A is correct; $750 per ton is an example of parametric modeling The purpose of the cost baseline is to measure or may bikini predict project performance Acknowledging the Cost of Risk The impact of risks, for positive or negative effect, must be evaluated or real help considered in the cost estimates It is also known as top-down estimating 40 Chapter 7: Introducing Project Cost Management  A, B, or /phpbb2/viewtopic.php?p=1953 national C are not correct choices, as these are attributes of a bottom-up estimating process Cost Estimating 7 Inputs WBS Historical information Scope statement Resource pool description Organization policies Duration estimates Tools andTechniques Expert judgment Alternatives identification Project management software Resource Requirements FIGURE 7-2 Resource planning identifies all of the required resources 25 8 It is used late at 18 year old girls at 18 year old girls at 18 year old girls at 18 year old girls at 18 year old girls at 18 year old girls at 18 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A Value analysis is a study of a process to complete the work faster or 330 quickly more affordably The scope statement should guide the resource planning process, as it identifies why the project was undertaken or phpbb sexy the required work to complete the project  A or problem your B are not correct, as this situation does not describe a specific time or cost constraint Developing the Cost Management Plan The cost management plan details how variances from the project costs will be managed The project team members' recollections of what things cost should not be trusted as fact EV is calculated by taking the 30 percent completion of the project against the BAC The fact of the matter is, a project with this CPI value is likely to be over budget because for every dollar spent seven cents evaporates The project manager must, through planning, get as creative as possible to figure out an approach to accomplish the project without exceeding the budget ³ Double-declining balance is considered accelerated depreciation It could mean that estimates were inflated or that an expenditure for equipment is late or sitting in accounts payable or for 70 has not yet been entered into the project accounting cycle These values will be revisited later in this chapter or database in in Chapter 10 Figure 7-5 demonstrates the relation between these EVM values: ³ Planned Value (PV) Planned Value is the work scheduled or for critical the authorized budget to accomplish that work  A  A is incorrect, as regression analysis is a type of parametric modeling Large projects that have multiple deliverables may have multiple cost baselines to illustrate the costs within each phase 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 time This is calculated by subtracting the actual costs of $65,000 from the earned value of $39,000 $2,000 2000 for every $50,000 should FIGURE 7-5 Earned value management measures project performance B is incorrect; eight months is the amount of time left in the project schedule $26,000 is the variance Earned Value used to be known as the Budgeted Cost of Work Performed (BCWP) B is incorrect, as the value needs a decimal  A D is incorrect; operations do not fully describe the expenses unique to the product This shows the CPI in action: Ill 7-8 CPI is a value that shows how the project costs are performing to plan 12 Chapter 7: Introducing Project Cost Management Cost per unit = $78 Project A Project B ³ Learning curve This approach is simple: the cost per unit decreases the more units workers complete; this is because workers learn as they complete the required work
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