The order of magnitude cost estimate is used when:
A)Ballpark estimates are not considered accurate enough.
B)Historical data are readily available.
C)Information or time is scarce.
D)Parametric estimation has already been performed.

Question

Quizplus · Accepted Answer

The order of magnitude cost estimate is used when information or time is scarce. It is a rough estimate that provides a general idea of the potential cost of a project or product. The estimates are typically given in a range, and the actual cost will likely fall somewhere within that range. This type of estimation is often used early in the project planning process when a more accurate estimate is not yet possible due to the limited information available.

The Order of Magnitude Cost Estimate Is Used When