Calculations

Question 1

Planned Value (PV)

Answer 1

The value of the work you plan on completing during a specific period of time in the project schedule. Or it is the authorized budget assigned to scheduled work.
The formula is Planned Percentage Complete * Budget at Completion(BAC)

Question 2

Earned Value (EV)

Answer 2

The value of work that’s actually been performed or completed. Or it’s a measure of work performed expressed in terms of the budget authorized for work.
The formula is the Actual Percentage Complete * Budget at Completion(BAC)

Question 3

Actual Cost (AC)

Answer 3

The actual money spent on the project at a given point in time. Or it is the realized cost incurred for the work performed on an activity during a specific time period.

Question 4

Budget at Completion (BAC)

Answer 4

The total budget for the project or the sum of all budgets established for the work to be performed.

Question 5

Schedule Variance (SV)

Answer 5

The difference between the work you planned to do and what you actually did at a specific point in time. The formula is Earned Value (EV) - Planned Value (PV)

Question 6

Cost Variance (CV)

Answer 6

The difference between the costs you planned to spend and what you actually spent at a specific point in time. The formula is Earned Value (EV) - Actual Cost (AC)

Question 7

Schedule Performance Index (SPI)

Answer 7

Measures the efficiency of the work put into a project at a specific point in time. The formula is the ration of Earned Value (EV) / Planned Value (PV) A number less than 1 is a sign the project is behind schedule.

Question 8

Cost Performance Index (CPI)

Answer 8

Measures the efficiency of the money spent on a project at a specific point in time. The formula is the ratio of Earned Value(EV) / Actual Cost (AC) A number less than 1 is a sign the project is over cost.

Question 9

Estimate at Completion (EAC)

Answer 9

Based on project performance, the cost at the end of the project may be more or less than what was budgeted (BAC). The formula is the Budget at Completion / Cost Performance Index (CPI)

Question 10

Estimate to Completion (ETC)

Answer 10

Takes into consideration what you’ve spent to date then evaluates team performance, and then provides a cost of how much the remaining work will cost to complete. the formula is the Estimate at Completion (EAC) - Actual Costs (AC)

Question 11

Variance at Completion (VAC)

Answer 11

Calculates the difference between the Budget at Completion (BAC) and the Estimate at Completion (EAC) The formula is the Budget at Completion - Estimate at Completion (EAC)

Question 12

To-Complete Performance Index (TCPI)

Answer 12

Measure of the cost performance that is required to be achieved with the remaining resources in order to meet a specific management goal. The formula is the (Budget at Completion (BAC) - Earned Value (EV)) / (Budget at Completion (BAC) - Actual Costs (AC). Numbers above 1 are bad.

Question 13

Number of Communication Channels for a Project

Answer 13

There is a simple formula for figuring out the number of communication channels: n(n-1)/2, where n is the
number of stakeholders.
For example, a project with 5 stakeholders would look like this: 5(5-1)/2=5(4)/2= 20/2=10 communication
channels.
Understanding how many communication channels there are helps the project manager determine how
many stakeholders to communicate with, how to communicate with them, how much detail to use, how
often to communicate, and who will send the communication.

Question 14

Beta Distribution

Answer 14

Uses PERT with but weighs the realistic estimate more heavily. P+(4)R+ O / 6

Question 15

Project Budget

Answer 15

Management Reserve + Cost Baseline

Question 16

Cost Baseline

Answer 16

Sum of all Control Accounts

Question 17

Control Accounts

Answer 17

Contingency Reserve + Work Package Cost Estimates

Question 18

Work Package Cost Estimates

Answer 18

Activity Contingency Reserve + Activity Cost Estimates

Question 19

Burn Rate

Answer 19

The rate at which the project budget is being spent. The formula is 1/CPI

Question 20

Order of Magnitude Estimate

Answer 20

-25% to +75%

Question 21

Preliminary Estimate

Answer 21

-15% to +50%

Question 22

Budget Estimate

Answer 22

-10% to +25%

Question 23

Definitive Estimate

Answer 23

-5% to +10%

Question 24

Mean

Answer 24

Average of the numbers when summed up and divided by the number of values.

Question 25

Median

Answer 25

Middle value of a sorted array of numbers.

Question 26

Mode

Answer 26

The number that is repeated the most.