CLM 016
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School
Army Force Management School *
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Course
003
Subject
Industrial Engineering
Date
Dec 6, 2023
Type
pptx
Pages
5
Uploaded by DeanButterfly5691
Test
-
CLM
016
Cost
Estimating
Exam
Given
a
scenario
with
an
overhead
rate,
calculate
the
total
overhead
costs
for
a
project
or
portion
of
a
project.
Question
1
of
17.
The
Ft
Meyer
facilities
maintenance
contract
has
an
estimated
19,500
hours
of
direct
engineering
labor
to
complete
the
work.
The
rate
for
engineering
is
$115
per
hour.
The
overhead
rate
for
engineering
is
125%.
Which
formula(s)
should
be
used
to
determine
the
total
engineering
cost?
(Select
all
that
apply.)
Total
Direct
Labor
Cost
+
Overhead
Cost
=
Total
Engineering
Cost
Total
Direct
Labor
Cost
x
Overhead
Rate
=
Engineering
Overhead
Rate
.
Total
Direct
Labor
Cost/Overhead
Rate
x
Labor
Rate
=
Total
Engineering
Cost
b
Labor
Hours
x
Labor
Rate
=
Total
Direct
Engineering
Labor
Cost
.
Mark
for
follow
up
Question
2
of
17.
Identify
expenses
that
would
be
categorized
as
Other
Direct
Costs.
(Select
all
that
apply.)
0
Packaging
and
packing
U
Manufacturing
supplies
Posters
and
banners
'
Design
engineering
)
Mark
for
follow
up
Question
3
of
17.
Which
of
the
following
factors
affect
direct
material
costs?
(Select
all
that
apply.)
.
Efficiency
©
Utilization
Rate
O
Escalation
.
Spoilage
")
Mark
for
follow
up
Question
4
of
17.
A
weighted
index takes
into
account
the
historical
outlay
patterns
of
the
appropriations
and
inflation
rates
associated
with
the
fiscal
years
(FYs)
when
cash
flows
out
of
the
U.S.
Treasury
(outlay).
True
False
Question
5
of
17.
Then-year
(TY)
dollars
is
a
method
of
relating
dollars
across
the
years
of
a
program'’s
life
cycle
by
removing
the
effects
of
inflation
and
showing
all
dollars
at
the
value
they
would
have
been
in
a
selected
fiscal
year
(FY),
hereas
base
year
(BY)
dollars
are
the
dollar
figures
in
the
budget
actually
associated
with
the
stated
date
(past,
present,
or
projected).
6e
False
Question
6
of
17.
The
All
Aerospace
Company
has
been
asked
to
provide
a
Rough
Order
of
Magnitude
(ROM)
cost
estimate
for
a
new
training
aircraft,
so
they
use
the
Expert
Opinion
method
to
derive
the
ROM.
Two
years
later,
the
customer
releases
a
Request
for
Proposal
(RFP)
for
a
new
training
aircraft.
The
All
Aerospace
Company
decides
to
bid
on
the
effort
they
have
30
days
to
respond
to
the
RFP.
Which
cost
estimating
technique
should
they
used?
./
Expert
Opinion
.
Comparison
Detailed
.
Parametric
¥
Mark
for
follow
up
Question
7
of
17.
che
escalation
is
factored
into
cost
estimates,
the
resulting
then-year
(TY)
dollars
are
used
as
inputs
for
which
of
the
following?
(Select
all
that
apply.)
U
Budget
Estimate
Submission
(BES)
-
Independent
Government
Cost
Estimate
(IGCE)
‘
Program
Objectives
Memorandum
(POM)
.
The
President?s
Budget
(PB)
¥
Mark
for
follow
up
Question
8
of
17.
Which
of
the
following
are
Life
Cycle
Cost
(LCC)
Components?
(Select
all
that
apply.)
‘
Program
Acquisition
Cost
Operations
and
Support
(O&S)
Cost
Weapon/System
Cost
Procurement
Cost
¥
Mark
for
follow
up
Question
9
of
17.
At
near
year-end,
a
program
manager
(PM)
is
given
an
additional
$5M
in
funding
to
add
a
feature
to
an
existing
program;
he
will
need
to
make
a
quick
decision
as
to
which
feature
to
add.
In
this
case,
it
would
be
useful
for
the
PM
to
ask
his
contractor
for
a
Rough
Order
of
Magnitude
(ROM)
estimate.
ae
False
Question
10
of
17.
The
XYZ
Group
has
submitted
their
estimates
for
the
Smoke
Bomb
Hill
restoration
project.
They
estimate
total
direct
and
overhead
costs
at
$288,000.
The
contractor
General
and
Administrative
(G&A)
rate
is
12%.
What
is
the
Total
G&A
Cost?
$322,561
.
$3,456
$291,456
.
$34,560
¥
Mark
for
follow
up
Question
11
of
17.
Which
of
the
following
statements
accurately
describe
the
raw
index,
which
is
used
with
escalation
to
calculate
cost
estimates?
(Select
all
that
apply.)
©
The
raw
index
is
used
to
convert
an
estimate
done
in
constant
dollars
from
one
BY
to
another
BY.
@
The
raw
index
relates
the
price
level
for
each
fiscal
year
(FY)
to
a
base
year
(BY).
QO
The
raw
index
allows
the
comparison
of
costs
over
several
years
so
that
cost
growths
and
other
impacts
(e.g.,
learning
curves)
can
be
observed.
)
The
raw
index
will
always
show
.5
or
50%
for
the BY.
.
Mark
for
follow
up
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Question
12
of
17.
How
is
the
Expert
Opinion
cost
estimating
method
used?
.
By
reflecting
a
detailed
build-up
of
labor,
material,
and
overhead
costs
.
By
extrapolating
a
trend
from
the
current
contract
in
order
to
estimate
the
final
system
cost
O
By
gathering
and
synthesizing
the
opinions
of
specialists
in
the
field
.
By
comparing
a
new
or
proposed
system
with
a
similar
system
acquired
in
the
recent
past,
and
for
which
there
is
accurate
cost
and
technical
data
¥
Mark
for
follow
up
Question
13
of
17.
Earned
Value
Management
(EVM)
combines
both
government
management
requirements
and
industry
best
practices
in
order
to
integrate
which
program
elements?
(Select
all
that
apply.)
.
Program
schedule
U
Program
roles
and
responsibilities
'
Program
work
scope
Program
cost
)
Mark
for
follow
up
Question
14
of
17.
Which
factor
of
direct
manufacturing
labor
costs
is
applied
to
recurring
costs?
@)
Learning
Curve
Factor
.
Realization
Factor
-
Repetitive
Costs
Factor
'
Efficiency
Factor
-
Mark
for
follow
up
Question
15
of
17.
Which
of
the
following
statements
regarding
the
linkage
between
cost
estimates
and
the
Work
Breakdown
Structure
(WBS)
is
true?
(Select
all
that
apply.)
.
The
WBS
is
a
key
project
deliverable
that
allows
the
program
manager
(PM)
to
organize
the
team's
work
into
manageable
sections.
)
The
WBS
identifies
the
bounds
of
how
much
program
costs
can
expect
to
vary.
The
WBS
provides
the
necessary
framework
for
detailed
cost
estimating
and
control.
"
The
WBS
assists
with
accurate
cost
estimating:
costs
are
estimated
for
each
WBS
element
and
then
multiplied
for
the
total
estimate.
-
Mark
for
follow
up
Question
16
of
17.
Based
on
the
Learning
Curve
Theory,
in
which
of
the
following
conditions
can
you
expect
a
decline
of
unit
cost
with
increased
production
quantities?
(Select
all
that
apply.)
Low
manufacturing
personnel
turnover
Consistent
production
design
Management
emphasis
on
productivity
improvement
Uninterrupted
serial
production
!
Mark
for
follow
up
Xjestion
17
of
17.
What
costs
include
the
retrofitting
and
refurbishing
of
development
hardware
for
requalification?
.
Other
Direct
Cost
'
Nonrecurring
Costs
o)
Recurring
Costs
'
Direct
Materials
Costs
-~
Mark
for
follow
up