PMI-ACP formulas

Question 1

PV formula in earned value management

Answer 1

No Formula. It is sometimes expressed as a %age of BAC.

Question 2

EV formula in earned value management

Answer 2

No Formula. It is sometimes expressed as a %age of BAC or PV

Question 3

AC formula in earned value management

Answer 3

No Formula.

Question 4

SV formula in earned value management

Answer 4

SV = EV – PV

Question 5

CV formula in earned value management

Answer 5

CV = EV – AC

Question 6

SPI formula in earned value management

Answer 6

SPI = EV / PV

Question 7

CPI formula in earned value management

Answer 7

CPI = EV / AC

Question 8

Present value or discounted cash flow equation formula in project selection methods

Answer 8

PV = FV * DF || PV = FV / (1+r)^n (future value * discount factor)(n is years, r is discount rate)(note that discount factor is the reverse of compounding interest to account for inflation over time)

Question 9

NPV formula in project selection methods

Answer 9

ΣPV (higher is better all other things being equal)

Question 10

ROI formula in project selection methods

Answer 10

Return / Formula investment (higher is better)

Question 11

BCR formula in project selection methods

Answer 11

Benefits / Costs (higher is better)

Question 12

CBR formula in project selection methods

Answer 12

Costs / Benefits (lower is better)

Question 13

IRR formula in project selection methods

Answer 13

No formula, it’s estimated. (Higher is better)

Question 14

PP formula in project selection methods

Answer 14

Price Point. (Market price, sale price, contract price) Lesser the better.

Question 15

Opp Cost formula in project selection methods

Answer 15

No formula, it’s estimated. (Higher is better)

Question 16

A project will be carried out using one-week sprints. The steering committeewants an estimate of how long the project will take. The project backlog hasbeen estimated at 500 story points. The team estimates the velocity per sprintin the worst-case scenario as 10 story points, the best-case scenario with 25story points, and the most likely scenario as 20 points.Using a triangular distribution, how long will the project take?

Answer 16

32 weeks. Correct. The worst-case duration can be calculated as 500 / 10 which is50 sprints. The most likely case can be calculated as 500 / 20 which is25 sprints. The best case can be calculated as 500 / 25 which is 20sprints. Taking the average number of sprints would be (50 + 25 + 20) / 3which is 31.67. Thus, the estimate would be 32. Since each sprint is oneweek in length, the duration estimate would be 32 weeks.

Question 17

A Kanban board is used to manage the workflow of a software developmentproject. The project team has established a cycle time of five business daysper user story. The lead time is 10 business days per story. There are 20 userstories remaining in the backlog.What should the team report as an estimate to complete the backlog?

Answer 17

100 days. take the backlog and multiply by the cycle time.

Question 18

SPI agile formula

Answer 18

story points completed / story points planned

Question 19

CPI agile formula

Answer 19

Story point earned cost completed / cost of actual sprint

Question 20

When referencing dollar value, which is the preferred performance calculation for agile? - CPI or SPI

Answer 20

CPI because dollars is mentioned. Even if the question states. “according to planed.”