Once you have viewed the video, click here to try this easy question:
You have estimated a new EAC and gained approval for it from your sponsor. However you need to track the effective development of your costs. You will use:
A) TCPI = (BAC-EV)/(EAC-AC).
B) Common sense, wise and expert judgement.
C) TCPI = (BAC-EV)/(BAC-AC).
D) …hmmm let me go back and review the video again… 😉
Do you think you know the answer? Check it here:
The right answer of course is: A.
TCPI is the amount of work left to be done (BAC – EV) by the amount of money left to do that work with. Since your EAC has been approved, the amount of money you have left is EAC – AC.
When would you divide by (BAC-AC)? 😉
Well done! Time to move on to the next assignment!