Which of the Following Best Describes a Project Charter

question 66

Multiple Choice

Which of the following best describes a project charter?

• A) a formal written offer from a client to a prospective project vendor
• B) a document that tracks the progress of a project
• C) a key document that authorizes a project
• D) an informal document that assesses the effectiveness of a project

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Definitions:

Marginal Cost

The amount of money needed to manufacture an extra unit of a good or service.

Diagram

A simplified drawing or plan that represents the essential features of something, often used for explanation or clarification.

Coase Theorem

A principle that asserts if trade in an externality is possible and there are no transaction costs, parties can negotiate to solve the problem privately.

Spillover Costs

Costs of production that affect people who have no control over or involvement in the production process, also known as externalities.