Question

A project manager is halfway through a construction project and reviews the earned value data. The planned value (PV) at this point is $200,000, the earned value (EV) is $170,000, and the actual cost (AC) is $165,000. The sponsor asks whether the project is ahead of or behind schedule. Which conclusion should the project manager report?

Accepted Answer

The project is behind schedule because EV is less than PV, producing a negative schedule variance.

Answer

The project is ahead of schedule because EV is greater than AC, producing a positive schedule variance.

Answer

The project is on schedule because AC is close to EV.

Answer

The project is behind schedule because AC is less than PV.