Baseline Project Budgets Are Derived from

question 23

Multiple Choice

Baseline project budgets are derived from

• A) the organization's overall budget.
• B) time-phasing the work packages.
• C) top management directions.
• D) the total direct, direct project overhead and G&A overhead costs.
• E) the earned value system.

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Definitions:

Expected Standard Deviation

A statistical measure that quantifies the amount of variation or dispersion of a set of expected values, often used to quantify the risk associated with a particular asset or investment.

Probability Distribution

A mathematical function that describes the likelihood of obtaining the possible values that a random variable can assume.

Nominal Rate of Interest

The stated interest rate on a loan or financial asset, without adjustment for inflation or other factors.

Real Rate of Interest

The inflation-adjusted interest rate, which shows the actual cost of borrowing and the genuine return for lenders or investors.