A project manager is preparing to lead a project status meeting later that afternoon. The project is currently 75 percent complete and is reaching the most critical point. Since the project sponsor is planning on attending the meeting, the project manager decides to update the earned value calculations to present the latest performance updates in terms that the sponsor will want to see. The budget at completion (BAC) is set at $550,000, and the current estimate at completion (EAC) is at $525,000. How is the project performing in terms of the budget?

A. It is under the planned cost.

B. It is on the planned cost.

C. It is over the planned cost.

D. Insufficient information was provided.