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PK0-005 Practice Question: A project has earned value (EV) of $50,000,…

A project has earned value (EV) of $50,000, actual cost (AC) of $60,000, and planned value (PV) of $55,000. What is the cost performance index (CPI)?

⚠ Common exam trap

Candidates often confuse CPI with SPI (schedule performance index), leading candidates to mistakenly divide EV by PV instead of EV by AC, which yields option A (0.91).

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

✓

0.83

The cost performance index (CPI) is calculated as EV divided by AC. With EV = $50,000 and AC = $60,000, CPI = 50,000 / 60,000 = 0.8333, which rounds to 0.83. A CPI less than 1.0 indicates the project is over budget, as each dollar of work completed costs more than planned.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • ✗

    0.91

    Why it's wrong here

    This value is SPI (EV/PV = 50,000/55,000 ≈ 0.91), not CPI.

  • ✗

    1.20

    Why it's wrong here

    This is the inverse of CPI (AC/EV = 1.2), not CPI itself.

  • ✓

    0.83

    Why this is correct

    CPI = EV/AC = 50,000/60,000 = 0.8333.

  • ✗

    1.10

    Why it's wrong here

    This does not match the correct calculation.

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JA

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.