# analysis

Given the information below for a one year project please help with the questions that follows:

PV is Planned Value

EV is Earned value

AC is actual cost

BAC is budget at Completion

PV = $23,000

EV = $20,000

AC = $25,000

BAC = $120,000

a. What is the cost variance, schedule variance and cost performance index (CPI), and schedule performance index (SPI) for the project?

b. How is the project doing? Is it ahead of schedule or behind schedule? It is under budget or over budget?

c. Use the CPI to calculate the estimate at completion (EAC) for this project. Is the project performing better or worse than planned?

d. Use the schedule performance index (SPI) to estimate how long it will take to finish the project.

https://brainmass.com/computer-science/performance-of-systems/analysis-41868

#### Solution Preview

a.

The difference between Earned Value and spending (AC) is Cost Variance

Cost Variance = $20,000 - $25,000= -$5,000

The difference between Earned Value and plan (PV) is Schedule Variance

Schedule Variance = $20,000 - $23,000= -$3,000

The ratio of Earned Value to cost (AC) is Cost Performance ...

#### Solution Summary

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