A(n) ____________________ Is a Document Issued by the Project Initiator

question 122

Short Answer

A(n) ____________________ is a document issued by the project initiator or sponsor that formally authorizes the existence of a project and provides the project manager with the authority to apply organizational resources to project activities.

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Definitions:

Profitability Index

A calculation used to determine the relative profitability of an investment, based on the present value of future cash flows divided by the initial investment cost.

Internal Rate

Often refers to internal rate of return (IRR), a financial metric used to estimate the profitability of potential investments.

Cash Inflows

The money received by a business from its various sources during a specific period, such as sales revenue, investments, and financing.

Operating Costs

The expenses associated with the day-to-day functioning of a business, including salaries, utilities, and rent.