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PK0-005 A project is in the execution phase Practice Question

A project is in the execution phase. The project manager discovers that the actual cost performance index (CPI) is 0.8 and the schedule performance index (SPI) is 0.9. What does this indicate about the project?

⚠ Common exam trap

Many exam-takers confuse the direction of the index values, mistakenly thinking a CPI or SPI below 1.0 means under budget or ahead of schedule, when in fact values less than 1.0 indicate unfavorable performance (over budget or behind 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 over budget and behind schedule.

A CPI of 0.8 means the project is earning only $0.80 for every $1.00 spent, indicating it is over budget. An SPI of 0.9 means the project is progressing at 90% of the planned rate, indicating it is behind schedule. Therefore, the project is both over budget and behind schedule, making option D correct.

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 budget but behind schedule.
Why it's wrong here
CPI<1 means over budget, not on budget.
✗
The project is over budget and ahead of schedule.
Why it's wrong here
SPI<1 means behind schedule, not ahead.
✗
The project is under budget and ahead of schedule.
Why it's wrong here
CPI and SPI less than 1 indicate over budget and behind schedule.
✓
The project is over budget and behind schedule.
Why this is correct
CPI=0.8 (over budget), SPI=0.9 (behind schedule).

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PK0-005 A project is in the execution phase Practice Question

Why each option matters

Option-by-option breakdown

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