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Please Assist with Question Explanation

Sajid Amin

Active Member
Hello, can someone please explain this question? How is B the correct answer?

11
A Project Manager who has just been assigned to a new project has been asked by his sponsor to come up with an initial cost estimate called a Rough Order of Magnitude (ROM). This would typically fall in which range?
SELECT THE CORRECT ANSWER

-50% to +100%
-25% to +75%
-10% to +15%
-100% to +50%
Correct Option:B

EXPLANATION

The Rough Order of Magnitude estimate (ROM) is usually done in the initial stages of the project, when limited information is available. The budgeted estimate will be in the range of -10% to +25%, and the definitive estimate will be in the range of -5% to +10%.
 
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