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EVM Question - PV is not given....

Posted: Mon Aug 24, 2015 4:54 pm
by bhuvanpanwar1983
You have completed 3 months in to the project, 40% work is completed and actual cost is 350K, BAC of the project is 950K - please advise what does that tell the project manager....

is the schedule behind and over budget
is it over scheduled and over budget
it is under scheduled and under budget
or its on schedule and on budget

Re: EVM Question - PV is not given....

Posted: Mon Aug 24, 2015 5:41 pm
by coolpmp69
What is the total project duration?

Based on the given info
EV= 0.40 *950,000 = 380,000
CPI= EV/AC= 350,000/380,000 = 0.92 <1
SPI= EV/PV= 350,000/950, 000=0.40 <1 ("The total planned value for the project is also known as budget at completion (BAC) "- PMBOK page 218)

So the answer "is the schedule behind and over budget"

Re: EVM Question - PV is not given....

Posted: Mon Aug 24, 2015 5:42 pm
by celina
Try with the formula - BAC\CPI

Re: EVM Question - PV is not given....

Posted: Mon Aug 24, 2015 5:46 pm
by coolpmp69
@Celina- BAC\CPI would give you EAC. I am not sure how this is going to help ..

Re: EVM Question - PV is not given....

Posted: Mon Aug 24, 2015 6:23 pm
by celina
think I should go back to my basics - really forgetting the basics :-|

Re: EVM Question - PV is not given....

Posted: Tue Aug 25, 2015 4:33 pm
by AM1969
Hello! coolpmp
I think by mistake you reversed the value of EV/AC
CPI= EV/AC= 380K/350K.....>1...Project is under budget.

Now the planning value cannot be 950 k as the project is 3 months old ....total duration not given.

There is only one option that says project is " under budget" so that should be the answer...
Option C---project is under schedule and under budget

Re: EVM Question - PV is not given....

Posted: Tue Aug 25, 2015 4:34 pm
by bhuvanpanwar1983
okay , so I can assume BAC as PV if not given in the question, like i stated before, PV is approved or allocated to task or milestones and if u sum all of these it becomes BAC.
Thanks Cool bro..
whats your name?

Re: EVM Question - PV is not given....

Posted: Tue Aug 25, 2015 4:35 pm
by bhuvanpanwar1983
Total Duration of this project is 9 months...sorry i missed on the first place

Re: EVM Question - PV is not given....

Posted: Tue Aug 25, 2015 4:41 pm
by bhuvanpanwar1983
The project in this case is under budget and over schedule....

PV = 950000/9 *3 = 316,666
CPI = 380000 (EV)/350000 (AC) = 1.09
SPI = 380000 (EV) /316666 (PV) = 1.2

Re: EVM Question - PV is not given....

Posted: Tue Aug 25, 2015 4:44 pm
by AM1969
we just got the new input that total duration of project is 9 months..
so SPI= EV/PV= 380k/316.6 k....>1

So CPI and SPI >1

The options posted do not have the correct answer.
The answer should be " project is under budget and ahead of schedule"

Re: EVM Question - PV is not given....

Posted: Tue Aug 25, 2015 5:33 pm
by coolpmp69
@ AM1969 : Thanks for catching that !!

After knowing the total project duration, I agree the answer should be " project is under budget and ahead of schedule"

Re: EVM Question - PV is not given....

Posted: Wed Aug 26, 2015 6:06 pm
by bhuvanpanwar1983
sorry guys - yea its ahead of schedule...