Project Management Professional (PMP) Practice Exam

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Study for the Project Management Professional (PMP) Exam. Engage with multiple choice questions and detailed explanations to enhance your understanding of project management concepts. Prepare effectively for your certification!

Each practice test/flash card set has 50 randomly selected questions from a bank of over 500. You'll get a new set of questions each time!

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For a project, the following earned value data have been assessed: AC: $4,000,000 CV: $-500,000 SPI: 1.12 BaC: $9,650,000 What is the earned value of the project?

$3,000,000
$3,500,000
$4,480,000
$5,650,000

The correct answer is: $3,500,000

The earned value of the project can be derived by adding the actual cost (AC) and the earned value (EV). In this case, the actual cost is $4,000,000 and an unspecified earned value. We can calculate the earned value by subtracting the cost variance (CV) from the actual cost. However, the given CV is -$500,000, which means that the project is over budget. As a result, the earned value must be less than $4,000,000. Option A is incorrect because it is equal to the given actual cost. Option C does not take into account the cost variance and is therefore incorrect. Option D goes beyond the budget at $9,650,000, which is the budget at completion (BaC). The correct answer is B, $3,500,000, which takes into account the cost variance and satisfies the equation EV