Cost-to-complete (CTC) is the estimated cost of finishing the remaining scope. Added to actual costs to date, it produces the estimate-at-completion (EAC) — the current projection of the project’s total final cost. If EAC exceeds the approved budget, the project is projected to overrun. This projection, calculated monthly, gives both parties the information needed to make decisions while there is still time to make them. A project with a $600,000 budget where $200,000 has been spent, and the cost-to-complete is $440,000, has an EAC of $640,000 — a projected $40,000 overrun visible at month three, not at the final invoice. The earlier this information is visible, the more options are available for responding to it.