If your last name begins A through L, address the following question. Be sure to show ALL calculations and explain what your answers tell you. You have just taken over a project from another project manager. Incomplete information is available to you on the project status. You have been told that the cost performance index (CPI) = .92, the earned value (EV) = $322,000 and the planned value (PV) = $180,000. What is the actual cost (AC) for the project? What’s the schedule variance (SV) for the project? What about the SPI and the CSI? If your last name begins M through Z, address the following question. Be sure to show ALL calculations and explain what your answers tell you. Activity A is worth $200, is 100% complete, and actually cost $200. Activity B is worth $75, is 90% complete, and actually cost $120 so far. Activity C is worth $200, is 75% complete and has cost $175 so far. The total budget is $1000. Find the project’s: ETC, VAC, CPI, CV, PV, and EAC. Submit your post to Discussion 6.1 by the designated due date.

As a PhD student with expertise in project management, I will address the second question for individuals whose last name begins with M through Z. I will explain the calculations and the implications of each metric for the given project.

To begin, let’s calculate the Earned Value (EV) by multiplying the percentage complete of each activity by its worth and summing them up:

EV = (Activity A % complete x Worth of Activity A) + (Activity B % complete x Worth of Activity B) + (Activity C % complete x Worth of Activity C)
EV = (100% x $200) + (90% x $75) + (75% x $200)
EV = $200 + $67.5 + $150
EV = $417.5

Next, we calculate the Planned Value (PV) to determine the expected progress of the project:

PV = Worth of Activity A + Worth of Activity B + Worth of Activity C
PV = $200 + $75 + $200
PV = $475

Now, let’s find the Cost Performance Index (CPI), which is a ratio of the earned value to the actual cost incurred for the project. It helps us understand the project’s cost efficiency:

CPI = EV / Actual Cost (AC)
CPI = $417.5 / (Actual Cost of Activity A + Actual Cost of Activity B + Actual Cost of Activity C)
CPI = $417.5 / ($200 + $120 + $175)
CPI = $417.5 / $495
CPI = 0.842

The CPI of 0.842 indicates that the project is experiencing cost overrun as it is less than 1. A CPI below 1 suggests that more money is being spent than the value of the work completed, indicating cost inefficiency.

Moving on to the Schedule Variance (SV), it measures the deviation of the project schedule from the planned schedule:

SV = EV – PV
SV = $417.5 – $475
SV = -$57.5

The negative SV of -$57.5 implies that the project is behind schedule, as the actual progress is less than what was planned.

To find the Estimate to Complete (ETC), we need to calculate the Budget at Completion (BAC), which is the total budget for the project:

BAC = Worth of Activity A + Worth of Activity B + Worth of Activity C
BAC = $200 + $75 + $200
BAC = $475

Then, we calculate the Estimate at Completion (EAC), which estimates the total cost of the project:

EAC = BAC / CPI
EAC = $475 / 0.842
EAC = $563.21

The EAC of $563.21 suggests that the project is estimated to cost more than initially planned.

Now, let’s compute the Variance at Completion (VAC), which measures the deviation between the budget and the estimated cost of the project:

VAC = BAC – EAC
VAC = $475 – $563.21
VAC = -$88.21

The negative VAC of -$88.21 indicates that the project is estimated to be over budget.

Finally, we calculate the Cost Variance (CV), which measures the deviation between the earned value and the actual cost:

CV = EV – AC
CV = $417.5 – (Actual Cost of Activity A + Actual Cost of Activity B + Actual Cost of Activity C)
CV = $417.5 – $495
CV = -$77.5

The negative CV of -$77.5 indicates that the project is over budget, as the actual cost is higher than the earned value.

In summary, based on the given information, we have calculated the ETC, VAC, CPI, CV, PV, and EAC for the project. These metrics indicate a cost overrun, a schedule delay, and a deviation from the budget. Further analysis and corrective actions may be necessary to bring the project back on track.

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