PK0-005 Project Life Cycle Practice Question
A project manager is estimating costs for a new project using a top-down approach based on historical data from a similar project. Which estimation technique is being used?
⚠ Common exam trap
PK0-005 often tests the confusion between analogous (historical analogy) and parametric (unit-rate model) estimation, so candidates must identify whether the basis is a similar project or a statistical relationship.
Answer choices
Why each option matters
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
Analogous estimation
Analogous estimation uses historical data from a similar past project to estimate the current project's cost or duration, typically at a high level (top-down). Because the question specifies a top-down approach based on historical data from a similar project, analogous estimation is the exact match. It is fast and useful early when detailed information is scarce, though less precise than bottom-up methods.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
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Three-point estimation
Why it's wrong here
Three-point estimation averages optimistic, pessimistic and most likely values to model uncertainty; it does not rely on historical analogues. The stem describes analogous estimating, which uses actual costs from a comparable past project as the basis for the new estimate, typically at a top-down level of detail.
- ✓
Analogous estimation
Why this is correct
Analogous estimation uses historical cost data from a comparable past project to derive the new estimate, which directly matches the top-down approach described. It satisfies the stem's constraint of relying on a similar project's actuals rather than decomposing deliverables, making it fast and inexpensive, though less precise than bottom-up methods.
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Bottom-up estimation
Why it's wrong here
Bottom-up estimation aggregates individual work-package costs upward, so it cannot use historical data from a similar project at summary level. It is tempting because it delivers the greatest accuracy when detailed task-level estimates exist, making it the right choice once a WBS has been decomposed.
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Parametric estimation
Why it's wrong here
Parametric estimation multiplies a unit rate by a quantity, such as cost per square metre, using a statistical relationship. The stem describes analogous estimating, which scales actual costs from a similar completed project; parametric would apply if a measurable driver and rate were used instead.
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Last reviewed September 2026 · checked against the official CompTIA exam blueprint
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