Cost Variance Analysis

Cost Cost PCT Est. Actual Cost

Cost
Account Baseline Cost Costs Variance CV % ETC EAC
Account (%)
Code (EGP) to Date (EGP) (EGP)

PM-012 Foundations 50,000 100 50,000 52,000 -2,000 -4% 0 52,000

Reinforced
PM-123 70,000 50 35,000 34,000 1,000 2.9% 34,000 68,000
Concrete

PM-034 Brickwork 20,000 25 5,000 5,500 -500 -10% 15,000 20,500

PM-098 Finishing 50,000 0 0 0,000 0 0% 50,000 50,000

Totals 190,000 90,000 91,500 -1,500 190,500

Project Cost Efficiency = Est. Cost to Date / Actual Costs = 90,000 / 91,500 = 0.984
Project PCT by Cost = Actual Cost / EAC = 91,500 / 190,500 = 48%

PMD 913 Project Progress & Cost Control

Prof. Hesham Bassioni, PhD, MBA, ME, PMP A3 - 1
Module 3: Project Cost Control
 Cost Control – Variance Analysis

• CV% = CV/EV x 100

• The Estimate to Complete (ETC) can be calculated from
the following formulas:
- Past performance to continue: ETC  AC   1 - 1
 PCT 

- Planned performance to continue: ETC  EV   1 - 1

 PCT 

- Other performance to continue: ETC using cost

estimating

• The Estimate at Completion (EAC) can be calculated

as: EAC  AC  ETC

PMD 913 Project Progress & Cost Control

Prof. Hesham Bassioni, PhD, MBA, ME, PMP
Module 3: Project Cost Control