Enter BAC, PV, EV and AC to instantly get CV, SV, CPI, SPI, EAC, ETC, VAC and TCPI, with plain-English meaning for the PMP exam.
Earned Value Management compares three numbers: what you planned to do (PV), what you actually did (EV) and what it actually cost (AC). Everything else is a ratio or difference of these.
| Measure | Formula | Good when |
|---|---|---|
| Cost Variance | CV = EV − AC | positive |
| Schedule Variance | SV = EV − PV | positive |
| CPI | EV ÷ AC | > 1 |
| SPI | EV ÷ PV | > 1 |
| EAC | BAC ÷ CPI (default) | — |
| ETC | EAC − AC | — |
| VAC | BAC − EAC | positive |
| TCPI | (BAC − EV) ÷ (BAC − AC) | ≤ 1 |
Read the question for the trigger phrase: "current variance will continue" → BAC÷CPI; "variance was a one-off / atypical" → AC + BAC − EV; "both cost and schedule performance influence the outcome" → the CPI×SPI formula.
A CPI or SPI of 1.0 or higher is good. Below 1.0 means over budget (CPI) or behind schedule (SPI).
Use BAC ÷ CPI when current cost performance is expected to continue. Use AC + (BAC − EV) when the variance was a one-time event. Use AC + (BAC − EV) ÷ (CPI × SPI) when both cost and schedule affect the result. If a new estimate is given, use AC + bottom-up ETC.
It means the team must be more efficient than so far to finish within the target. The higher it is above 1, the harder the recovery.