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27. The process of forecasting or approximating the time and cost of completing project deliverables is calleda. Budgeting.b. Predicting.c. Estimating.d. Planning.e. Guesstimating.Estimating is the process of forecasting or approximating the time and cost of completing project deliverables.c. Estimating.Estimating is the process of forecasting or approximating the time and cost of completing project deliverables.28. In practice, estimating processes are frequently classified asa. Top down/bottom up.Estimating processes are frequently classified as top-down and bottom-up. Top-down estimates are usually done by senior management. Bottom-up estimates are typically done by the people doing the work.29. Typical kinds of costs found in a project include all of the following EXCEPTa. Direct costs.b. Project overhead costs.c. General and administrative overhead costs.d. Labor.e. All of these are examples of costs found in a project.e. All of these are examples of costs found in a project.Typical costs found in a project include direct costs, which consist of labor, materials and equipment, direct project overhead costs and general and administrative overhead costs.30. Which of the following would best represent direct project costs?a. Only laborb. Only materialsc. Only equipmentd. Both labor and materialse. Labor, materials and equipmente. Labor, materials and equipmentDirect project costs can be clearly chargeable to a specific work package. These costs represent real cash outflows as the project progresses; therefore they are usually separated from overhead costs. They include labor, materials and equipment costs.31. Companies are using which of the following for improving the estimating process for future projects?
d. Creating historical databases of previous projectsSome organizations have large estimating departments of professional estimators—e.g., Boeing, Kodak, IBM—that have developed large time and cost databases.32. Reasons why estimating time and cost are important include all of the following EXCEPTa. To schedule work.b. To determine how long the project should take and cost.c. To develop cash flow needs.d. To determine how well the project is progressing.e. To help establish a project selection process.e. To help establish a project selection process.Estimates are not important to help establish a project selection process. This process should be established before the project was selected.