A Possible Reason for the Poor Record of Project Cost

question 23

Multiple Choice

A possible reason for the poor record of project cost overruns is __________.

• A)scope creep
• B)project managers use optimistic cost estimates
• C)project managers are unaware of some costs
• D)all of the above

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Definitions:

Current Assets

Assets that are expected to be converted into cash, sold, or consumed within one year or within the normal operating cycle.

Discounted Note

A type of debt instrument that is sold or redeemed for less than its face value but whose actual value matures to the full face amount at a later date.

Face Value

The nominal or original value stated on a financial instrument, such as a bond or stock certificate.

Gross Pay

The total amount of money earned by an employee before any deductions or taxes are taken out.