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NEW QUESTION: 3
You are the project manager of the GHY Project. This project is scheduled to last for one year and has a BAC of $4,500,000. You are currently 45 percent complete with this project, though you are supposed to be at your second milestone, which accounts for half of the project completion. There have been some errors in the project, which has caused you to spend $2,073,654. Based on the budget at completion, what is this project's to-complete performance index?
A. 1.02
B. -$108,120
C. 0.98
D. $2,500.000
Answer: A
Explanation:
Explanation/Reference:
Explanation:
The to-complete performance index shows the likelihood of reaching the project objectives based on the current performance. The formula is (BAC-EV)/(BAC-AC) for a result of 1.02. The higher the value over 1 the less likely the project is to reach its objectives based on the current performance.To-complete Performance Index (TCPI) is the measured projection of the anticipated performance required to achieve either the BAC or the EA TCPI indicates the future required cost efficiency needed to achieve a target EAC (Estimate At Complete).Once approved, the EAC supersedes the BAC as the cost performance goal. Any significant difference between TCPI and the CPI needed to meet the EAC should be accounted for by management in their forecast of the final cost. The formula for TCPI is as follows: TCPI = {(BAC-EV)/(BAC-AC)} Incorrect Answers:
A: This is the expected variance at completion.
B: This is the cost performance index for this project.
C: This is not a valid answer for this question.
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