Overview
In this assignment, you'll answer some questions about what the Earned Value Technique has to say about two hypothetical projects.
Instructions
In a separate MS Word document, provide the answers to the questions asked in each of the problems below. Make sure you show all your work.
Problem 1: Show All Work
You have a project that is scheduled to be completed in 20 days at a budgeted cost of $200,000. At the end of day 12 you do an analysis where you determine the job is 70% complete and you have spent $130,000.
(Assume that the project spending was planned to proceed at the same rate each day. In other words, you expected to get $10,000 worth of work done each day, and spend $10,000 to do it).
Questions
What is the Planned Value (PV) at this time?
What is the Earned Value (EV) at this time?
What is the Actual Cost (AC) at this time?
What is the project’s Budget at Completion (BAC)?
Is the project ahead of, behind, or right on schedule?
Is the project expected to complete on budget, over budget, or under budget?
What the Schedule Performance Index (SPI)?
What is the Cost Performance Index (CPI)?
What is the Estimate at Completion (EAC)? Assume that the project continues along at the same rate of spending.
What is the Estimate to Completion (ETC)?
What is the Variance at Completion (VAC)?