Why do you believe organizations have problems in controlling costs and what do you think are possible solutions?

Explain briefly the following with simple examples;

Tangible costs and Intangible costs
Fixed costs, direct costs and indirect costs
Sunk costs and prospective costs
Running costs
Cost baseline
Cost variances
Management reserve and contingency reserve

Question 2

Identify two sources of internal and external project funding and assess their advantages and disadvantages.

Question 3

With reference to PMBOK, briefly state what is involved in project cost control?

Why do you believe organizations have problems in controlling costs and what do you think are possible solutions?