Assignment 3 "с Earned Value & Forecasting

Cost Variance (CV) can be calculated as the difference between budgeted cost and actual cost of work performed which is equal to (868,000-1,005,000) i.e. - 137,000. A negative cost variance here implies that the project is over-budget by the end of period 8. The Cost Performance Index (CPI) is given by the ratio of budgeted cost of work performed to the actual cost of work performed i.e. (868,000/1,005,000) which is equal to .86. As the Cost Performance Index is less than 1, it again implies that the project is over-budget.