Question

The budget estimates made during the concept phase are usually accurate to within

A.40 percent.
B.20 percent.
C.30 percent.
D.50 percent.

Answer 1

Budget estimates during the concept phase have an accuracy within 50 percent due to early stage uncertainties in project planning.

Step-by-step explanation:

The budget estimates made during the concept phase of a project are typically less accurate due to the early stage of project development. The standard range of accuracy for conceptual estimates is within 30 to 50 percent. Therefore, the answer to the question would be within 50 percent, reflecting the inherent uncertainties and assumptions made at this phase of project planning.

This means that when estimating the budget for a project in the concept phase, the actual budget is typically within 20 percent of the estimated budget. For example, if the estimated budget is $100,000, the actual budget could range from $80,000 to $120,000.