Earned Value Management Formulas Flashcards
(AC)
Actual Cost- What the project has spent so far.
(BAC)
Budget at Completion- What the project budget is.
(CPI)
Cost Performance Index- shows the overall cost efficiency of a project.
Equation: CPI= EV/AC
If > 1 under budget
If < 1 over budget
(CV)
Cost Variance- the difference between EV and AC.
Equation: EV-AC=CV
(EAC)
Estimate at Completion standard formula-
Forecasts final project costs based on current performance.
Equation: EAC=BAC/CPI
(EV)
Earned Value- What the project is worth.
Equation: Percentage Completed * BAC
(PV)
Planned Value - What the project should be worth.
(SPI)
Schedule Performance Index- shows overall schedule adherence.
Equation: SPI=EV/PV
If > 1 ahead of schedule
If < 1 behind schedule
(SV)
Schedule Variance- the difference between EV and PV.
Equation: EV-PV=SV
\+ = ahead of schedule - = behind schedule
(VAC)
Variance at Completion- projection of being over or under budget based on current performance.
Equation: BAC-EAC=VAC
If + = under budget
If - = over budget
EAC CPI and SPI affect remainder of project
Forecasts final project costs based on current performance.
Equation: AC +[BAC-EV/(CPI*SPI)]
EAC future work at planned cost formula
Forecast final project cost based on current performance.
Equation: AC + BAC - EV
EAC initial cost estimates flawed
Forecasts final project costs based on current performance.
Equation: AC + estimate for remainder of project.
Estimate to Completion
Predict how much more the remainder of the project will cost.
Equation: ETC= EAC-AC
TCPI utilizing BAC
Predicts likelihood of reaching BAC
Equation: (BAC-EV)/(BAC-AC)
If >1 harder to complete and meet BAC
If <1 easier to complete and meet BAC
