CDFM MODULE 2 FINAL PAPER 2026 TESTED
QUESTIONS WITH FULL SOLUTION GRADED
A+
◉ If Budgeted Cost of work scheduled is 130 and Budget Cost of
work performed is 100 and Actual Cost of work performed is 150
what is the cost variance? Answer: Budgeted Cost (BC) - Actual Cost
(AC) =Cost Variance
Budgeted Cost (BC) -Scheduled Cost = Schedule Variance
◉ What document identifies capability shortfalls and explains why
non material changes are inadequate and then identifies
alternatives> Answer: Initial Capabilities Document (ICD)
◉ What is included in Acquisition Category I? Answer: RDT&E of
more than $365M Procurement of more than $2,190 billion
◉ What is included in Acquisition Category II? Answer:
RDT&E$140M to $365 M procurement $660 M to 2.19B
◉ Who has Milestone Decision Authority for Acquisition? Answer:
Component Acquisition Executive or Component Head
,◉ What is the key to cost performance? Answer: Trade-offs must be
entertained early in the acquisition process.
◉ What is Analysis of Alternatives (AoA)? Answer: Review of all
other options for getting what you want and choose least expensive.
◉ How do you calculate the Learning Curve Rate? Answer: Average
Cumulative Time per item / previous average cum time per item
◉ 6. What is the current Expense/investment threshold for O&M?
Answer: $250K
◉ What is another source of funds (other than typical DoD
appropriations) besides agricultural and grazing leases, fish, and
wildlife, and sale and out lease? Answer: Recycling
◉ When doing an economic analysis the analysis when does the
comparison period begin? Answer: With the money spent on "the
first alternative that require expenditure of funds
◉ What types of statistical analysis only tells us things about the
specific collection of data that we have gathered? Answer:
Descriptive
,◉ What is the calculation for discount factors Answer:
PCVn=1/(1+d)n
Present value factor for year n=1 divided by (1 plus discount rate)
squared by project year. If it is a three year project then you would
calculate where the square is 1 then 2 then 3
◉ What do you call a reduction in some future resource requirement
that has not been included in an approved program? Answer: Cost
Avoidance
◉ What do you call a reduction in future personnel time and effort
requirements associated with a function or assigned task that has
been included in an approved program? Answer: Productivity
Improvement
◉ How does Cost Element Structure (CES) group costs? Answer:
System-specific and appropriation-discrete cost elements
◉ How many players should the reengineering team include?
Answer: Fewer than 10 people
◉ What is the process of measuring the comparing one's
performance against "best in class" organization? Answer: Bench
marking
, ◉ What law or regulation has as its goal the improvement of Federal
program effectiveness and public accountability by promoting a new
focus on results, service quality, and customer satisfaction? Answer:
Government Performance and Results Act (GPRA)
◉ What is the term for anything produced by an organization that
can be tabulated, calculated, or recorded or can be expressed in a
quantitative or qualitative measure? Answer: Output or Output
measures
◉ What kind of function is so intimately related to the public
interest as to mandate performance by government employees?
Answer: Inherently Governmental Functions.
◉ Into which two categories do inherently governmental functions
normally fall? Answer: The Act of Governing and Monetary
Transactions and Entitlements
◉ What are some of the components necessary to conducting
effective Economic Analysis? Answer: Clear identification of mission
related objectives; Specific assumptions; identification of all feasible
alternatives; Estimate of all anticipated costs; mission-related
benefits from all feasible alternatives; Sensitivity analysis; full
addressed results and recommendations
QUESTIONS WITH FULL SOLUTION GRADED
A+
◉ If Budgeted Cost of work scheduled is 130 and Budget Cost of
work performed is 100 and Actual Cost of work performed is 150
what is the cost variance? Answer: Budgeted Cost (BC) - Actual Cost
(AC) =Cost Variance
Budgeted Cost (BC) -Scheduled Cost = Schedule Variance
◉ What document identifies capability shortfalls and explains why
non material changes are inadequate and then identifies
alternatives> Answer: Initial Capabilities Document (ICD)
◉ What is included in Acquisition Category I? Answer: RDT&E of
more than $365M Procurement of more than $2,190 billion
◉ What is included in Acquisition Category II? Answer:
RDT&E$140M to $365 M procurement $660 M to 2.19B
◉ Who has Milestone Decision Authority for Acquisition? Answer:
Component Acquisition Executive or Component Head
,◉ What is the key to cost performance? Answer: Trade-offs must be
entertained early in the acquisition process.
◉ What is Analysis of Alternatives (AoA)? Answer: Review of all
other options for getting what you want and choose least expensive.
◉ How do you calculate the Learning Curve Rate? Answer: Average
Cumulative Time per item / previous average cum time per item
◉ 6. What is the current Expense/investment threshold for O&M?
Answer: $250K
◉ What is another source of funds (other than typical DoD
appropriations) besides agricultural and grazing leases, fish, and
wildlife, and sale and out lease? Answer: Recycling
◉ When doing an economic analysis the analysis when does the
comparison period begin? Answer: With the money spent on "the
first alternative that require expenditure of funds
◉ What types of statistical analysis only tells us things about the
specific collection of data that we have gathered? Answer:
Descriptive
,◉ What is the calculation for discount factors Answer:
PCVn=1/(1+d)n
Present value factor for year n=1 divided by (1 plus discount rate)
squared by project year. If it is a three year project then you would
calculate where the square is 1 then 2 then 3
◉ What do you call a reduction in some future resource requirement
that has not been included in an approved program? Answer: Cost
Avoidance
◉ What do you call a reduction in future personnel time and effort
requirements associated with a function or assigned task that has
been included in an approved program? Answer: Productivity
Improvement
◉ How does Cost Element Structure (CES) group costs? Answer:
System-specific and appropriation-discrete cost elements
◉ How many players should the reengineering team include?
Answer: Fewer than 10 people
◉ What is the process of measuring the comparing one's
performance against "best in class" organization? Answer: Bench
marking
, ◉ What law or regulation has as its goal the improvement of Federal
program effectiveness and public accountability by promoting a new
focus on results, service quality, and customer satisfaction? Answer:
Government Performance and Results Act (GPRA)
◉ What is the term for anything produced by an organization that
can be tabulated, calculated, or recorded or can be expressed in a
quantitative or qualitative measure? Answer: Output or Output
measures
◉ What kind of function is so intimately related to the public
interest as to mandate performance by government employees?
Answer: Inherently Governmental Functions.
◉ Into which two categories do inherently governmental functions
normally fall? Answer: The Act of Governing and Monetary
Transactions and Entitlements
◉ What are some of the components necessary to conducting
effective Economic Analysis? Answer: Clear identification of mission
related objectives; Specific assumptions; identification of all feasible
alternatives; Estimate of all anticipated costs; mission-related
benefits from all feasible alternatives; Sensitivity analysis; full
addressed results and recommendations
