Your project exceeded costs in the past caused by an underestimation of resource costs in the cost baseline:

PV: $1,200,000, EV: $1,000,000, AC: $1,200,000

You expect the underestimation to influence the future as much as it did in the past.

If the value of the remaining work (BAC – EV) is at $1,000,000, what should be your new EAC (estimate at completion)?

 

$1,800,000 o $2,000,000 o $2,200,000 o $2,400,000

 

The correct answer is 4 which is 2,400,000. How did they arrive at this and which formulas was used. Cause I used AC+ (Bac-Ev) which happen to be option 2