CCP CCP Earned Value Management

Question 1

Which EVM metric represents the authorized budget assigned to scheduled work?

Accepted Answer

Planned Value (PV)

Answer

Planned Value (PV) is the authorized budget assigned to the work scheduled to be accomplished, also called the Budgeted Cost of Work Scheduled (BCWS).

Question 2

A project has EV = $120,000 and AC = $150,000. What is the Cost Performance Index (CPI)?

Accepted Answer

0.80

Answer

CPI = EV / AC = $120,000 / $150,000 = 0.80, meaning the project is getting only $0.80 of value for every $1.00 spent.

Question 3

The Schedule Variance (SV) formula in Earned Value Management is:

Accepted Answer

EV - PV

Answer

Schedule Variance = EV minus PV; a negative SV means the project is behind schedule in cost terms.

Question 4

Estimate at Completion (EAC) using the formula EAC = BAC / CPI assumes:

Accepted Answer

Future work will continue at the current cost efficiency rate

Answer

EAC = BAC / CPI assumes the cost performance experienced to date will continue for all remaining work.

Question 5

Which EVM baseline combines scope, schedule, and cost and is used to measure project performance?

Accepted Answer

Performance Measurement Baseline (PMB)

Answer

The Performance Measurement Baseline (PMB) is the time-phased budget plan against which project performance is measured, integrating scope, schedule, and cost.

CCP - Certified Cost Professional Practice Test

CCP - Certified Cost Professional Practice Test

CCP CCP Earned Value Management