Program Management Professional (PgMP) — Question 228

You are trying to determine if you should buy or build a solution for your program. If you build the solution it'll cost you $45,000 to create and $7,000 per month to support. A vendor reports that they can create the solution for you for $1,000 but you'll have to pay them $9,000 per month to support the solution. Should you buy or build this solution?

Answer options

• A. Build the solution if you'll use it longer than 22 months.
• B. Buy the solution if you'll use it longer than 24 months.
• C. Buy the solution if you'll use it longer than 22 months.
• D. Build the solution if you'll use it longer than 25 months.

Correct answer: A

Explanation

The correct answer is A because when comparing costs, building the solution becomes more economical if used beyond 22 months. For option B, buying would not be cost-effective beyond that period, and C and D provide incorrect thresholds for the cost comparisons.