EAC question

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KaurP
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EAC question

Postby KaurP Tue May 29, 2018 1:16 pm

Hi there,

Question: Your current Earned Value numbers look as follows: EV = 200,000, AC = 210,000, BAC = 375,000, SPI = 1.05. How much is the EAC if we assume that the current variances on the project are going to be typical for the rest of the duration?
Correct Answer : 394,210
(CPI = 200,000 / 210,000 = 0.95)
EAC = AC+ ((BAC-EV) / CPI)
EAC = 210,000 + ((375,000 – 200,000) / 0.95 = 394,210

I have checked Saket's video on this. These both the formulas fall under 'typical' category-
'Typical' formula for EAC which is AC+BAC-EV/CPI can also be simplified as BAC/CPI.

If I take BAC/CPI :
375,000/0.95 : 394.736

Shouldn't I get the same answer with both formulas? Can you tell me what did I miss?

Thanks!
manishpn
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Posts: 2471
Joined: Sat Jan 04, 2014 3:55 pm

Re: EAC question

Postby manishpn Wed May 30, 2018 8:50 pm

Using Excel Sheet I get same answers for both
EV 200000.00
AC 210000.00
BAC 375000.00
SPI 1.05
CPI 0.95

ETC 393750.00

BAC - EV/CPI 183750.00
393750.00
Br,
Manish P
PMP, PMI - ACP, SAFe Agilist
http://www.izenbridge.com/blog/7-effect ... ification/

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