CAM Advanced Techniques & Methods 2 — Questions and Answers
Question 1: A CAM notices a control account's cumulative CPI is 0.85 while the SPI is 1.05. What does this combination most likely indicate?
- Work is ahead of schedule but costing more than planned (Correct answer)
- Work is behind schedule and under budget
- The performance measurement baseline is corrupt
- Management reserve has been depleted
Correct answer: Work is ahead of schedule but costing more than planned
CPI below 1.0 indicates cost overrun while SPI above 1.0 indicates schedule performance ahead of plan.
Question 2: When using the 50/50 earned value technique on a work package, when is the remaining 50% of budget earned?
- When the work package is completed (Correct answer)
- At the midpoint of the planned duration
- When 50% of actual costs are incurred
- At each monthly status period
Correct answer: When the work package is completed
The 50/50 method earns half the budget when work starts and the remaining half only upon completion.
Question 3: Which formula calculates the To-Complete Performance Index (TCPI) based on the current Estimate at Completion (EAC)?
- (BAC − EV) ÷ (EAC − AC) (Correct answer)
- (BAC − AC) ÷ (EAC − EV)
- (EAC − EV) ÷ (BAC − AC)
- (EV − AC) ÷ (BAC − EAC)
Correct answer: (BAC − EV) ÷ (EAC − AC)
TCPI based on EAC divides the remaining work (BAC − EV) by the remaining funds (EAC − AC).
Question 4: A CAM must replan remaining work in an open control account without changing the total budget or contract milestones. What is this action called?
- Internal replanning (Correct answer)
- Over-target baseline
- Formal reprogramming
- Rubber baselining
Correct answer: Internal replanning
Internal replanning redistributes budget for future work within existing constraints without changing the contract budget base.
Question 5: Under EVMS guidelines, which practice is prohibited when closing out a completed work package with a cost variance?
- Transferring the remaining budget to mask the variance (Correct answer)
- Documenting the variance in the closeout record
- Retaining the variance in cumulative performance data
- Reporting the variance in the next IPMR submission
Correct answer: Transferring the remaining budget to mask the variance
Shifting budget to hide variances (retroactive changes) violates EVMS baseline discipline.
Question 6: Which earned value method is most appropriate for a level-of-effort (LOE) activity like project administration support?
- Earned value equals the planned value each period (Correct answer)
- Percent complete based on deliverables
- Weighted milestones
- Apportioned effort tied to a discrete base
Correct answer: Earned value equals the planned value each period
LOE earns value equal to its planned value automatically, so it never generates schedule variance.
Question 7: A control account's Variance at Completion (VAC) is calculated as BAC − EAC and equals −$120,000. What does this tell the CAM?
- The account is projected to overrun its budget by $120,000 (Correct answer)
- The account will underrun by $120,000
- The account is $120,000 behind schedule
- Management reserve of $120,000 must be added now
Correct answer: The account is projected to overrun its budget by $120,000
A negative VAC means the estimate at completion exceeds the budget at completion, projecting an overrun.
CAM Advanced Techniques & Methods 2
A CAM notices a control account's cumulative CPI is 0.85 while the SPI is 1.05.
What does this combination most likely indicate?