When Someone Familiar with Each Task Estimates What Percent of the Task

question 45

Multiple Choice

When someone familiar with each task estimates what percent of the task has been completed or how much of the task remains, they are creating a method for assigning costs to the baseline called the ____________ rule.

• A) estimated completion
• B) estimated cost
• C) percent complete
• D) estimation
• E) estimation method

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Definitions:

Ratio Analysis

A financial analytical technique that uses ratios (quantitative relationships) between financial statement items to assess a company's performance and condition.

Accounting Process

The sequence of procedures undertaken to record, summarize, and report financial transactions for a business entity.

Accrual Basis

An accounting method where revenue and expenses are recorded when they are earned or incurred, regardless of when the cash transaction occurs.

Double-entry Accounting

An accounting method that records each transaction twice, as both a debit and a credit, to ensure the accounting equation remains balanced.