Cost baseline is an output of which of the following processes? ISEB ISEB-PM1 Exam

Question

Options

• ACost Control
• BCost Budgeting
• CCost Estimating
• DCost Planning

• A
  5% (1)
• B
  74% (14)
• C
  5% (1)
• D
  16% (3)

Explanation

Cost Budgeting produces the cost baseline because it's the process that aggregates estimated costs for individual activities or work packages and establishes the time-phased budget that serves as the reference point for measuring project performance.

Why the distractors are wrong:

• A. Cost Control - This process uses the cost baseline to monitor and manage variances; it doesn't create it.
• C. Cost Estimating - This produces cost estimates (approximations of resource costs), which are inputs into Cost Budgeting, not the baseline itself.
• D. Cost Planning - "Cost Planning" is not a standard PMBOK process name; it's a distractor designed to sound plausible.

Memory tip: Think of it as a pipeline - Estimate → Budget → Baseline. Cost Estimating gives you numbers; Cost Budgeting Bakes them into a Baseline. The three B's lock it in.

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