PK0-005 Tools and Documentation Practice Question
A project has a budget at completion (BAC) of $200,000. After 3 months, the earned value (EV) is $80,000, and the actual cost (AC) is $100,000. What is the estimate at completion (EAC) assuming the cost performance index (CPI) will remain the same for the remainder of the project?
Answer choices
Why each option matters
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
✓
$250,000
CPI = EV / AC = $80,000 / $100,000 = 0.8. The formula EAC = BAC / CPI is used when current cost performance is expected to continue. EAC = $200,000 / 0.8 = $250,000.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
$220,000
Why it's wrong here
This is not derived from the correct formula.
- ✗
$300,000
Why it's wrong here
This would be if CPI = 0.667, but CPI = 0.8.
- ✓
$250,000
Why this is correct
The EAC of $250,000 is derived from the formula EAC = BAC / CPI, which applies when the cost performance index (CPI) is expected to remain constant for the remainder of the project. Given BAC = $200,000 and CPI = EV/AC = $80,000/$100,000 = 0.8, the calculation yields $200,000 / 0.8 = $250,000. This satisfies the constraint that the same CPI persists, reflecting no change in cost efficiency.
- ✗
$200,000
Why it's wrong here
Selecting $200,000 assumes the project will finish exactly on its original budget, which requires a CPI of 1.0. With an EV of $80,000 and an AC of $100,000, the CPI is 0.8, so the EAC formula BAC/CPI yields $250,000, not the BAC. This option is tempting because $200,000 is the BAC, and it would be correct if the project were on budget (CPI = 1.0), but the given cost overrun invalidates that assumption.
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Written by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
This PK0-005 practice question is part of Courseiva's free CompTIA certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the PK0-005 exam.