Given the following information for a one-year project, answer the following questions. Assume you have actual and earned value data at the end of the second month. Recall that PV is the planned value, EV is the earned value, AC is the actual cost, and BAC is the budget at completion.

PV = $23,000 EV = $20,000 AC = $25,000 BAC = $120,000

a. What is the cost variance, schedule variance, cost performance index (CPI), and schedule performance index (SPI) for the project?

b. How is the project progressing? Is it ahead of schedule or behind schedule? Is it under budget or over budget?

c. Use the CPI to calculate the estimate at completion (EAC) for this project.

d. Use the SPI to estimate how long it will take to finish this project.

e. Sketch the earned value chart for this project, using Figure 8-5 as a guide. Assume the data for month 1 is half of the values given for PV, EV, and AC at the end of month 2.