A Firm, Fixed-Price Project Is on Pace to Exceed the Maximum

question 197

Multiple Choice

A firm, fixed-price project is on pace to exceed the maximum defect rate identified in the project charter. The customer has stated the project must be delivered on time. Which of the following is the BEST option for the project to complete on time and within parameters?

• A) Reduce the project scope.
• B) Crash the schedule.
• C) Request additional budget from the customer.
• D) Apply new resources to the project.

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Definitions:

Direct Labour-Hours

The total hours worked directly on the production of goods or services.

External Reports

Financial documents that are prepared for parties outside the organization, such as shareholders and creditors.

Overhead Cost

Refers to ongoing expenses that are not directly tied to production but are necessary for running the business, such as rent, utilities, and insurance.

Direct Labour-Hours

A measure of the total time individuals spend working directly on manufacturing a product.