Week 3 Discussion 1 & 2

Discussion 1

Describe the linkages of the work breakdown structure and the time-phased budget to arrive at an earned value analysis. What is the impact on earned value if the cost estimation is significantly lower because of low estimates or specification changes in the project? Provide examples of projects you have been involved with or read about that may have had this problem.

Discussion 2

Solve  problem. Show your work. Along with your answer, define each term and explain the significance (meaning) of the solution.

You are assigned as the project manager to a project which had a one-time cost variance in the past caused by unexpected rework which has meanwhile 
                been finished.

                You perform Earned Value Analysis and find the following results:

                EV: 250,000; PV: 200,000; AC 275,000

                BAC is 500,000.

                What is right?

                A. EAC = 550,000
                B. EAC = 525,000
                C. EAC = 500,000
                D. EAC = 425,000