Question

_______________ is the difference between the cumulative earned value of the work performed and the cumulative actual cost. It is also the difference between BCWP (earned value) and ACWP (Actual cost of Work Performed).

A) Cost performance index
B) Cost variance
C) Budgeted costs
D) Cost quality index

Answer 1

Cost Variance is the correct answer that represents the difference between the earned value and the actual cost in project management.

Step-by-step explanation:

The difference between the cumulative earned value of the work performed and the cumulative actual cost is known as Cost Variance (CV). This term also refers to the difference between BCWP (Budgeted Cost of Work Performed) and ACWP (Actual Cost of Work Performed). The correct answer to this question is B) Cost Variance.The correct answer is B) Cost variance. Cost variance is the difference between the cumulative earned value of the work performed and the cumulative actual cost. It helps in determining whether the project is on budget or not. It is calculated by subtracting the actual cost of work performed (ACWP) from the earned value (BCWP).Cost Variance is the correct answer that represents the difference between the earned value and the actual cost in project management.