CompTIA Project+ (PK0-005)Project Life Cycle PhasesEasy
A project manager is developing the initial project budget. She has received estimates from various departments for labor, materials, and equipment. What process is she performing?
- ADetermine Budget
- BControl Costs
- CPlan Cost Management
- DEstimate Costs
Show answer & explanationAnswer & explanation
Correct answer: A. Determine Budget
Determining the budget involves aggregating all cost estimates for individual activities or work packages to establish an authorized cost baseline for the project.
Why the other options are wrong
- B. Control Costs is about managing actual spending against the budget, which happens during execution.
- C. Plan Cost Management is the process that establishes the policies, procedures, and documentation for planning, managing, expending, and controlling project costs.
- D. Estimate Costs is the process of developing an approximation of the monetary resources needed to complete project activities.
Determine Budget
The process of aggregating the estimated costs of individual activities or work packages to establish an authorized cost baseline.
- Occurs in the planning phase.
- Takes cost estimates as input.
- Output is the cost baseline.
Memory trick: Every Cost Plan is Determined and Controlled.