Suppose you are managing a software development project. The project is expected to be completed in 8 months at a cost of $10,000 per month. After 2 months, you realize that the project is 30 percent completed at a cost of $40,000. You need to determine whether the project is on-time and on-budget after 2 months.

a. What is the budgeted at completion cost estimate?

b. What is the actual cost after two months?

c. What percent of the project was planned to be completed after 2 months?

d. What is the actual project completion percentage after 2 months?

e. Calculate the Planned Value (PV) after 2 months:

f. Calculate the Earned Value (EV):

g. What is the cost variance?

h. What is the schedule variance?

i. What does the cost variance and schedule variance tell you?

10. Compute the Cost Performance Index (CPI):

11. Compute the Schedule Performance Index (SPI)

12. What do the CPI and SPI tell you?