You are the project manager of the QAQ Project. The QAQ Project has a BAC of $2,786,121. You
are currently 20 percent complete with this project, though you should be 25 percent complete with
the project work. The project has consumed $595,000 of the project budget to date. Management
has asked you, based on the current project performance, what the project’s estimate to complete
will be considering the current project schedule variance. What is the ETC for this project?

A.
$2,975,000

B.
1.02

C.
$139,306

D.
$2,380,000

Explanation:
The estimate to complete wants to know how much more money the project will need to complete
its objectives. The estimate to complete (ETC) is the expected cost needed to complete all the
remaining work for a scheduled activity, a group of activities, or the project. ETC helps project
managers predict what the final cost of the project will be upon completion. The formula for the
ETC is EAC- AC. The EAC is BAC/CPI.
Answer option A is incorrect. This is the estimate at completion based on the current project
performance.
Answer option C is incorrect. This is the current schedule variance.
Answer option B is incorrect. 1.02 is the to-complete performance index based on the BAC.