- A
Costs are higher than planned for the work performed
AC > EV shows cost overrun.
- B
The project is ahead of schedule
Why wrong: PV > EV indicates behind schedule.
- C
The project is under budget
Why wrong: AC > EV shows over budget.
- D
The scope was increased without adjusting the budget
Why wrong: Scope increase would likely increase EV proportionally.
Question 196 of 892
PMP Process — Managing Technical Aspects Practice Question
This PMP practice question tests your understanding of process — managing technical aspects. Read the scenario carefully and evaluate each option against the stated constraints before committing to an answer. After answering, compare your reasoning against the explanation and wrong-answer breakdown below. Once you have made your selection, read the full explanation to reinforce the concept and understand why each distractor is designed to mislead on exam day.
You are managing a project that is 15% over budget at the midpoint. The earned value (EV) is $100,000, actual cost (AC) is $115,000, and planned value (PV) is $110,000. What is the most likely reason for the cost variance?
Clue words in this question
Noticing these words before you look at the options changes how you read each choice.
Clue:
"most likely"Why it matters: Probability qualifier — the question wants the most probable cause or outcome, not a guaranteed one. Eliminate low-probability options.
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
✓
Costs are higher than planned for the work performed
The cost variance (CV = EV - AC) is -$15,000, indicating a cost overrun. This means the actual cost to complete the work performed ($115,000) exceeded the earned value ($100,000), so costs are higher than planned for the work performed. Option B is incorrect because SV = EV - PV = -$10,000, meaning the project is behind schedule, not ahead. Option C is incorrect because AC > EV and AC > PV, so the project is over budget. Option D is less likely because a scope increase would typically increase EV if the additional scope is being performed, and the budget might be adjusted accordingly; the given data does not support scope increase as the primary cause.
Key principle: Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Answer analysis
Option-by-option breakdown
For each option: why learners choose it and why it is or isn't the right answer here.
- ✓
Costs are higher than planned for the work performed
Why this is correct
AC > EV shows cost overrun.
Clue confirmation
The clue word "most likely" in the question point toward this answer.
Related concept
Read the scenario before looking for a memorised answer.
- ✗
The project is ahead of schedule
Why it's wrong here
PV > EV indicates behind schedule.
- ✗
The project is under budget
Why it's wrong here
AC > EV shows over budget.
- ✗
The scope was increased without adjusting the budget
Why it's wrong here
Scope increase would likely increase EV proportionally.
Common exam traps
Common exam trap: answer the scenario, not the keyword
Many certification questions include familiar terms but test a specific constraint. Read the exact wording before choosing an answer that is generally true but wrong for this case.
Trap categories for this question
Command / output trap
AC > EV shows over budget.
Detailed technical explanation
How to think about this question
This question should be treated as a scenario, not a definition check. Identify the problem, the constraint and the best action. Then compare each option against those facts.
KKey Concepts to Remember
- Read the scenario before looking for a memorised answer.
- Find the constraint that changes the correct option.
- Eliminate answers that are true in general but not in this case.
- Use explanations to understand the rule behind the answer.
TExam Day Tips
- Underline the problem statement mentally.
- Watch for words such as best, first, most likely and least administrative effort.
- Review why wrong options are wrong, not only why the correct option is correct.
Key takeaway
Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Real-world example
How this comes up in practice
A practitioner preparing for the PMP exam encounters this exact type of scenario on the job. The correct answer here is not the most general option — it is the best answer for the specific constraint described. Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option. Real exam questions reward reading the full scenario before eliminating options, because the constraint defines which answer fits.
What to study next
Got this wrong? Here's your next step.
Identify which PMP exam domain this question belongs to, then review the specific concept being tested. Practise related questions in that domain and focus on understanding why each wrong answer is tempting — not just why the correct answer is right.
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Process — Managing Technical Aspects — study guide chapter
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FAQ
Questions learners often ask
What does this PMP question test?
Process — Managing Technical Aspects — This question tests Process — Managing Technical Aspects — Read the scenario before looking for a memorised answer..
What is the correct answer to this question?
The correct answer is: Costs are higher than planned for the work performed — The cost variance (CV = EV - AC) is -$15,000, indicating a cost overrun. This means the actual cost to complete the work performed ($115,000) exceeded the earned value ($100,000), so costs are higher than planned for the work performed. Option B is incorrect because SV = EV - PV = -$10,000, meaning the project is behind schedule, not ahead. Option C is incorrect because AC > EV and AC > PV, so the project is over budget. Option D is less likely because a scope increase would typically increase EV if the additional scope is being performed, and the budget might be adjusted accordingly; the given data does not support scope increase as the primary cause.
What should I do if I get this PMP question wrong?
Identify which PMP exam domain this question belongs to, then review the specific concept being tested. Practise related questions in that domain and focus on understanding why each wrong answer is tempting — not just why the correct answer is right.
Are there clue words in this question I should notice?
Yes — watch for: "most likely". Probability qualifier — the question wants the most probable cause or outcome, not a guaranteed one. Eliminate low-probability options.
What is the key concept behind this question?
Read the scenario before looking for a memorised answer.
About these practice questions
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Last reviewed: Jun 21, 2026
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