Program Management Professional (PgMP) — Question 226

A program has a BAC of $1,750,000 and is expected to last two years. The program is currently at the third milestone which represents 35 percent of the program work. As it happens, this program has already spent $620,000 of the budget. Management is concerned that the program may also be slipping on schedule because the program should be forty percent complete by this time. Based on this information which type of performing is present in this scenario?

Answer options

• A. Schedule, because the program's planned value is only $700,000.
• B. Cost, because the program has a cost variance of -7,500
• C. Schedule, because the program has a schedule performance index of .88.
• D. Cost, because the program has an estimate to complete of $1,151,429.

Correct answer: C

Explanation

The correct answer is C because the schedule performance index (SPI) of .88 indicates that the project is behind schedule. Option A is incorrect as it relates to the planned value, while B discusses cost variance, which does not address the scheduling concern. Option D refers to the estimate to complete, which is also a cost-related issue, not a schedule performance issue.