CPE CPE Performance Measurement & Reporting 1 — Questions and Answers
Question 1: Earned Value (EV) in project performance measurement is defined as:
- Actual cost incurred to date
- Budgeted cost of work scheduled
- Budgeted cost of work actually performed (Correct answer)
- Estimated cost at completion
Correct answer: Budgeted cost of work actually performed
EV represents the budget value of completed work, providing an objective measure of physical progress independent of actual spending.
Question 2: A Schedule Performance Index (SPI) of 0.85 indicates that the project is:
- Ahead of schedule
- On schedule
- Behind schedule — only 85 cents of scheduled work completed per dollar planned (Correct answer)
- Over budget
Correct answer: Behind schedule — only 85 cents of scheduled work completed per dollar planned
SPI = EV / PV; a value below 1.0 means less work has been accomplished than was planned, indicating a schedule shortfall.
Question 3: The Estimate at Completion (EAC) formula EAC = BAC / CPI is used when:
- Past cost performance is expected to improve significantly
- Current cost performance is expected to continue for the remainder of the project (Correct answer)
- Only schedule variances are considered
- The project has no remaining work
Correct answer: Current cost performance is expected to continue for the remainder of the project
This EAC formula assumes the cost performance index achieved to date will persist through project completion.
Question 4: Which document formally establishes the Performance Measurement Baseline (PMB) in a CPE-managed project?
- Project Charter
- Approved cost-loaded schedule integrated with the WBS and control accounts (Correct answer)
- Risk Register
- Contractor's invoice
Correct answer: Approved cost-loaded schedule integrated with the WBS and control accounts
The PMB is the time-phased budget baseline created by integrating the WBS, schedule, and budget into measurable control accounts.
Question 5: Look-Ahead schedules in performance measurement are typically prepared for a rolling window of:
- 12 months
- 3–6 weeks (Correct answer)
- 5 years
- 1 day
Correct answer: 3–6 weeks
A 3-to-6-week look-ahead gives field teams actionable near-term work plans while aligning with the master schedule.
Question 6: Which KPI directly measures the efficiency of schedule recovery efforts after a delay event?
- Budget at Completion (BAC)
- Recovery Schedule Efficiency — comparing actual vs. planned recovery milestones (Correct answer)
- Contingency drawdown rate
- Total float at project start
Correct answer: Recovery Schedule Efficiency — comparing actual vs. planned recovery milestones
Tracking actual recovery milestones against the recovery plan measures whether acceleration measures are producing the intended schedule improvements.
CPE CPE Performance Measurement & Reporting 1
Earned Value (EV) in project performance measurement is defined as: