EVM Formulas

hi i have got a list of formulas for EAC in EVM and am not sure in which case you would use them;

please see and advise.

1) EAC = AC+BAC-EV

2) EAC =BAC/CPI

3) EAC= AC + [(BAC-EV)/(CPI*SPI)]

I have read PMBOK but it doesnt make much sense to me.

Thanks.

The PMP Guru's picture

Hi dinduboy,

Good Question and it's always confusing. Let me explain it and I hope you will understand.


1) EAC = AC+BAC-EV

Project is A-Typical, Whatever has happened, Project will be on Budget.

2) EAC =BAC/CPI


If Cost Variance continues. Then use this Formula.

3) EAC= AC + [(BAC-EV)/(CPI*SPI)]


Used when both Cost & Schedule performance are considered.

I kept it short for understanding.

 

Kind regards,

http://thepmpguru.wordpress.com/

much thanks for the reply :)

The PMP Guru's picture

You wellcome dinduboy.

If you have something else on your mind, I will be happy to help.

 

Kind regards,

The PMP Guru