Answer option B is correct.Project Cost Management consists of the processes involved in planning, estimating, budgeting, and controlling costs in order to complete the project within the approved budget. It is a set of processes required to ensure that the project is completed within the approved budget: Project Cost Management is an important part of project planning is estimating the amount of time and cost associated with a project and using this process to create baselines for time and cost. The cost estimate includes costs for facilities, labor, and material. The time estimate encompasses the total hours of work needed to complete the project.In the image below, the estimate has been expanded to highlight the components of time and cost. This section shows the relationship between these components.
The planning process with the time and cost estimateProject costs typically fall into the following categories: Labor, Equipment and material, and Facilities. These costs are typically
charged directly to a project (direct costs) while others are overhead (indirect costs).Direct labor costs include the costs for personnel actively involved in the project, and direct equipment and material costs are costs that are directly associated with the project. For example, computer and networking components are direct equipment and material costs. Indirect overhead costs include items used in support of the project, such as the cost of support and administrative personnel, and the cost of incidentals, such as office supplies, rent and electricity. Answer option A is incorrect. The Plan Quality process is for identifying quality requirements and standards for the project and product. This process also documents how the project will demonstrate compliance.InputsFollowing are the seven inputs of the Plan Quality process:
OutputsThe Plan Quality process has the following five outputs:
Reference: "Project Management Body of Knowledge (PMBOK Guide), Fourth edition"
Chapter: Time and Cost Management
Objective: Cost vs. Quality

You work as a project manager for HRM Inc. Which of the following processes will you use to build up an estimate of the monetary resources required to complete project activities?

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