* Understanding the Project Life Cycle:
* The project life cycle consists of initiation, planning, execution, and closure.
* Early stages involve planning and defining scope, while later stages focus on execution and completion.
* Why Change Costs Increase Over Time:
* In early stages, changes are relatively inexpensive as they mainly involve planning adjustments.
* As the project progresses, modifications require rework, additional resources, and schedule delays, increasing costs.
* Near project completion, changes can be very costly, requiring significant time and effort to correct.
* Why Other Options Are Incorrect:
* A. Risk and uncertainty increase over time - Incorrect; risk and uncertainty decrease as the project moves forward and becomes more defined.
* B. Costs and staffing levels are high at project close - Incorrect; they are usually highest during execution, not closure.
* D. Project life cycle = product life cycle - Incorrect; they are separate concepts. A product may exist long after the project ends.
* IIA GTAG 12 - Auditing IT Projects: Discusses project life cycle and cost implications.
* IIA Practice Guide on Project Risk Management: Highlights cost escalation risks in later project phases.
* PMBOK (Project Management Body of Knowledge) Framework: Defines cost increase trends in project management.
Relevant IIA References:# Final Answer: Costs related to making changes increase as the project approaches completion (Option C).