Physical progress is the completion of a measurable portion of the deliverable in comparison to the total.  Physical completion is in no way linked to job hours budgeted or expended.  Work units are assigned to each line item or work activity, thus assigning a weight relative to the total estimated scope of work.  By estimating the percent complete for each item at the end of a reporting period, the current earned job hours are calculated.  The total current job hours divided by the total estimated job hours gives the percent complete or the physical progress for all summary levels used in reporting and analysis.