The Probability Based Scheduling Approach That Recognizes and Measures the Uncertainty

question 66

Multiple Choice

The probability based scheduling approach that recognizes and measures the uncertainty of the project completion times is the

• A)GANTT chart.
• B)PERT chart.
• C)Critical Path Method.
• D)GERT chart.
• E)none of the above.

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Definitions:

Allowance for Doubtful Accounts

A contra-asset account that reduces the total accounts receivable balance to reflect accounts that are expected not to be collected.

Bad Debt Expense

An expense recognized when receivables are no longer collectible due to customer default.

Prompt Payment

A term describing the timely processing of payment to a vendor or creditor, often governed by contractual terms or regulations to ensure payments are made within an agreed-upon timeframe.

Accounts Receivable Turnover

A financial metric used to measure how efficiently a company collects revenue from its credit sales, calculated by dividing net credit sales by the average accounts receivable.