SECTION B (60)

QUESTION 2 (20)

You are managing a software project with an initial budget estimate of R120 000. The project is expected completion time for the project is 12 months. During the interim cost and schedule performance analysis, you figured out that:

Six months have passed, and the schedule says that 50% of the work should be completed.

Only 35% of work has been completed.

R50 000 has been used to date

2.1. What is the projects Planned Value (PV)? (3)

2.2. What is the projects Earned Value (EV)? (3)

2.3. What is the projects Actual Cost (AC)? (2)

2.4. What is project Cost Variance? (4)

2.5. What is the projects Schedule Variance? (4)

2.6. Briefly discuss the advantages of using Earned Value Management. (4)