Oliver Lehman Sample Question - How to Calculate
Submitted by PMPREP21 on Mon, 11/19/2012 - 20:33
Please advise on how Selection D is the correct answer. I keep coming up with $2,200,000.
Your project exceeded costs in the past caused by an underestimation of resource costs in the cost baseline:
PV= $1,200,000 EV= $1,000,000 AC= $1,200,000
You expect the underestimation to influence the future as much as it did in the past.
If the value of the remaining work (BAC-EV) is at $1,000,000, what should be your new EAC (Estimate At Completion)?
A. $1,800,000
B. $2,000,000
C. $2,200,000
D. $2,400,000
Forums:


rit_mis
Tue, 11/20/2012 - 01:05
Permalink
D
ETC=BAC-EV
ETC=1000000
BAC = 2000000
CPI = EV/AC = .8333
EAC = BAC/CPI = Hence = D is correct