A non-profit organization is managing an international conference project. The total budget authorized for this project is $300,000 and the project duration is 100 days. Work progress is distributed evenly over the schedule timeline. By day 25, the actual work completed is 15%. What is the Actual Cost (AC) incurred by day 25?

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TheoryPractice · Accepted Answer

$45,000. The Actual Cost (AC) is calculated as the cost spent to complete work during a specific period. By day 25, they have completed 15% of the work as planned. Since the budget is evenly distributed, the AC is calculated as: $$300,000 	imes 0.15 = 45,000$$. Therefore, the AC on day 25 is $45,000.

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