CSM Forum Banner

Project Cost Management Question (Source: Scordo)

Discuss PMP doubts, tips and lesson learned. iZenBridge makes PMP® Certification easy
signor_rk
Contributor
Contributor
Posts: 182
Joined: Wed Jun 18, 2014 3:47 pm

Project Cost Management Question (Source: Scordo)

Postby signor_rk Wed Jul 16, 2014 6:14 am

Q: Breaking down project activities into smaller components in order to obtain a more accurate cost estimate is called:
(A) Work breakdown structure
(B) Analogous estimating
(C) Decomposition
(D) Bottom-up estimating
My selected option was #(C) , but the answer shows # (D). Problem in understanding.
If this question starts like : An estimating method where "Breaking down project activities into smaller components in order to obtain a more accurate cost estimate is called :" , then I would have definitely choosen the option#(D).

Any comment please.
Regards ,

Ranjit
namita
Super Member
Super Member
Posts: 502
Joined: Wed Dec 11, 2013 10:25 am

Re: Project Cost Management Question (Source: Scordo)

Postby namita Wed Jul 16, 2014 7:54 am

When I drilled it, I found that you can't name the process of breaking activities for better estimation as bottom up estimation. Why?

Decomposition. A technique used for dividing and subdividing the project scope and project deliverables into smaller, more manageable parts.


Bottom-Up Estimating. A method of estimating project duration or cost by aggregating the estimates of the lower-level components of the work breakdown structure (WBS).


So process of estimation can be called bottom-up estimation but not the process of breaking activities into more estimatable activities.
sunku65
Contributor
Contributor
Posts: 259
Joined: Mon May 26, 2014 7:23 am

Re: Project Cost Management Question (Source: Scordo)

Postby sunku65 Wed Jul 16, 2014 8:28 am

I got it.
The question talking about activities that already broken down from work packages to obtain accurate cost estimates is called Bottom-up.

The question not talking about breaking down the activities in to further.
signor_rk
Contributor
Contributor
Posts: 182
Joined: Wed Jun 18, 2014 3:47 pm

Re: Project Cost Management Question (Source: Scordo)

Postby signor_rk Wed Jul 16, 2014 12:20 pm

Thank you all for sharing your views & comments.
Regards ,

Ranjit

Return to “PMP® Open Forum”

Who is online

Users browsing this forum: Bing [Bot], Google [Bot] and 9 guests