Let B = budgeted total cost for a work package T = estimated completion time for a work package
P = percent complete
A = actual expenses to date
M = time used to date
What is the definition of cost overrun, C?
A)C = A - PB
B)C = A - (1 - P)TB
C)C = A - PTB
D)C = A - MB/T

Question

Quizplus · Accepted Answer

Cost overrun, C, is defined as the actual expenses to date (A) minus the budgeted cost for the work completed to date (PB), where P is the percent complete and B is the budgeted total cost for the work package.

Let B = Budgeted Total Cost for a Work Package