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A large and complex project is comprised of multiple regions. The estimate to complete (ETC) work is assumed to be performed at the same cumulative cost performance index (CPI) as that incurred by the project to date. As of now, the earned value (EV) is 145 person/day, the planned value (PV) is 145 person/day, the actual cost (AC) is 170 person/day, and budget at completion (BAC) is 285 person/day. What is the estimate at completion (EAC)?
Correct Answer: A
When future performance is expected to continue at the same cost efficiency (CPI), the formula to calculate Estimate at Completion (EAC) is: EAC = BAC / CPI Step 1: CPI = EV / AC = 145 / 170 # 0.8529 Step 2: EAC = 285 / 0.8529 # 334 person/day Thus, the correct estimate at completion is approximately 334 person/day. Option B is the original BAC and does not reflect cost inefficiency. Options C and D are incorrect based on the formula and data provided. References: PMBOK Guide - Sixth Edition, Section 7.4: Control Costs Earned Value Management Formula Sheet (PMI) -