Typical problems with IT cost estimates include: Estimates are done quickly, and people lack estimating experience. Human beings are biased towards overestimation. Top Management does not care about accuracy. All of the above.

One of the important departments of the organization is the IT department, which is known as…

Answered: Typical problems with IT cost estimates…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 21P

See similar textbooks

Similar questions

You are a business analyst for a project that is currently in the execution phase. It is an engineering project that has specific statements of work calling for parts, specifications, and acceptable tolerance levels, along with price, delivery, and other contracted terms. This project has a budget and schedule that is baselined and has a management reserve of 5%. Use this scenario to address the following in 525 to 700 words using MS Word. Evaluate the 4 key areas you will focus your efforts on when analyzing and monitoring the scope of the project. Identify 3 monitoring activities or processes you would engage in to ensure product quality, cost, schedule, and risk run according to plan. Identify 3 controlling activities or processes you would engage in to ensure product quality, cost, schedule, and risk run according to plan. Identify 4 primary questions you will help answer in the closing phase. Identify 4 activities you might engage in or documents you may help deliver in the…
a) Describe the key characteristics of a feasibility study, including an example of the tasks that need to be undertaken and techniques employed. b) Table Q4b. shows data obtained using the scoring method in a project selection exercise. (i) Describe clearly how the scoring method works, using table Q4b. as an example upon which to base your description. (ii) The project manager must select one project only. State which project, the project manager should select (Project A, Project B or Project C) and provide a justification based on the data provided in Table Q4b. Weighted Score (= Score x Weighting) Criterion Weight Project A Project B Project C Criterion 1 Mandatory Yes Yes No Criterion 2 10 9 x 10 = 90 8x 10 = 80 9 x 10 = 90 Criterion 3 8 9 x 8 = 72 8 x 8 = 64 9 x 8 = 72 Criterion 4 6 6х6- 36 7x 6 = 42 9 x 6 = 54 Criterion 5 4 7x 4 = 28 8x 4 = 32 9 x 4 = 36 Total Score 226 218 252 Table Q4b c) In Industry and commerce, it is common to classify estimates according to three different…
Which type of preliminary estimate would be the best in each of the following situations and explain your answer rationale. a. Decide whether it is feasible to proceed with constructing a new small office building. b. Establish the budget for a bond issue to build three new elementary schools. c. Evaluate which of three alternate designs best fits the budget for a new clinic.
29) Which of the following Capital Budgeting Method used to calculate using the condition of NPV being 0 for a project? a. None of the options b. Internal Rate of Return c. Accounting Rate of Return d. Payback period
In a career costing scheme, what paper is prepared to accumulate costs on each individual job? What kinds of expenses are mentioned in the documents?
Scenario Analysis As part of the process of preparing the master budget for the coming year,you’ve been asked to perform What-If analyses, in the form of scenarios, on the original planningassumptions regarding product A produced by your company. The following are the baseline planning data for the coming year for this product:Sales volume (annual, in units) 2,500Selling price per unit $ 1,500Variable cost per unit $ 1,000Fixed costs (per year) $200,000Required1. Based on the baseline planning data, what is the budgeted operating income for product A for the coming year?2. Determine the estimated operating income under each of the following scenarios (for each scenario youshould report both the new budgeted operating income and the percentage change in operating incomefrom the baseline budgeted result):a. Selling price per unit is 10% higher than planned, while fixed costs per year are also 10% higher thanplanned.
Too High Tech ("Smoke and Mirrors" or Real Sales)?Staci Sutter works as an analyst for Independent Investment Bankshares (IIBS), which is a largeinvestment banking organization. She has been evaluating an IPO that IIBS is handling for atechnology company named ProTech Incorporated. Staci is essentially finished with her analysis, andshe is ready to estimate the price for which the stock should be offered when it is issued next week.According to her analysis, Staci has concluded that ProTech is financially strong and is expected toremain financially strong long into the future. n fact, the figures provided by ProTech suggest thatthe firm's growth will exceed 30 percent during the next five years. For these reason, Staci isconsidering assigning a value of $35 per share to ProTech's stock.Staci, however, has an uneasy feeling about the validity of the financial figures she has beenevaluating. She believes the ProTech's CFO has given her what he believes are quality financialstatements.…
Topic: ProbabilityGoal: In your business planning, you will employ mathematics probability to increase your chances of success.You play the role of a tiny business owner who wants to expand into a much larger enterprise. You must write a written report and deliver it to the group on the most likely outcome(s) of the business you wish to start.The target audience is a group of small company owners who could be interested in partnering with you. Product: A written report on the business's likely results that will be given to the group. Success Criteria: The written report that will be provided must be... - Represents genuine business problems or patterns. - Persuasive, based on probability mathematics.
Any significant capital expenditure or project requires a lengthy, and expensive, cost benefit analysis. True or False True False
Mr. Raheem, the marketing manager of Orphic company prepared a plan showing the expected expenses of his department for the coming year 2021. This type of plan is an example of: a. Contingent Plan. b. Budget. c. Strategic Plan. d. Standing Plan.
Assume that a company provided the following information and assumptions from its master budget: Sales budget: Unit sales in June, July, and August are 20,000, 18,000, and 17,000, respectively. The selling price per unit is $80. All sales are on account. 20% of sales are collected in the month of sale and 80% are collected in the next month. What are the budgeted sales for July? Multiple Choice $1,440,000 $1,600,000 $288,000 $1,152,000
You are the Laboratory manager of a medium sized 120-bed hospital, and you are called to a hospital leadership meeting by the CEO of the facility. You are told that the hospital is having problems meeting some debt responsibility and there is possibility that a budgetary cutback will be needed to alleviate the situation. Each departmental management is being given one week to plan how to accomplish a cost reduction of 10% within his/her department. Should it become necessary. You are also told that this situation is highly confidential because it is not yet known whether the cost reduction will be needed. Issues and Questions to Consider: 1.Identify the steps in developing short0term goals to address the potential reduction in resources described above 2.What type of information will you need to gather to assess your current state and develop a plan?

SEE MORE QUESTIONS

Recommended textbooks for you

Practical Management Science

Operations Management

ISBN:

9781337406659

Author:

WINSTON, Wayne L.

Publisher:

Cengage,

Practical Management Science

Operations Management

ISBN:

9781337406659

Author:

WINSTON, Wayne L.

Publisher:

Cengage,

SEE MORE TEXTBOOKS

		Estimates are done quickly, and people lack estimating experience.
		Human beings are biased towards overestimation.
		Top Management does not care about accuracy.
		All of the above.