A project has multiple work packages, each with defined scope, but funding is provided at the project level. How should the project manager determine whether the allocated resource budget will cover the project's resource costs?

The correct approach is to estimate costs for each work package, sum them to find the project's total cost, and compare that to the allocated budget. This aligns with the bottom-up estimating technique, a reliable method for determining project cost. By breaking down the project into smaller, manageable work packages, the project manager can create more accurate cost estimates, which are then aggregated to provide a comprehensive project cost. Comparing this total to the allocated budget directly answers whether the funding is sufficient. The other options are less effective: Creating a budget burndown and scope burnup is a tracking mechanism, not a method for initial budget determination. Dividing the budget equally among work packages is an arbitrary and unrealistic approach, as work packages rarely have identical costs. Funding by priority and moving scope is a reactive measure for when the budget is insufficient, not a proactive method for determining initial budget coverage.