## Calculate VAC

Discuss PMP doubts, tips and lesson learned. iZenBridge makes PMP® Certification easy
Sud
Contributor
Posts: 129
Joined: Sun Jun 29, 2014 4:06 am

### Calculate VAC

BAC=500, PV=325, AC=275, CPI=0.9, EV=250
You are using actual cost to date and assuming ETC using budgeted rate. VAC tell you which of the following-
25
-52
52
25

?
signor_rk
Contributor
Posts: 182
Joined: Wed Jun 18, 2014 3:47 pm

### Re: Calculate VAC

Here , EAC = AC + BAC - EV
= 275 + 500 - 250
= 525
So , VAC = BAC - EAC
= 500 -525
= - 25
Option # A , i.e, -25
Regards ,

Ranjit
namita
Super Member
Posts: 502
Joined: Wed Dec 11, 2013 10:25 am

### Re: Calculate VAC

Sud, what is the source of this question

I suppose here the second line is defining a bit on using BAC-EV as ETC...So explanation given below should be fine
spepe
Posts: 4
Joined: Thu Feb 27, 2014 6:35 pm

### Re: Calculate VAC

i do not understand, how the second phrase is leading to current variances that are thought to be atypical of the future.
If you can please detail ...
namita
Super Member
Posts: 502
Joined: Wed Dec 11, 2013 10:25 am

### Re: Calculate VAC

Here, rather than giving scenario, its openly mentioned to use Budgeted rate for ETC

You are using actual cost to date and assuming ETC using budgeted rate
spepe
Posts: 4
Joined: Thu Feb 27, 2014 6:35 pm

### Re: Calculate VAC

For me it is not very clear what " Budgeted rate" means .... i'am not familiar with this terminology.
To my mind it was " a rate that was budgeted from the begging,that has no variances from start to end.