CCT Earned Value Management

Question 1

What does Earned Value (EV) represent in Earned Value Management?

Accepted Answer

The budgeted value of work actually completed

Answer

The actual cost of work performed to date

Answer

The budgeted cost of work scheduled to be done

Answer

The forecasted cost at project completion

Question 2

Which formula correctly calculates the Cost Performance Index (CPI)?

Accepted Answer

CPI = EV / AC

Answer

CPI = AC / EV

Answer

CPI = PV / EV

Answer

CPI = EV / PV

Question 3

A Schedule Performance Index (SPI) of 0.85 indicates that the project is:

Accepted Answer

Behind schedule

Answer

Ahead of schedule

Answer

On schedule

Answer

Over budget

Question 4

What is the Budget at Completion (BAC)?

Accepted Answer

The total authorized budget for the project

Answer

The total actual cost incurred at project end

Answer

The estimated cost needed to finish remaining work

Answer

The variance between planned and actual costs

Question 5

Planned Value (PV) is also commonly referred to as:

Accepted Answer

Budgeted Cost of Work Scheduled (BCWS)

Answer

Budgeted Cost of Work Performed (BCWP)

Answer

Actual Cost of Work Performed (ACWP)

Answer

Estimate at Completion (EAC)

Question 6

If EV = $80,000 and AC = $95,000, what is the Cost Variance (CV)?

Accepted Answer

-$15,000

Answer

+$15,000

Answer

+$175,000

Answer

-$175,000

Question 7

What does a positive Schedule Variance (SV) indicate?

Accepted Answer

The project is ahead of schedule

Answer

The project is over budget

Answer

The project is under budget

Answer

The project is behind schedule