Project Selection Method Key Terms - Opportunity and Sunk Cost
Opportunity Cost is:
- The opportunity given up by selecting one project over another.
Sunk Cost is:
- Non-recoverable project spent on the existing or last project. This is not related to bad debt as bad debt is over budget).
Suggested Study Materials
- PMP-Preparation Recommended Books
- PMP Exam Prep, Fifth Edition: Rita's Course in a Book for Passing the PMP Exam
- A Guide to the Project Management Body of Knowledge, Third Edition (PMBOK Guides)
- The PMP Exam: How to Pass On Your First Try (Test Prep series)
1 comment:
Project selection helps a project manager in manageing a projct by helping in taking various decison of Organisation and also gives other option during problems.
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