PMP Formula of the Week: What is the CPI?

September 14, 2015 Guest Authors Cisco, Cloudera, Featured, Professional Development, Project Management, Routing & Switching, Technology, Training in Business

What is the CPI if PV = $10,000, EV = $9,000 and AC = $9,000?

A. 0
B. 1
C. 0.9
D. –0.9

Reveal Answer

The correct answer is B.

CPI (cost performance index) = EV (earned value) ÷ AC (actual cost). In this scenario, $9,000 ÷ $9,000 = 1.

All other answers are incorrect based on the correct formula to find the CPI.

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