Project Management Professional PMP · Free Practice Question Medium
Question 33
Monica is the project manager of the Cottage Project. With work and budget spread evenly, this project is scheduled to last 10 months. The project is now in its third month, and the work is on schedule. However, Monica has spent $65,000 of the $130,000 project budget. What is Monica's variance?
- A $64,999
- B $39,000
- C $65,000
- D $26,000
Reveal correct answer
Correct answer: D
Explanation
The correct response is $26,000. To calculate the variance, subtract the actual costs of $65,000 from the EV (earned value) of $39,000. To get the EV, take the 30 percent project completion rate against the BAC. The project is considered 30 percent complete because it is scheduled for 10 months, is now in month three, and is on schedule. $39,000 is incorrect because that is not the number you get when applying the correct calculation. $64,999 is incorrect because it is not the number you get when applying the calculation correctly. $65,000 is incorrect because it is not the number you get when calculating properly.Discussion
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