PMP (Project Management Professional) · Question
A project manager is calculating the estimated cost at completion (EAC) using the formula EAC = AC + ETC. Which scenario most likely applies?
This formula assumes that the actual cost incurred to date (AC) will be supplemented by the Estimate To Complete (ETC) based on project performance.
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Question: A project manager is calculating the estimated cost at completion (EAC) using the formula EAC = AC + ETC. Which scenario most likely applies?
Answer options: ✅ Past performance is indicative of future performance for ETC
- The original budget is no longer viable due to significant scope changes
- The project is on track and within budget
- The remaining work will be completed at the planned rate
Correct answer: Past performance is indicative of future performance for ETC
Explanation: This formula assumes that the actual cost incurred to date (AC) will be supplemented by the Estimate To Complete (ETC) based on project performance.
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Question explanations
- What is the primary output of the 'Direct and Manage Project Work' process?
- Which project management approach emphasizes frequent communication, self-organizing teams, and adapting to ch
- Which of the following is an output of the 'Develop Project Charter' process?
- Which type of risk response strategy involves shifting the impact of a threat along with ownership to a third
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