A Project Manager Bases His Time and Labor Estimates on a Learning

question 99

True/False

A project manager bases his time and labor estimates on a learning curve of 86%. The actual learning curve turns out to be 84%. The manager, because of the decreased learning, will complete his project in more time and with more labor use than his estimate suggested.

Understanding the cash flow impacts of buying and selling assets, including the disposal of plant, property, and equipment.

Distinction between cash inflows and outflows in financing activities, and the understanding of their impact on cash flow.

Evaluating cash flow effects of transactions and events, including loss from disposal of assets or changes in account balances.

Ability to discern between operating, investing, and financing activities within various scenarios.

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Definitions:

Separate Accounting Entity

A fundamental accounting principle that treats a company's financial reports as distinct from those of its owners or other businesses.

Audit

A systematic examination of books, accounts, documents, and vouchers of an organization to ascertain how far the financial statements present a true and fair view.

Accuracy

The degree to which the result of a measurement, calculation, or specification conforms to the correct value or a standard.