## Question on Earned Value

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Piyali
Staff
Posts: 88
Joined: Wed Jul 09, 2014 7:41 am

### Question on Earned Value

"You are managing a project with budget at completion (BAC) \$ 80,000. The actual cost to date you have seen is \$ 25,000 and earned value is \$ 17,000. You calculate estimate to complete (ETC) to \$ 75,000 by doing bottom-up sum of all costs. After so many calculations, what is the estimate at completion (EAC) for the project?"

A \$ 57,000

B \$ 100,000

C \$ 60,000

D \$ 53,000

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

### Re: Question on Earned Value

hi ,

As the ETC is calculated based on bottom up summation , so we need to apply the following formula for EAC:
EAC = AC + ETC Bottom up
= \$ 25 , 000 + \$ 75 , 000
= \$ 100 , 000
So , Option # B , i.e., \$ 100 , 000
Regards ,

Ranjit
taterarpit
Contributor
Posts: 111
Joined: Sat Jul 26, 2014 6:42 pm

### Re: Question on Earned Value

yes...as mentioned by Ranjith...answer is B...
Parul
Expert
Posts: 21
Joined: Thu Aug 14, 2014 5:08 am

### Re: Question on Earned Value

Thanks for the replies.

Estimate at Completion , i.e. EAC = AC + bottom-up ETC,

EAC = \$ 25,000 + \$ 75,000 = \$ 100,000.

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