Project Cost Management Exercises

Project Cost Management Exercises

1. Your project has a total budget of $300,000. You You check your records and nd that you've spent $17,000 so far. far. !he tea" has co"pleted #0 of the project %ork, but %hen you check the schedule &t says that they should have co"pleted 0 of the %ork. alculate the follo%&ng( )* + $$ 

/ + $   +

* + $$ 

/ + $   +

2/ + $  $ + $  / + $ $ + $  24 + $ 5 $ + 4 + $ 5 $ + 6. You're "anag&ng a h&gh%ay construct&on project. Your Your total budget &s $0,000, and there are a total of 7,00 hours of %ork scheduled on the project. You You check %&th your account&ng depart"ent, and they tell you that you've spent a total of $#00,000. *ccord&ng to the schedule, your cre% should have %orked #,00 hours, but your fore"an says that the cre% %as allo%ed to %ork so"e overt&"e, and they've actually put &n ,100 hours of %ork. alculate these earned value nu"bers( BAC = ______________; ___________ ___;

PV = _________________  ____________ _____ 

AC = ______________; ____________ __;

EV = _________________  ___________ ______ 

SV = ______________; ____________ __;

CV = _________________  ____________ _____ 

SPI = ______________; ___________ ___;

CPI = _________________  ____________ _____ 

3. You are the project manager at an industria design !irm. You e"pect to spend a tota o! #$$%&&& on 'our current project. Your pan cas !or si" peope (or)ing on the project eight hours a da'% !i*e da's a (ee) !or !our (ee)s. According to the schedue% 'our team shoud ha*e just !inished the third (ee) o! the project. +hen 'ou re*ie( (hat the team has done so !ar% 'ou !ind that the' ha*e competed $&, o! the (or)% at a cost o! #-$%&&&. Based on this in!ormation% cacuate the earned *aue numers/

BAC = ______________;

PV = _________________ 

AC = ______________;

EV = _________________ 

SV = ______________;

CV = _________________ 

SPI = ______________;

CPI = _________________ 

Chec) a o! the !oo(ing that app'/  _____ 0he project is ahead o! schedue  _____ 0he project is ehind schedue  _____ You shoud consider crashing the schedue  _____ 0he project is o*er udget  _____ You shoud !ind a (a' to cut costs  _____ 0he project is under udget 1. Your current project is an #2&&%&&& so!t(are de*eopment e!!ort% (ith t(o teams o! programmers that (i (or) !or  months% at a tota o! 4&%&&& hours. According to the project schedue% 'our team shoud e done (ith 32, o! the (or). You !ind that the project is current' 1&, compete. You5*e spent $&, o! the udget so !ar. Cacuate these numers BAC = ______________;

PV = _________________ 

AC = ______________;

EV = _________________ 

SV = ______________;

CV = _________________ 

SPI = ______________;

CPI = _________________ 

Chec) a o! the !oo(ing that app'/

 _____ 0he project is ahead o! schedue  _____ 0he project is ehind schedue  _____ You shoud consider crashing the schedue  _____ 0he project is o*er udget  _____ You shoud !ind a (a' to cut costs  _____ 0he project is under udget $. You5re the project manager (or)ing on a arge project schedued to ast !or t(o 'ears. You5*e got si" di!!erent teams (or)ing on !i*e major !unctiona areas. Some teams are ahead o! schedue% and other are !aing ehind. 0hat means that 'ou ha*e cost o*erruns in some areas% ut 'ou5*e sa*ed costs in others6and that5s ma)ing it *er' hard to get an intuiti*e grasp on (hether 'our project is o*er or under udget. Its nine months into 'our project. 0he tota udget !or 'our project is #1%-&&%&&&. You5*e spend #4%$&%&&& so !ar% and 'ou5*e got a CPI o! &.27$. 8se the Earned Vaue 9anagement !ormuas !rom :orecasting to !igure out (here things stand. EAC = _________________;

E0C = _____________________ 

VAC = _________________  +i the project e o*er or under udget (hen it5s compete o( much (i the project e o*er or under udget ___________