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Earned Value Management Flashcards

7 cards from real CPP practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

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  1. A project has a Budget at Completion (BAC) of $200,000 and is 40% complete at the scheduled midpoint. The actual cost so far is $95,000. What is the Cost Performance Index (CPI)?

    Answer: 0.84

    EV = 40% × $200,000 = $80,000; CPI = EV/AC = $80,000/$95,000 ≈ 0.84.

  2. Which EVM metric specifically measures how efficiently the project team is using the time allocated?

    Answer: SPI

    Schedule Performance Index (SPI) = EV/PV and measures schedule efficiency.

  3. A project's Estimate at Completion (EAC) calculated as BAC/CPI is best used when:

    Answer: Past cost performance is expected to continue

    EAC = BAC/CPI assumes the current CPI will persist for all remaining work.

  4. If a project's SPI is 0.90 and its CPI is 1.10, which statement best describes the project status?

    Answer: Behind schedule but under budget

    SPI 1 indicates under budget (cost efficient).

  5. The Variance at Completion (VAC) formula is:

    Answer: BAC − EAC

    VAC = BAC − EAC; a negative VAC indicates a projected cost overrun.

  6. Which term describes the authorized budget assigned to scheduled work?

    Answer: Planned Value (PV)

    Planned Value (PV), also called BCWS, is the authorized budget for work scheduled by a given date.

  7. A project manager recalculates EAC as AC + (BAC − EV). This formula assumes:

    Answer: The remaining work will be completed at budgeted rates

    EAC = AC + (BAC − EV) assumes the remaining work proceeds exactly as originally planned.