
EV/PV

14. In which process is the cost management plan created?
Work performance measurements; budget forecasts; change requests; updatse to the project management plan and project documents
In integration management as part of the Develop Project Management Plan process
Estimate costs; Determine Budget; Control Costs
The cost budget adds management reserve to the cost baseline

15. What is the range for a rough order of magnitude estimate?
(BAC-EV)/(BAC-AC)
Work performance measurements; budget forecasts; change requests; updatse to the project management plan and project documents
+/- 10 percent from actual
+/- 50 percent from actual

16. What is the range for a budget estimate?
AC + Bottom-up ETC - BAC/CPI - AC + (BAC-EV) - AC + (BAC - EV) / (CPI x SPI)
Cost baseline; funding requirements
-10 percent to +25 percent from actual
+/- 10 percent from actual

17. Name inputs to the Estimate Costs process.
EV-AC
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
Scope baseline; Project schedule; Human resource plan; Enterprise environmental factors; Organizational process assests; Risk register
AC + Bottom-up ETC - BAC/CPI - AC + (BAC-EV) - AC + (BAC - EV) / (CPI x SPI)

18. What are key outputs of the Control Costs process?
Work performance measurements; budget forecasts; change requests; updatse to the project management plan and project documents
BAC-EAC
Calculating estimates using historical information
Finding a less costly way of doing essentially the same work.

19. What does life cycle costing mean?
The cost budget adds management reserve to the cost baseline
Finding a less costly way of doing essentially the same work.
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

20. What is earned value measurement?
+/- 50 percent from actual
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.
Cost baseline; funding requirements
EV-PV

21. What is the formula for schedule variance?
EV-PV
+/- 10 percent from actual
In integration management as part of the Develop Project Management Plan process
The cost budget adds management reserve to the cost baseline

22. What is value analysis?
Considering the furture cost of operating and maintaining the project or deliverable over its life when planning and managing the project
Finding a less costly way of doing essentially the same work.
EV-PV
Creating estimates based on the details of the projects which are then rolled up into project estimates

23. What are key outputs of the Determine Budget process?
The cost budget adds management reserve to the cost baseline
Work performance measurements; budget forecasts; change requests; updatse to the project management plan and project documents
Cost baseline; funding requirements
Calculating estimates using historical information

24. Describe a varable cost and a fixed cost chargeable to the project.
Considering the furture cost of operating and maintaining the project or deliverable over its life when planning and managing the project
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
Activity cost estimates; Updates to the project management plan and project documents
-10 percent to +25 percent from actual

25. 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
+/- 10 percent from actual
Scope baseline; Project schedule; Human resource plan; Enterprise environmental factors; Organizational process assests; Risk register

26. What is the formula for cost variance?
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
EV-AC
The cost budget adds management reserve to the cost baseline