There Is No General Agreement of Standard Project Phases and Tasks

question 57

Multiple Choice

There is no general agreement of standard project phases and tasks in current project management literature and therefore there are no commonly accepted time estimates or standard processing rates.However,there is agreement as to several points related to the estimation process.Which of the following is not an agreed-upon point in the estimation process?

• A) Estimates are only estimates no matter how well thought out.
• B) Initial estimates regarding time and costs are almost always too high.
• C) The accuracy of estimation improves considerably as a project proceeds toward completion.
• D) Costs are frequently higher than originally estimated.

Understand the criteria for recognizing, measuring, and disclosing contingent liabilities in financial statements.

Identify and classify transactions affecting working capital and understand their impacts on cash flow.

Comprehend the accounting for and reporting of long-term liabilities, including notes payable and lease obligations.

Grasp the concept of present value and its application in accounting for long-term obligations and capital assets.

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Definitions:

Quasi-Fixed Costs

Costs that are not directly variable with the level of output but can change over time with scale of operations, such as salaries for permanent staff.

Positive Output

Production of goods or services in a quantity that exceeds zero.

Short-Run Cost Function

A mathematical relation describing how production costs change with output levels over a short period, where some inputs are fixed.

Positive Amount

A numerical value greater than zero, indicating a quantity that is present or an action that increases size or quantity.