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2 years ago

Describe analogous, parametric and bottom-up estimating, and briefly discuss the advantages and disadvantages of each method.

Business

1 answer:

Zolol [24]2 years ago

8 0

Answer:

Analogous, Parametric , Bottomup estimate are the major project management cost estiomation tool.

Analogous

This particular technique is used to estimate the project cost when very little information or detail is available about the project. Thus, this technique does not provide a realistic or reliable estimation. In this type of estimation cost is calculated based on the historical data of similar project.

Parametric costing

Like analogues it also uses historical data for costing. It takes different variables from the project and applies them to the current project.( Man,equipment, material) used for similar last project are taken as a reference.

Bottom up technique

It is also considered as definitive technique. It is the most accurate among project cost estimation techniques, the cost of every activity involved in the project is calculated on realistic basis, estimation is done of greate4st level of detail, and then it will rolls up to calculate actual total cost. It drills down to every minute details of costing as well. total project work is broken down into the multiple smallest work components.

In a nutshell

Analogous

Fastest method of estimation

It can be calculated with minimal information

Parametric

It make use of statistical tools for estimation of cost involved in project

More accurate than the analogous method.

Bottom up

Most accurate technique

It can be used when all information are available

More time consuming method

Explanation: rate brainliest pls

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Go Fly A Kite is considering making and selling custom kites in two sizes. The small kites would be priced at $11.90 and the lar

Akimi4 [234]

Answer:

See below

Explanation:

Given the above information,

Sales

= ($11.90 × 3,300) + ($24.9 × 1,910)

= $39,270 + $4,7559

= $86,829

Total variable cost

= ($5.75 × 3,300) + ($12.5 × 1,910)

= $18,975 + $23,875

= $42,950

Contribution margin = $43,979

Fixed cost = ($2,120)

Depreciation = ($1,600)

EBIT = $40,259

Tax = ($40,259 × 0.40) = $16,104

Depreciation = $1,600

Net operating cash flow = $22,555

8 0

1 year ago

A company purchased $3,300 worth of merchandise. Transportation costs were an additional $290. The company returned $230 worth o

kap26 [50]

Answer:

The correct answer is option (D).

Explanation:

According to the scenario, the given data are as follows:

Purchase cost = $3,300

Transportation cost = $290

Return value = $230

Discount rate = 3%

So, the total cost of merchandise can be calculated as follows:

First we less the return value from purchase value. Then,

= $3,300 - $230 = $3,070

Now, we less the discount, then

3% of $3,070 = $92.10

Net purchase value = $3070 - $92.10 = $2977.90

Now, we add the transportation cost in purchase value.then,

= $2977.90 + $290

= $3,267.90

Hence, the total cost of this merchandise is $3,267.90

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1 year ago

Delray Manufacturing needs to better budget and analyze costs. While Delray has experienced high sales growth, it has struggled

dusya [7]

Answer and Explanation:

Direct Material budget

April May June

Budgeted Production (Units) 880 1100 1075

Material required per unit (Pounds)4 4 4

Materials needed for production 3520 4400 4300

Add : Desired Ending Inventory 1760 1720 1800

Total Material Requirements (Pounds) 5280 6120 6100

Less : Beginning Inventory 1408 1760 1720

Materials to be purchased (pounds) 3872 4360 4380

Material price per pound $ 3 $ 3 $ 3

Budgeted Cost of direct material purchases $ 11,616 $ 13,080 $ 13,140

Ending Inventory is 40% of next month production needs

Ending inventory for June can be analysed from chart given above which shows 1800, therefore production for July is = 1800/40% = 4500 units

Beginning Inventory is taken as 40% of current months

Direct Material budget

April May June

Budgeted Production (Units) 880 1100 1075

Material required per unit (Pounds) 4 4 4

Materials needed for production 3520 4400 4300

Add : Desired Ending Inventory 1540 1505 1575

Total Material Requirements (Pounds) 5060 5905 5875

Less : Beginning Inventory 1408 1540 1505

Materials to be purchased (pounds) 3652 4365 4370

Material price per pound $ 3 $ 3 $ 3

Budgeted Cost of direct material purchases $ 10,956 $ 13,095 $ 13,110

Budgeted cost for april will therefore down, as less material is required and needed to be purchased.

4 0

1 year ago

Skye listed her assets and liabilities on a personal balance sheet. skye's balance sheet (april 2013) assets liabilities cash $1

padilas [110]

AAAAAAAAAAAAAAAAAA $100,000

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2 years ago

Read 2 more answers

The Food and Drug Administration is targeting salt in processed foods as a health hazard, and some experts believe the agency wi

____ [38]

Answer:

d) objective research

Explanation:

We need to note that mention was made that the research was "Carefully controlled." Been carefully controlled shows that the research has an objective.

Furthermore, measuring the reactions of consumers at different salt levels makes the research factual and thus a decision could be made from the findings.

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2 years ago