The following PMP® exam sample question is taken from the Free PMP Exam Simulator (The answer is at the very bottom):
You have just been assigned as a new project manager for a hotel construction project. You and your company have completed numerous similar projects in the past and all the information regarding these projects is available in your Organizational Process Assets. You have all the per unit prices for the raw materials and resources that will be required to complete the project. You also have a team of very talented project team members who can help you develop an accurate bottom-up cost estimate for the project. If you have to provide your project sponsor with a very quick project cost estimate, which of the following techniques should you use?
A. Bottom-Up Estimate
B. Parametric Estimate
C. Analogous Estimate
D. Three-point Estimate
Hint: Which of the techniques requires the least time to develop an estimate?
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Answer and Explanation:
The correct answer is C. This scenario gives unnecessary details regarding the options available to you. If we simplify the question, it is only asking you to determine which of the given estimating techniques requires the least amount of time to develop an estimate. Analogous Estimating is a gross value estimating approach.