A Key for Developing Project Cost Estimates Is To

question 96

Multiple Choice

A key for developing project cost estimates is to:

• A)Cost the project while considering the total package.
• B)Cost the project on a work package and task basis.
• C)Cost the project on a major module basis.
• D)Cost the project and add 33% for contingency.

---

Definitions:

Profit-Maximizing Entrepreneur

An individual or business that adjusts the combination of production inputs and outputs to achieve the highest possible profit.

Investment Project

A planned undertaking aimed at achieving specific financial returns through the allocation of resources to productive activities.

Interest Rate

The proportion of a total amount of money that is levied for borrowing it, usually described as a yearly rate percentage.

Interest Rate

The percentage of the principal charged by the lender for the use of its money, or earned by an investor on an investment.