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AACE International AACE-PSP Exam - Topic 2 Question 37 Discussion

Actual exam question for AACE International's AACE-PSP exam
Question #: 37
Topic #: 2
[All AACE-PSP Questions]

For activity 11001. why would the crashed direct cost be greater than the direct cost of the normal schedule?

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Suggested Answer: C

by Ricarda at Jul 04, 2025, 10:57 AM

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Luisa
4 months ago
I disagree with D, bonuses shouldn't affect direct costs like that.
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Dana
4 months ago
A is a good point, extended overhead can really spike costs.
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Brice
5 months ago
C makes sense too, more equipment means higher costs.
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Valda
5 months ago
Wait, are we really including management bonuses? That seems odd.
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Zona
5 months ago
I think it's definitely B. Those forgotten costs can add up.
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Izetta
5 months ago
Management bonuses for early completion sounds familiar, but I can't recall if that would actually be included in the direct costs like option D suggests.
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Kimbery
5 months ago
I feel like we talked about how using more equipment in a crashed project increases costs, so option C might be the right choice.
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Markus
6 months ago
I’m not entirely sure, but I think option B could be a factor if we overlooked some costs in earlier phases.
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Lorrie
6 months ago
I remember discussing how additional overhead can really add up in a crashed schedule, so option A seems plausible.
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King
6 months ago
I'm pretty confident I know the answer to this one. The crashed direct cost would be greater due to the additional overhead and management costs associated with the accelerated schedule.
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Vincent
6 months ago
Okay, I think I've got a strategy here. The key is to consider the additional costs that come with crashing a project, like overtime, extra equipment, and demobilization. I'll analyze each option carefully.
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Shenika
6 months ago
Hmm, I'm a bit confused by this question. I'll need to review the concepts around crashed schedules and direct costs to figure out the right approach.
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Ryann
6 months ago
This seems like a tricky one. I'll need to think through the different factors that could lead to higher direct costs for a crashed schedule.
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Shantay
8 months ago
I think management bonuses for early completion could also be a factor in the higher cost.
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Tess
8 months ago
I believe more equipment being used for a crashed project also contributes to the higher cost.
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Allene
9 months ago
I agree with Yolando, the additional extended overhead is a valid reason.
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Yolando
9 months ago
I think the crashed direct cost is greater because of additional extended overhead.
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Lorita
9 months ago
Option A seems like the way to go. Additional extended overhead is a logical explanation for the increased direct cost. Although, option D did make me chuckle.
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Cyril
8 months ago
User 2: Yeah, option D does seem a bit funny. I think option A is the most logical choice here.
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Magdalene
9 months ago
User 1: I agree, option A makes the most sense. Additional extended overhead would definitely contribute to the increased direct cost.
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Nathalie
9 months ago
Option D is hilarious! Management bonuses for early completion? That's a good one. But I'm going with option C - more equipment means more expenses.
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Carlee
9 months ago
I think option B is the correct answer. If some costs were forgotten in previous activities, they would show up in the crashed direct cost.
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Paola
9 months ago
Option C makes the most sense to me. More equipment means higher demobilization costs, which would increase the direct cost of the crashed schedule.
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Winfred
8 months ago
Additional extended overhead being shown in this activity could also explain the greater crashed direct cost.
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Sage
9 months ago
I think management bonuses for early completion could also contribute to the higher direct cost.
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Ligia
9 months ago
I agree, more equipment definitely leads to higher demobilization costs.
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