Question

1. The text argues that the calendar should not dictate project reporting frequency. Do you agree? Why? If not, what else should dictate project reporting frequency?
   
2. Discuss the concept of earned value. Explain how the earned value chart captures all three objectives of a project: performance, cost, and schedule.
   
3. Discuss how the total cost of a partially completed project can be estimated by using earned value analysis.
   
4. Logically, when using earned value data in the critical ratio formula, should the “budgeted” cost be the planned value or the earned value? What problems occur with each choice?

Answer 1

1. The requirement for data should manage the report recurrence. For tasks, it is more appropriate to let achievements, scope changes, issues, and the undertaking group's general requirement for data direct the planning of reports.

2. A cost variance is determined as the contrast between Budgeted Cost of Work Performed (BCWP) and the Actual Cost of Work Performed (ACWP). On the off chance that the ACWP is bigger than the BCWP, the difference is negative demonstrating that a bigger number of was spent for the work performed than was planned. The calendar fluctuation is determined as the contrast between the BCWP and the Budgeted Cost of Work Scheduled (BCWS). A negative timetable fluctuation shows a behind calendar circumstance. As far as execution, the earned esteem diagram shows whether advance is up to desire, the "gauge" got ready for this point in time.

3. The absolute expense of an in part finished task can be assessed by separating the sum spent to date by the gauge of the undertaking's rate fruition. In any case, when all is said in done, this isn't a powerful method to evaluate the expense of an in part finished project. A significantly progressively exact methodology is able to be that of summing the expenses of finished exercises and an educated supposition on the expense brought about on exercises in progress.

4. The basic proportion (CR) is the result of the timetable proportion times the expense ratio:CR = (genuine advancement/booked advancement) x (planned cost/real cost).The planned expense can be either the arranged esteem or the earned esteem. In the event that the arranged esteem (i.e., the planned expense of the work booked) is utilized then it might be indistinguishable to real cost (giving an estimation of 1) and subsequently may propose that the venture is on spending plan. Nonetheless, if the earned esteem (i.e., the planned expense of the work performed) is utilized then it might be significantly under 1 appearing extensive work still should be done on the undertaking bringing about a cost overwhelm.