In Earned Value Assessment (EVA), what does the acronym AC stand for?

In Earned Value Assessment (EVA), the acronym AC stands for Actual Cost. This measure is crucial in project management as it represents the total expenses incurred for the work that has actually been completed at a specific point in time. Understanding the Actual Cost allows project managers to analyze whether the project is proceeding within budget and to make informed decisions based on actual spending compared to the planned budget.

The significance of Actual Cost lies in its role within the broader framework of Earned Value Management (EVM), where it is compared alongside Earned Value (EV) and Planned Value (PV) to assess project performance. By evaluating AC in relation to these other metrics, project managers can identify cost variances and performance issues, enabling prompt corrective actions if necessary.