Require clarification on Earned Value formulas ?

Submitted by amber on Sat, 09/08/2012 - 16:10

 Hi Folks,

I had gone through EV question from couple of books:

1)Headfirst where EAC formula is BAC/CPI.

However in pmpprep cast the formula for EAC are categorised as below

EAC'typical'= AC+((BAC-EV)/CPI) and another one is 

EAC'attypical'= AC+BAC-EV

EAC'no variance'= BAC/CPI

EAC'fundamentally flawed'=AC+ETC

 

Similarly for ETC'atypical'= BAC-EV

ETC'typical'=(BAC-EV)/CPI

can anyone please advise me (explain in detail) what typical,atypical,no varience and fundamentally flawed has to do with these formulas.

Thanks

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sspawar

Sun, 09/09/2012 - 06:05

EAC'no variance'= BAC/CPI


it is wrong formula


cpi if other then 1, there will be variance


when BAC = EAC =PVtotal ------means no variance


other is simple --someone can explain - many time in this forum such q discussed better use search box,


do practice get the concept

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admin

Mon, 09/10/2012 - 04:26

Check these posts to understand the atypical case.


http://pmzilla.com/earned-value-question


http://pmzilla.com/confused-calculate-eac-and-vac


http://pmzilla.com/when-use-which-eac-formuala

GISdude

Wed, 09/12/2012 - 04:17

EAC = BAC/CPI (STANDARD FORMULA)

EAC = AC + ETC (USED WHEN ORIGINAL ESTIMATES WERE FLAWED)

EAC = AC + (BAC-EV) (USED WHEN VARIANCES ARE ATYPICAL OF FUTURE

EAC = AC + (BAC-EV)/CPI (USED WHEN VARIANCES ARE TYPICAL OF THE FUTURE)

HTH,