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Liability limitation often focuses on which of the following types of loss, which is said to be the most unpredictable and most significant in the case of a default on a contract?
See the explanation below.
Consequential loss is considered the most unpredictable and significant, hence it is often the focus of liability limitations.
Topic 2, Drag Drop Questions
Sarah is a Project Manager running a project to create a new type of shoe that is sensitive due to intellectual property issues. She is undergoing Programme Level Control. What is the purpose of Programme Level Control?
See the explanation below.
Programme Level Control is used to ensure that adequate resources are allocated to complete the project on time.
Cactus Construction is the Principal Contractor on a housing estate project under an NEC contract. Which of the following scenarios would be a mandatory variation?
See the explanation below.
Changes to building regulations are mandatory because they are legally binding and require compliance.
Danger Incorporated is estimating the costs for a new project called the Ninja Project using an algorithm based on the project's scope, duration, and complexity. What type of cost estimate is being used?
See the explanation below.
Using an algorithm based on key parameters is characteristic of a parametric cost estimate.
Juno is completing a Variance Analysis on the sales department's spend for the first quarter. He concludes that there is a Favourable Variance. What does this mean?
See the explanation below.
A favourable variance means that the actual performance was better than expected.
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