PMP Formula of the Week: S-Curve

An S-curve for your project’s PV, EV and AC show AC above PV and EV below PV. What does this indicate?

A. On budget and on schedule.
B. On budget but behind schedule.
C. Over budget but on schedule.
D. Over budget and behind schedule.

Reveal Answer

The correct answer is D.

With AC, Actual Cost, above and higher than PV, Planned Value, (CV = EV – AC), the outcome in the formula is negative and the project is over budget. With EV, earned value, below and lower than PV (SV = EV – PV), the outcome is also negative and the project is behind schedule.

Related Resources
PMP Exam Prep Mobile App
Project Management White Papers

Related Courses
IT Project Management
Project Management Fundamentals
Project Management, Leadership, and Communication
PMP Exam Prep Boot Camp

PMP Formula of the Week Series

• PMP Formula of the Week: Forecasting a Necessary CPI
• PMP Formula of the Week: Forecasting a Necessary CPI Based on an ETC
• PMP Formula of the Week: Ahead or Behind Schedule
• PMP Formula of the Week: Point of Total Assumption
• PMP Formula of the Week: Rent, Lease or Buy?
• PMP Formula of the Week: Risky Task
• PMP Formula of the Week: Earned Value Management Methodology
• PMP Formula of the Week: Schedule Performance Index of 1
• PMP Formula of the Week: TCPI
• PMP Formula of the Week: Fixed-Price Incentive Fee Contract
• PMP Formula of the Week: S-Curve

from
CERTIVIEW