EAC (estimate at complete) is typically based on actual cost (AC) for work completed plus an ETC (estimate to complete) the remaining work. Which of the following is a valid formula for calculating EAC?
A.
EAC = AC + [(BAC-EV) / (Cumulative CPI * Cumulative SPI)]
B.
EAC = BAC – AC
C.
EAC = 1 – CPI
D.
EAC = EV + [1 – (Cumulative CPI * Cumulative SPI) / BAC]
Answer is wrong.
The answer is EAC = AC + (BAC – EV)
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Sorry.The answe is correct. Definition is:
EAc forecast for Etc work performed at the budgeted rate. This EAC method accepts the actual
project performance to date (whether favorable or unfavorable) as represented by the actual costs, and
predicts that all future ETC work will be accomplished at the budgeted rate. When actual performance
is unfavorable, the assumption that future performance will improve should be accepted only when
supported by project risk analysis. Equation: EAC = AC + (BAC – EV)
• EAc forecast for Etc work performed at the present cPI. This method assumes what the project has
experienced to date can be expected to continue in the future. The ETC work is assumed to be performed
at the same cumulative cost performance index (CPI) as that incurred by the project to date. Equation:
EAC = BAC / CPI
• EAc forecast for Etc work considering both SPI and cPI factors. In this forecast, the ETC work will
be performed at an efficiency rate that considers both the cost and schedule performance indices. This
method is most useful when the project schedule is a factor impacting the ETC effort. Variations of this
method weight the CPI and SPI at different values (e.g., 80/20, 50/50, or some other ratio) according to
the project manager’s judgment. Equation: EAC = AC + [(BAC – EV) / (CPI × SPI)]
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