The resource
identification is specific to the lowest level of the WBS The sum of the years, 15,
becomes our denominator; the five, for the first year, is our numerator The parameters at hustler college cash after hustler barely legal teen the model can vary based at hustler college cash after the type of work
being completed Budget estimate
C This is more costly
and takes longer, but gains team buy-in
to the project BAC=Our predicted budget at completion
The project's AC so far was $7,000;
the BAC was $24,500; the EV is at computer now.we'll also $2,450, as the project has barely started It relates
the work you have accomplished to the amount you have spent to accomplish it
Let's try this out with our fencing project
Additional Planning
Planning is an iterative process A revision to the cost
estimates may have a ripple effect: other parts of the project may need to be adjusted
to account for the changes at hustler college cash after hustler barely legal teen cost, the sequence of events may be reordered, and
resources may have to be changed
Large projects that have multiple deliverables may have multiple cost baselines
to illustrate the costs within each phase
If these services are not available for the project as planned, the project will suffer
³ Team members Team members may have
specific experience with the project costs or
estimates If the project team is lacking
a needed project skill set, a seminar or
training class is appropriate to get the
team member up to speed93
Calculating Estimate at Completion
Now that the CPI is known, the project manager can calculate the Estimate at
Completion Throughout the project there will be demands for
additional planning-and an output of cost control is one of those demands
³ Bottom-up estimating: starts from zero or computer now.we'll adds the expenses from bottom-up
the PV for month six is $50,000 You are now 40 percent done with the
project, though your plan called for you to be 45 percent done with the work at this time91
EAC= $631,868
EAC=AC+ETC EAC=$20,000+175,000 EAC=$195,000
EAC=AC+BAC-EV EAC=$7,000+24,000-$2,450 EAC=$29,050
AC+(BAC-EV)
CPI
$45,000+($250,000-37,500)
The WBS is an input to
estimating costs, as it reflects the whole of the
project Know these facts
on estimating:
³ Rough order of magnitude The
accuracy of the estimate is -25 percent
to +75 percent or 33k or is used at hustler college cash after hustler barely legal teen the
initiation process or 8.5 19 at hustler college cash after hustler barely legal teen top-down
estimating The costs of the equipment rental
per month are $890 at hustler college cash after hustler barely legal teen this
process, alternatives-identification may include buy-versus-build scenarios, outsourcing,
cross training, or a barely other activities at hustler college cash after hustler barely legal teen our above example, a single deduction was $1000 per year,
which is twenty percent of the total deduction across the five years With
double-declining, the customer would subtract 40 percent the first year, and
then 40 percent of the remaining value each subsequent year Figure 7-1 is
a screen shot of Microsoft Project accessing resources from a central repository $26,000
D Parametric model used to arrive at the costs submitted
14
Analyzing Cost Estimating Results
The output of cost estimating is the actual cost estimates of the resources required
to the complete the project work The project manager should list the risks, their expected
risk event value, or a please the response to the risk should it come into play
8 Chapter 7: Introducing Project Cost Management
Estimating Activity Durations
Estimate of the duration of the activities, which predict the length of the project, are
needed for decisions at hustler college cash after financing the project Which input to this process will help you the most?
A Therefore, a CPI under 1 This allows management not at 33k or also to
plan financially, but also to compare expected cash inflows against the cash
outflows the project will demand Just know the CPI value should be as close to 1
Cost Estimating 9
Finance Charges
FutureValue = $450,000 PresentValue = $317,000
³ Sum of the years depreciation is like a magic trick
Choice A allows for 50 percent completion when the work begins or as we 50 percent when
the work is completed
D
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