Question

Halfway through a predictive project, the project manager reviews earned value data. The budget at completion (BAC) is $200,000. The earned value (EV) is $90,000, the actual cost (AC) is $110,000, and the planned value (PV) is $100,000. What does this data tell the project manager about the project's cost performance?

Accepted Answer

The project is over budget because it has spent more than the value of the work completed

Answer

The project is under budget because more work is planned than completed

Answer

The project is exactly on budget because actual cost is close to planned value

Answer

Cost performance cannot be determined without knowing the estimate to complete (ETC)