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Cost estimating relationships (CERs) are sometimes used to estimate the cost of a project by comparing it to similar past projects. Six different CERs were

Cost estimating relationships (CERs) are sometimes used to estimate the cost of a project by comparing it to similar past projects. Six different CERs were applied to six different engineering projects to project their costs. After the projects were completed, their true cost was compared to the projected cost. The table below shows the percent error between the projected and actual costs.

Project

CER

1

2

3

4

5

6

1

1244

21

82

2221

905

839

2

281

129

396

1306

336

910

3

220

84

458

543

300

794

4

225

83

425

552

291

826

5

19

11

-34

121

15

103

6

-20

35

-53

170

104

199

a) Do the CERs differ in their ability to accurately estimate cost?

b) Which, if any, CERs differ from the others?

c) Which CER would you recommend for your next project?

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