1. 2. 3. 4. 5. 6. 7. 8.

PERT Standard Deviation Variance Float or Slack Cost Variance Schedule Variance Cost Perf. Index Sched. Perf. Index

9. Est. At Completion (EAC) 10. Est. To Complete Percentage complete 11. Var. At Completion

12. To Complete Performance IndexTCPI

13. Net Present Value 14. Present Value PV 14.Furute Value 15. Internal Rate of Return 16. Benefit Cost Ratio 17. Payback Period 18. 19. 20. 21. 22. 23. 24. 25. BCWS (budgeted cost of work scheduled) BCWP (budgeted cost of work performed) ACWP (actual cost of work performed) Order of Magnitude Estimate Budget Estimate Definitive Estimate Comm. Channels Expected Monetary Value

26. Point of Total Assumption (PTA)

Sigma

Return on Sales ( ROS )

Return on Assets( ROA ) Return on Investment ( ROI ) Working Capital Discounted Cash Flow

Contract related formulas

Communication Channels EVA = Net Operating Profit After Tax - Cost of Capital (Revenue Op. Exp - Taxes) - (Investment Capital X % Cost of Capital) EVA Economic Value Add Benefit Measurement - Bigger is better

Source Selection = (Weightage X Price) + (Weightage X Quality)

(P + 4M + O )/ 6 Pessimistic, Most Likely, Optimistic (P - O) / 6 [(P - O)/6 ]squared LS-ES and LF-EF EV - AC EV - PV EV / AC EV / PV BAC / CPI, AC + ETC -- Initial Estimates are flawed AC + BAC - EV -- Future variance are Atypical AC + (BAC - EV) / CPI -- Future Variance would be typical EAC - AC EV/ BAC BAC - EAC Values for the TCPI index of less then 1.0 is good because it indicates the efficiency to complete is less than planned. How efficient must the project team be to complete the remaining work with the remaining money? ( BAC - EV ) / ( BAC - AC ) Bigger is better (NPV) FV / (1 + r)^n amount x 1/PV Bigger is better (IRR) Bigger is better ((BCR or Benefit / Cost) revenue or payback VS. cost) Or PV or Revenue / PV of Cost Less is better Net Investment / Avg. Annual cash flow. PV EV AC -25% - +75% (-50 to +100% PMBOK) -0.35 -0.15 N(N -1)/2 Probability * Impact ((Ceiling Price - Target Price)/buyer's Share Ratio) + Target Cost 1 2 3 6 = = = = 68.27% 95.45% 99.73% 99.99985%

Net Income Before Taxes (NEBT) / Total Sales OR Net Income After Taxes ( NEAT ) / Total Sales

NEBT / Total Assets OR NEAT / Total Assets NEBT / Total Investment OR NEAT / Total Investment Current Assets - Current Liabilities Cash Flow X Discount Factor Savings = Target Cost Actual Cost Bonus = Savings x Percentage Contract Cost = Bonus + Fees Total Cost = Actual Cost + Contract Cost N(N-1)/2

These are the formulas used in the Project Management Book of Knowledge Present Value (PV) = FV/(1+i)n Future Value = amount x 1/PV Variance = Plan Actual EV = Earned Value, or budgeted cost of work performed (BCWP), is a percentage of the total budget equal to the percentage of the work actually PV (BCWS) = budgeted cost of work scheduled is that portion of the approved cost estimate planned to be spent on the activity during a given period. What AC (ACWP) = actual cost of work performed (ACWP), is the total of direct and indirect costs incurred in accomplishing work on the activity during a given period.Cost to achieve what is done. Cost Variance CV = EV AC <0 means Trouble Schedule Variance SV = EV PV <0 means Trouble Variance At Completion VAC = BAC EAC Cost Performance Index CPI = EV / AC <1 means Trouble Schedule Performance Index SPI = EV / PV <1 means Trouble Percent Complete = (EV/BAC) x 100 BAC = total amount of workhours we budget for the work Estimate At Completion EAC = BAC/CPI = AC + ETC (Forecast of work to 1. AC + remaining project budget modified by a performance factor 2. AC + new estimate for all remaining work 3. AC + remaining budget (BAC) Estimate To Complete ETC = BAC EV Management Reserve (Contingency) MR Cost Baseline = BAC + MR

A+B ( Bidding) CPIF

C=A+(B*R) (Whereas , C= Offer Cost,A= Estimate of amount of work, B = Duration, R = User Cost/$/day) Fc= Ft+K (Ct-Ca) ( Whereas , Fc= Contractor realised profit, Ft= Negotiated target profit, K = Sharing Ratio, Ct

uration, R = User Cost/$/day) target profit, K = Sharing Ratio, Ct= Negotiated target contract Cost, Pa= Actual Contract Cost)