PMP Exam Question 134

Aligned with PMBOK 6th Edition®.

Earned Value Analysis :

During Earned Value Analysis, your project sponsor has asked you about the expected cost to finish all the remaining project work. Which term is the project sponsor referring to?

A. To Complete Performance Index.
B. Estimate At Completion.
C. Estimate To Complete.
D. Budget At Completion.

5 responses on "PMP Exam Question 134"

  1. PMP® Solution 134.

    X A. To Complete Performance Index is a measure of the cost performance that must be achieved with the remaining resources in order to meet a specified management goal, expressed as the ratio of the cost to finish the outstanding work to the budget available. TCPI = (BAC – EV)/(BAC – AC). TCPI = (BAC – EV)/(EAC – AC).

    X B. Estimate At Completion is the expected total cost of completing all work expressed as the sum of the ac-tual cost to date and the estimate to complete. EAC = BAC/CPI. EAC = AC + BAC – EV. EAC = AC + Bottom-up ETC. EAC = AC + [(BAC – EV)/(CPI x SPI)]

    X D. Budget At Completion is the sum of all budgets established for the work to be performed.

    Estimate To Complete is the expected cost to finish all the remaining project work. Assuming work is proceed-ing on plan, the cost of completing the remaining authorized work can be calculated using: ETC = EAC – AC or Reestimate the remaining work from the bottom up. ETC = Reestimate. Therefore, right answer is C. [PMBOK 6th edition, Page 267] [Project Cost Management]


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