CHAPTER – 9

PROBLEM
Q.1 You are in charge of the Aurora project. Given the following project network, baseline, and
status information, develop status reports for periods 1–8 and complete the performance indexes
table. Calculate the EACf and VACf. Based on your data, what is the current status of the project? At
completion? . Plot the EV and the AC on the summary graph provided. Plot the SPI, CPI, and PCIB on
the index graph provided.

1
 Status Report: Ending Period 1 ($000)

Task % Complete EV AC PV CV SV

A 25% 25 50 50 -25 -25

Cumulative Totals 25 50 50 -25 -25

Status Report: Ending Period 2 ($000)

Task % Complete EV AC PV CV SV

A 50% 50 100 100 -50 -50

Cumulative Totals 50 100 100 -50 -50

Status Report: Ending Period 3 ($000)

Task % Complete EV AC PV CV SV
A 100% 100 200 100 -100 0
B 0% 0 0 100 0 -100
C 0% 0 0 150 0 -150
Cumulative Totals 100 200 350 -100 -250

Status Report: Ending Period 4 ($000)

Task % Complete EV AC PV CV SV
A 100% 100 200 100 -100 0
B 60% 150 100 150 50 0
C 50% 225 200 300 25 -75
Cumulative Totals 475 500 550 -25 -75

Status Report: Ending Period 5 ($000)

Task % Complete EV AC PV CV SV
A 100% 100 200 100 -100 0
B 100% 250 200 250 50 0
C 100% 450 400 450 50 0
Cumulative Totals 800 800 800 0 0

2
 Status Report: Ending Period 6 ($000)

Task % Complete EV AC PV CV SV
A 100% 100 200 100 -100 0
B 100% 250 200 250 50 0
C 100% 450 400 450 50 0
D 75% 150 100 100 50 50
Cumulative Totals 950 900 900 50 50

Status Report: Ending Period 7 ($000)

Task % Complete EV AC PV CV SV
A 100% 100 200 100 -100 0
B 100% 250 200 250 50 0
C 100% 450 400 450 50 0
D 100% 200 150 200 50 0
E 20% 60 100 0 -40 60
F 5% 15 50 0 -35 15
Cumulative Totals 1075 1100 1000 -25 75

Status Report: Ending Period 8 ($000)

Task % Complete EV AC PV CV SV
A 100% 100 200 100 -100 0
B 100% 250 200 250 50 0
C 100% 450 400 450 50 0
D 100% 200 150 200 50 0
E 100% 300 350 200 -50 100
F 10% 30 100 100 -70 -70
Cumulative Totals 1330 1400 1300 -70 30

3
 Performance Indexes Summary

Period EV AC PV SPI CPI PCIB

1 25 50 50 .50 .50 1%
2 50 100 100 .50 .50 3%
3 100 200 350 .29 .50 5%
4 475 500 550 .86 .95 24%
5 800 800 800 1.00 1.00 40%
6 950 900 900 1.06 1.06 48%
7 1075 1100 1000 1.08 .98 54%
8 1330 1400 1300 1.02 .95 67%

(𝐵𝐴𝐶 − 𝐸𝑉) (2,000 − 1,330)

𝐸𝐴𝐶𝑓 = + 𝐴𝐶 = + 1,400 = 2,105
𝐸𝑉 1,330
(𝐴𝐶 ) ( )
1,400
𝑉𝐴𝐶𝑓 = 𝐵𝐴𝐶 − 𝐸𝐴𝐶𝑓 = 2,000 − 2,105 = −105

With two-thirds of the project completed the forecast is that the project will be $105,000 over
budget at completion.
Revised Estimates: Ending Period 14 ($000)

Task % Complete EV AC PV CV SV
A 100% 100 200 100 -100 0
B 100% 250 200 250 50 0
C 100% 450 400 450 50 0
D 100% 200 150 200 50 0
E 100% 300 350 300 -50 0
F 100% 300 500 300 -200 0
G 100% 200 150 200 50 0
H 100% 200 200 200 0 0
Cumulative Totals 2000 2150 2000 -150 0
EACre = AC + ETCre = 1,400 + 750 = 2,150
VACre = BAC - EACre = 2,000 – 2,150 = -150
Revised estimates indicate that the project will be one period or time unit behind
schedule and $150,000 over budget.
Choosing between the VACf or the VACre depends upon how much confidence you
have in the accuracy of the revised estimates. Since both activities F and G are
underway, one should be inclined to go with in this case the more conservative VAC re.