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    PracticePMI PMP®PMI PMP Practice Exam 4Question 79
    Hard1 markShort Answer
    Task 5: Plan and manage budget and resourcesearned value managementTCPIperformance indexcost forecasting

    PMP · Question 79 · Task 5: Plan and manage budget and resources

    A project has the following earned value data at the end of month 6:<br/>- Budget at Completion (BAC): $900,000<br/>- Earned Value (EV): $450,000<br/>- Actual Cost (AC): $500,000<br/>- Planned Value (PV): $480,000<br/><br/>Calculate the To Complete Performance Index (TCPI) based on the Budget at Completion. Round to two decimal places and enter numbers only (e.g., 1.11).

    How to approach this question

    Calculate TCPI using the formula: TCPI = (BAC - EV) / (BAC - AC). Subtract EV from BAC for remaining work, subtract AC from BAC for remaining budget, then divide.

    Full Answer

    To Complete Performance Index (TCPI) indicates the cost performance efficiency required for remaining work to meet the budget. A TCPI of 1.11 means the project must perform 11% better than planned for remaining work.

    Common mistakes

    Students sometimes confuse TCPI formulas or make calculation errors when determining remaining work and remaining budget values.
    Question 78All questionsQuestion 80

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