PMP Practice Question 888 - Business Environment
A project manager and a stakeholder have different opinions on the budget estimates for a project that is being initiated based on a new consumer privacy law. What would be a reason for this difference in opinion?
- ✓ Correct A.The use of the Monte Carlo method can result in different estimations.
- B.Relative estimation by the team resulted in two estimates.
- C.Organizational assets were not available to back the rationale.
- D.The communications management plan was not used by all stakeholders.
Correct answer: A
Explanation
When the project manager and a stakeholder disagree on budget estimates for a project based on a new privacy law, the reason may be that the Monte Carlo method can result in different estimations. Different inputs, assumptions, or scenarios produce varying results. Relative estimation producing two estimates (B) is team-level, not PM-vs-stakeholder. Unavailable organizational assets (C) is a process gap, not an estimation method. The communications plan not being used (D) relates to information sharing, not budget methodology.
Practice the full 2,250-question bank
This page is a free public sample. Sign up to save your progress, build a wrong-answer notebook, and track accuracy by domain - free for 7 days.
Start free