The Actual Cost of Work Performed is defined as ACWP. You can say that it is a direct cost actually incurred and recorded for work completed within a given time period. It is calculated and reported by the employer’s accounting system for accomplishing the work performed within a given period.
An ACWP reflects the applied costs that may be expressed as a value for a specific period or cumulative to date. ACWP is basically the actual cost incurred during the whole schedule of the project work.
The ACWP must cover all of the costs associated with completing the project, such as:
The formula to calculate the actual cost of work performed is as follows:
Actual cost = direct costs + indirect costs + fixed costs + variable costs + sunken costs
Also, See: Status Report
Solving Real Business Challenges with a Robust & Impeccable System