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The following questionsrefer to Tables 1-3 (all values are in thousands) Table 1

ID: 351630 • Letter: T

Question

The following questionsrefer to Tables 1-3 (all values are in thousands) Table 1 Bu dgeted Costs Week TBC 1 55 2515 15 75 2540 10 40 30 4. Task 1 Task 2 Task 3 Task 4 20 20 15 15 Table 2 Actual Costs Week 4 Task 1 Task 2 Task 3 Task 4 20 30 10 25 45 20 25 5 15 10 Table 3 Percentage of Work Complete Week 4. Task 1 Task 2 Task 3 Task 4 35 75 100 254090 100 50 60 90 a. Whatis the CBC at the end of week 3 b. Whatis the CAC at the end of week 3? c. Whatis the CEV at the end of week 3? d. What are the CV and SV at the end of week 3? e. Whatare the CPI, SPI and CSI at the end of week 3? f. Whatis the FCAC asof the end of Week 3? Show the two different calculations from thee text. g. Whatactions, if any, might be required to get this project on track?

Explanation / Answer

CBC ( Cumulative Budgeted Cost) = 55 + 75 + 20 = 150

CAC ( Cumulative Actual Cost) = 10 + 20 +30 + 25 + 45 +20 +25 = 175

CEV ( Cumulative Earned Value) = 100% * 55 + 90% * 75 + 100% (50% * 40) = 142.5

CV = CEV - CAC = -32.5

SV = CEV - CBC = 142.5 - 150 = -7.5

SPI = CEV / CBC = 0.95

CPI = CEV / CAC = 0.81

CSI = SPI * CPI = 0.77

FCAC = Total Budgeted Cost / CPI = ( 55+75+40+30)/ 0.81 = 245.6

Cost and schedule both variance are going beyond planned one. Hence manager needs to work on both front to control cost and speed up project to catch schedule.