WGU C176 Ch. 1| 706 questions| 65 pages| With Complete Solutions

A Guide to the Project Management Body of Knowledge (PMBOK Guide) Correct Answer: The project management standard developed by the Project Management Institute. Benefit measurement methods Correct Answer: A type of decision model that compares the benefits obtained from a variety of new project requests by evaluating them using the same criteria and comparing the results. Constrained optimization models Correct Answer: Decision models that use complex principles of statistics and other mathematical concepts to assess a proposed project. Cost-benefit analysis Correct Answer: A commonly used benefit measurement method that calculates the cost of producing the product, service, or result of the project and compares this to the financial gain the project is expected to generate. Decision model Correct Answer: A formal method of project selection that helps managers make the best use of limited budgets and human resources. Includes benefit measurement methods and constrained optimization models. Discounted cash flow (DCF) Correct Answer: Compares the value of the future cash flows of the project to today's dollars. Economic model Correct Answer: A type of benefit measurement method. It is a series of financial calculations that provide data on the overall financials of the project and is generally used as a project selection technique. Feasibility study Correct Answer: Undertaken to determine whether the project is a viable project, the probability of project success, and the viability of the product of the project. Functional organization Correct Answer: A form of organizational structure. Functional organizations are traditional organizations with hierarchical reporting structures. Internal rate of return (IRR) Correct Answer: The discount rate when the present value of the cash inflows equals the original investment. Projects with higher IRR values are generally considered better than projects with lower IRR values. Assumes that cash inflows are reinvested at the IRR value. Matrix organization Correct Answer: An organizational structure where employees report to one functional manager and at least one project manager. Functional managers assign employees to projects and carry out administrative duties, while project managers assign tasks a