Defense Acquisition University BCF 130 BCF130 Fundamentals of Cost Analysis Module 12-13-14 Exam

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BCF130 Fundamentals of Cost Analysis Module 12-14 Exam contains 13 Questions 1) Modeling uncertainty can be achieved by the use of Probability Density Functions (PDFs). PDFs include which of the ... following? [Describe the DoD Risk Management Process and the difference between Opportunity, Risk and Uncertainty.] All of these are correct Lognorm al Triangula r Norma l 2) Sensitivity analyses is always sufficient to quantify the program cost risk. [Recognize the purpose of Sensitivity Analysis.] True Fals e 3) The typical application of a ____________________ distribution is best described by "no peaks because all values, including the highest and lowest possible, values are equally likely. Also referred to as a "no knowledge" distribution with equal probability selection from the continuous interval between the minimum and maximum values." Is described by two parameters: the minimum and the maximum. [Explain how to define common probability distribution types and when the use of each probability distribution type is appropriate.] Unifor m Triangula r Lognorm al BCF130 Fundamentals of Cost Analysis Module 12-14 Exam Norma l 4) The ____________________________ applies uncertainty to individual cost model inputs (e.g. length of an effort, fuel-efficiency) and then either sums up the individual distributions (Symmetric Approximation) or simulates thousands of possible inputs for each uncertain cost element (Monte-Carlo Simulation). [Describe the difference between inputs-based, outputs-based, and scenario-based uncertainty analyses.] Inputs-based Method Outputs-based Method Scenario-based Method None of these are correct 5) In this course we base Symmetric Approximation around a five-step process. In Step 2 of the process we want to choose an appropriate Probability Density Functions (PDF) that explains the uncertainty. When is it appropriate to choose a Normal PDF? [Describe the process of and implement a Symmetric Approximation.] [Remediation Accessed :N] Only used when data is symmetric around the mean. When the PDF only requires high, most likely and low values. When interviewing a SME. When no other information is known except a minimum and a maximum value. 6) Good documentation helps with analyzing changes in program costs and contributes to the collection of cost and technical data that can be used to support future cost estimates. [Recognize the purpose and procedures of the documentation and presentation process.] Fals BCF130 Fundamentals of Cost Analysis Module 12-14 Exam e True 7) Final documentation should contain auditable and traceable data sources for each element and an explanation of how the data was normalized. [Recognize the purpose of cost estimate documentation.] True Fals e 8) After aggregating all of the individual distributions during a symmetric approximation into a total cost distribution, we have plotted the Cumulative Distribution Function (CDF) (see chart). How much funding would be required for a 60% chance of an overrun (40% chance of an underrun)? [Interpret the results from an uncertainty analysis.] 166 $M 220 $M 182 $M 150 $M 9) When preparing for a Defense Acquisition Board (DAB) review, there is a timeline established by the OSD Cost Assessment and Program Evaluation (CAPE). How many days prior to OIPT is required to provide Final signed Component Cost Position (CCP) and Funding Certification memorandum to the OSD CAPE? [Describe the process of validating and presenting an estimate for approval.] 10 days 45 days 28 BCF130 Fundamentals of Cost Analysis Module 12-14 Exam days None of these are correct 10) It is expected to take three years to build the prototype for a new unmanned underwater vehicle. It is estimated that the costs will be $200K in FYX1, $925K in FYX2, and $375K in FYX3. The prototype should be budgeted: [Recognize the rules and laws associated with the execution of DoD appropriations.] [Remediation Accessed :N] Incrementally funded as $200K in FYX1, $925K in FYX2, and $375K in FYX3 As $1.5M fully funded in FYX1 Annually funded as $200K in FYX1, $925K in FYX2, and $375K in FYX3 $200K in FYX1, $925K in FYX2, and $375K in FYX3 under multiyear procurement 11) As part of the budgeting process, a distinction needs to be made between investment and expense items. Expense items such as civilians and contactors working in units, replacement training, consumable supplies, and base operations are funded from the: [Describe how to incorporate a program Life Cycle Cost Estimate into a properly-phased budget plan (aligned by appropriation).] O&M appropriation RDT&E appropriation Procurement appropriation O&S appropriation 12) You estimated that a Naval communications research contract will cost $350.0 K (CY16). You plan to award this 12-month contract in 2019. Using inflation indices from the table, what should your budget request be in TY dollars? [Calculate a Constant Year (CY) to Then Year (TY) conversion using the correct indices and operations.] [Remediation Accessed :N] BCF130 Fundamentals of Cost Analysis Module 12-14 Exam $372.0 K $329.3 K $368.4 K None of these are correct. 13) The life cycle cost estimate need to be compared to the program affordability analysis to ensure it falls within the affordability caps. [Discuss the evaluation of estimates to ensure they are complete, accurate, defensible, and affordable within the planned budget.] True Fals e 1) In this course we base Symmetric Approximation around a five-step process. When calculating the Mean and Variance for the Total System Cost (Step 4), two different equations are used to calculate the variance for the correlated (dependent) and independent items. For the dependent cost elements, we sum all the standard deviations from each probability distribution and then square the result to find the total variance. For the independent cost elements, we sum all the variances from each probability distribution to calculate the total variance. [Describe the process of and implement a Symmetric Approximation.] Fals e True 2) DoD receives many appropriations, most can be grouped into five major categories: Research, Development, Test and Evaluation (RDT&E); Procurement; Operation and Maintenance (O&M); Military Personnel (MILPERS); and Military Construction (MILCON). Of these five, which follow an annual funding policy (select two)? [Recognize the rules and laws associated with BCF130 Fundamentals of Cost Analysis Module 12-14 Exam the execution of DoD appropriations.] Operation and Maintenance (O&M) Military Personnel (MILPERS) Military Construction (MILCON) Procureme nt 3) You estimated that a Naval communications research contract will cost $375.0 K (CY17). You plan to award this 12-month contract in 2020. Using inflation indices from the table, what should your budget request be in TY dollars? [Calculate a Constant Year (CY) to Then Year (TY) conversion using the correct indices and operations.] $399.4 K $352.1 K $ 395.4 K None of these are correct. [Show More]

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