PK0-003 · Question #182
A project manager has calculated their project to have a SV of -$5,000. Which of the following conclusions is correct?
The correct answer is C. The project is behind schedule. This question assesses the understanding of Schedule Variance (SV) in Earned Value Management (EVM) and how to interpret a negative value.
Question
A project manager has calculated their project to have a SV of -$5,000. Which of the following conclusions is correct?
Options
- AThe project is over budget
- BThe project baseline is incorrect
- CThe project is behind schedule
- DThe project is under budget
How the community answered
(19 responses)- A5% (1)
- B16% (3)
- C79% (15)
Why each option
This question assesses the understanding of Schedule Variance (SV) in Earned Value Management (EVM) and how to interpret a negative value.
Being over budget is indicated by a negative Cost Variance (CV = EV - AC), not Schedule Variance (SV).
A negative SV indicates a deviation from the schedule baseline, but it does not imply the baseline itself is incorrect; rather, it shows performance is lagging against that baseline.
Schedule Variance (SV) is calculated as Earned Value (EV) minus Planned Value (PV). A negative SV (SV < 0), such as -$5,000, indicates that less work has been completed than planned for the current point in time, meaning the project is behind schedule.
Being under budget is indicated by a positive Cost Variance (CV > 0), not Schedule Variance (SV).
Concept tested: Earned Value Management - Schedule Variance interpretation
Source: https://www.pmi.org/learning/library/earned-value-management-calculation-analysis-8215
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