PK0-005 Project Life Cycle Practice Question
A project has a cost performance index (CPI) of 0.8 and a schedule performance index (SPI) of 1.2. Which TWO conclusions can be drawn? (Select TWO.)
⚠ Common exam trap
The trap is inverting the CPI and SPI thresholds — candidates forget that values below 1.0 are bad (over budget / behind schedule) and values above 1.0 are good (under budget / ahead of schedule).
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
✓
The project is ahead of schedule
Option B is correct because an SPI of 1.2 is greater than 1.0, which indicates that the project is ahead of schedule, as earned value exceeds planned value. Option E is correct because a CPI of 0.8 is less than 1.0, which indicates that the project is over budget, as the cost of work performed exceeds the earned value. Option A is incorrect because the project is neither on schedule nor on budget, given SPI > 1 and CPI < 1. Option C is incorrect because a CPI below 1.0 means the project is over budget, not under budget. Option D is incorrect because an SPI above 1.0 means the project is ahead of schedule, not behind schedule.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✗
The project is on schedule and on budget
Why it's wrong here
CPI of 0.8 shows cost overrun and SPI of 1.2 shows schedule gain, so the project is neither on budget nor on schedule. It is tempting because indices near 1.0 suggest stability, and this conclusion would hold only if both CPI and SPI equalled 1.0.
- ✓
The project is ahead of schedule
Why this is correct
An SPI of 1.2 exceeds 1.0, meaning earned value outpaces planned value, so the project is ahead of schedule. This satisfies the schedule constraint directly, independent of the CPI of 0.8, which indicates cost overrun. SPI measures schedule efficiency only, so the ahead-of-schedule conclusion holds.
- ✗
The project is under budget
Why it's wrong here
A CPI of 0.8 means each unit of work costs more than planned, so the project is over budget. It is tempting because SPI of 1.2 indicates good schedule performance, and under budget would be correct only if CPI exceeded 1.0.
- ✗
The project is behind schedule
Why it's wrong here
An SPI of 1.2 exceeds 1.0, meaning the project is ahead of schedule, not behind. It is tempting because a CPI of 0.8 signals poor cost performance, and teams often assume both indices move together; behind schedule would be correct if SPI were below 1.0.
- ✓
The project is over budget
Why this is correct
A CPI of 0.8 means every £1 spent delivers only £0.80 of earned value, so the project is over budget — the cost-efficiency constraint in the stem is breached. This conclusion follows directly from CPI falling below 1.0, independent of the healthy SPI of 1.2.
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Written and reviewed by Johnson Ajibi, MSc IT Security
Senior Network & Security Engineer · founder of Courseiva
Last reviewed September 2026 · checked against the official CompTIA exam blueprint
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