Cost and Schedule Variance Calculations

PLEASE REWRIJT THIS IN AN EXCEL To calculate the cost and schedule variances for the project, as well as the Schedule Performance Index (SPI) and Cost Performance Index (CPI), we can use the following formulas: 1. Cost Variance (CV): CV = EV – AC Where: – EV (Earned Value) = Budgeted Value (or Planned Value) of the work performed = $272,000 – AC (Actual Cost) = Actual cost incurred = $270,000 CV = 272,000 – 270,000 = 2,000 2. Schedule Variance (SV): SV = EV – PV Where: – PV (Planned Value) = Scheduled cost = $261,000 SV = 272,000 – 261,000 = 11,000 3. Cost Performance Index (CPI): CPI = frac{EV}{AC} CPI = frac{272,000}{270,000} approx 1.0074 4. Schedule Performance Index (SPI): SPI = frac{EV}{PV} SPI = frac{272,000}{261,000} approx 1.0412 Summary of Results: – Cost Variance (CV): $2,000 – Schedule Variance (SV): $11,000 – CPI: 1.0074 – SPI: 1.0412 These results indicate that the project is slightly under budget (positive cost variance) and ahead of schedule (positive schedule variance). Both the CPI and SPI are above 1, suggesting good performance in both cost and scheduling.