The Situation: You are the project manager for constructing a custom house. Your company requires an evaluation of the estimate at completion $($EAC$).$ Since the pool change order described in Week $1$ has not been executed, you don$$t have to change your baseline budget. Everything is going well; even the irrigation well and pump are in early. The EAC should be based on the planned and earned values in WBS PV EV July $1$ spreadsheet.

The Assignment: Calculate EAC using the four different formulas. You know that Tropical Storm will impact your cost, so in the $$Bottom$-$up ETC$$ you add $$5,000$ to the estimated cost for storm cleanup in WBS item $3\mathrm{.}4$; thus your Bottom$-$up ETC will be $$5,000$ higher than the ETC $=$ EAC$-$AC $($i$.$e$.$ ETC $=$EAC$-$AC $+$$$5,000).$ Explain the differences between the four forecasting formulas. Which one would you consider has the most validity? Include at least three credible references in addition to the PMBOK$$ Guide with at least one of these being a peer$-$reviewed journal article. Properly cite your response.