Longest sequence of activities in a project plan which must be completed on time for the project to complete on due date. An activity on the critical path cannot be started until its predecessor activity is complete; if it is delayed for a day, the entire project will be delayed for a day unless the activity following the delayed activity is completed a day earlier. For proper function of a critical path, the project should have just 1 starting and 1 ending task and the tasks should be connected with relations.
Plan ( Planned Cash flow) Reality (Real Cash flow) EAC (in past time and present time is real Cash Flow "Reality"; in future time is plan Cash Flow "Plan") Difference (real cash flow minus planned cash flow = "Real - Plan") EAC = "Estimate at completion" – As of now, how much do we expect the total project will cost?