# Free PMP® Sample Questions: Test Exam Cost Controlling & Earned Value Analysis

The
PMP Certification exam includes questions on earned value management. PMP
earned value questions examine the PMP candidate's cost management knowledge
and experience. To successfully answer these questions in the PMP exam, you
must understand the earned value management formulas and how to apply them.

**Further Reading:** How
is Earned Value Calculated in Project Management?

Approximately
20-30 PMP Earned Value Questions will be included in the exam. And this
accounts for about 10-15% of the total **PMP
Exam**. As a result, successfully answering PMP earned value questions on the
PMP exam is essential to your PMP success.

Below
are **10 sample questions** that will assess your understanding of project
cost control, forecasting, and earned value analysis. Prepare your calculator
and stay focused!

1.
When you collect the earned value data for your project, you get the following
data: PV = $1,500,000, EV = $ 1,200,000, AC = $1,000,000. You expect the
factors for cost variance to continue in the same way in the future. The value
of the remaining work is $1,000,000. What should be the new EAC for the
project?

A.
$2,400,000

B.
$2,233,333

C.
$2,000,000

D.
$1,833,333

Correct
Answer: D

**Solution:** EAC= BAC/CPI, BAC =
1,200,000+1,000,000=2,200,000. CPI = EV/AC = 1,200,000/1,000,000 = 1.2. EAC =
2,200,000/1.2 = 1,833,333

2.
The latest Earned value report of the project shows CPI = 1.2, SPI = 0.8, PV =
$500,000, SV = -$220,000. What is the Cost Variance of the project?

A.
$486,666

B.
$280,000

C.
$46,666

D.
$233,333

Correct
Answer: C

**Solution:** EV= PV+SV = 500000 – 220000 = $280,000, AC =
EV/CPI =280000/1.2 = $233,333. CV = EV - AC = 280000 – 233333 = $46,666

3.
When you analyze earned value data for your project, you get the following
information:

CPI
= 0.84, and the EV is $48,000. How much money has been spent on the project?

A.
$40,320

B.
$57,145

C.
$37,654

D.
There is not enough information to calculate the actual cost

Correct
Answer: B

**Solution:** CPI = EV/AC; AC = EV/CPI = 48,000/0.84 =
57,145

4.
The project is budgeted at $1,000,000. The following earned value figures have
been derived. PV=$500,000, EV = $450,000, AC= $550,000. The cost variances in the
project are caused by one-time factors which are no more effective. What will
be the estimate at completion for the project?

A.
$1,000,000

B.
$1,100,000

C.
$900,000

D.
$1,222,222

Correct
answer: B

**Solution:** When the cost variance caused is one time and
not expected to continue (the future work will be accomplished at the planned
rate), EAC= AC+BAC-EV. EAC = 550000 + 1000000 – 450000 = 1,100,000

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5.
The earned value data for a project has been derived as below. PV=$400,000, EV=$400,000,
AC =$600,000. What is the burn rate of the project?

A.
0.66

B.
1

C.
1.6

D.
1.5

Correct
Answer: D

**Solution:** Burn rate is 1/CPI. CPI = EV/AC =
400000/600000 = 0.6666... Burn rate = 1/0.66666 =1.5

6.
You are managing a telecommunications project. The project is expected to be
completed in 10 months at the cost of $12000 per month. After two months, you
realize that the project is 30% completed at the expense of $60,000. What are
the Earned Value (EV) and the Cost Variance (CV)?

A.
EV = ($16,000); CV= $26,000

B.
EV = $16,000; CV= ($20,000)

C.
EV = $36,000; CV= $24,000

D.
EV = $36,000; CV= ($24,000)

Correct
Answer: D

**Solution: **BAC=12000*10 = 120000,
EV=30%*120000=36000, CV= EV - AC = 36000 - 60000 =-24000

7.
You are managing a constructions project. You have completed half the project
work. The total planned cost at this stage is $1000. The actual work that has
been completed at this stage is worth $1200. You have spent $1500 already on
the project. What is the CPI?

A.
0.5

B.
0.8

C.
4

D.
1.25

Correct
Answer: B

**Solution:** CPI = EV/AC = 1200/ 1500 = 0.8

8.
A software development project that you are managing has a budget at completion
of $400,000. At month seven, 65% of the work was planned to be complete but
stands at 50%. Actual cost is $275,000. What is the project's ETC?

A.
$55,000

B.
$389,855

C.
$289,000

D.
$275,000

Correct
Answer: D

**Solution: **CPI = 50% *400000/ 275000 = 0.72 EAC =
BAC/CPI = 400000/0.72 = 550000. ETC = EAC – AC = 550000-275000= 275000

9.
You perform an earned value analysis for your project, resulting in the
following numbers:

EV:
354,000; PV: 454,000; AC: 474,000. Which results are correct?

A.
CV: +120,000; SV: +100,000

B.
CV: +100,000; SV: +120,000

C.
CV: -100,000; SV: -120,000

D.
CV: -120,000; SV: -100,000

Correct
Answer: D

**Solution:** CV = EV – AC = 354,000 – 474,000 = -120,000;
SV = EV – PV = 354,000 – 454,000 = -100,000

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10.
During your project analysis, you understand that there is a cost-variance in
the project. Further analysis shows that it is a one-time variance caused by an
unexpected rework. You do not expect such a situation in the future. You would
like to get the Estimate at completion you’re your project, so you perform
earned value analysis and get the following data: EV = 2,000,000; PV =
1,500,000; AC = 2,500,000; BAC = 4,000,000. What is EAC?

A.
4,500,000

B.
5,000,000

C.
4,000,000

D.
5,500,000

Correct
Answer: A

**Solution:** When the variations are one-time, then EAC =
AC+BAC-EV = 2,500,000 + 4,000,000 – 2,000,000 = 4,500,000

**Summary**

Earned
Value Analysis, also known as Earned Value Management, is one of the more
challenging concepts in project management. Many practicing professionals are
perplexed by the concepts and meanings of earned value. However, after learning
with **SPOTO
training courses** and practicing with **SPOTO
latest exam dumps covering real exam questions**, you will find Earned Value
Analysis (EVA) concept is a lot simpler than it is made out to be. Pass your
PMP exam with **SPOTO** on the first
try!