Guide to Tracking Actual Cost in PMI-ACP Agile EVM

Tracking actual cost is an integral part of Agile Earned Value Management(EVM). The actual cost refers to the total costs actually incurred and recorded in achieving the work performed during a given time period.
Importance: Tracking actual cost is crucial as it provides a factual basis for future project cost forecasts, aids in determining variance from the budget, and facilitates more accurate project cost management. It also enhances project cost control and allows for better resource allocation.
How it Works: The process measures the total cost of all resources used to accomplish the work performed in a given period. This includes direct and indirect costs such as labor, materials, and overhead.
Answering Exam Questions: When answering questions about tracking actual cost, it is essential to remember to include all incurred costs. Ensure to note any variances in the budget. Awareness with the PMI-ACP agile principles related to Agile EVM helps in correctly deducing the necessary data.
Exam Tips: Understanding the difference between estimated and actual cost is crucial. Practice extracting actual cost data from complex scenarios and remember the formulas on calculating actual cost and determine its implications.