EVM Question (ETC)
Submitted by tmanivannan on Mon, 10/15/2012 - 22:05
Hi All,
Q: You know that BAC = 375, PV = 300, AC = 200, and cumulative EV = 250. Variances that have occurred on the project to date are not expected to continue. What is the ETC?
A. 75
B. 50
C. 125
D. 150
Kim has given : The correct formula for ETC for this question is as follows: BAC - cumulative EV.
I have ever seen only one formula for ETC = EAC – AC. Please clarify.


anand_kl
Wed, 10/17/2012 - 08:57
Permalink
My Answer is...
Hi Mani,
ETC = EAC - AC is correct. What do you substitue for EAC. ?
EAC = BAC/CPI if the same performance continues. But questions mentions same performance is not expected to continue. So you should consider atypical formula for EAC calculation
EAC = AC+ BAC-EV. Substitue this for EAC in your ETC formula
Therefore ETC = (AC +BAC - EV) - AC. That means ETC = BAC - EV.
Hope this helps.
Regards,
Anand KL, PMP