49. Which scenario is an example of proactive budget management?
- While planning your project budget, you decide that you don’t need to add buffers for unexpected costs. Since you’ve completed several projects like this one in the past and have always come in under budget, you feel you don’t need to plan for any extra cost.
- During your project, the market experiences a shortage of a resource that’s crucial for your project’s success. Because of the shortage, the price of this resource increases. This is something you did not expect, nor plan for, and must now figure out how you can afford to complete your project.
- While planning your project budget, you gather historical data and consult with industry experts. You consider fixed costs, add relevant line items, and set aside a 5% reserve for unexpected costs.
- You’re reviewing your budget and realize that it took much longer than you anticipated for a subject matter expert to complete a task. The labor cost associated with this task is now well over budget. You must now request a budget increase to cover the cost of the labor.
50. You are working with a vendor and ask them to sign an NDA. What does an NDA help to ensure?
- That the amount of promised work is clear to all parties
- That multiple vendors are able to submit bids for the project
- That confidential information is kept within the organization
- That the the vendor and the team both understand the expected deliverables
51. The budgeting process usually takes place at the same time as what other process?
- Procurement
- Delivery
- Scheduling
- Production
52. Which section of the statement of work (SoW) includes the desired outcomes of the entire project?
- Scope
- Deliverables
- Purpose
- Major milestones
