In earned value management, which term is the budgeted cost for the work actually performed?

In earned value management, which term is the budgeted cost for the work actually performed?

• A. Budgeted Cost for the Work Schedule (BCWS)
• B. Budget at Completion (BAC)
• C. Actual Cost of Work Performed (ACWP)
• D. Budgeted Cost for the Work Performed (BCWP)

Answer: (D)

In earned value management, three values track how the project is performing: Planned Value (the budgeted cost of the planned work), Earned Value (the budgeted cost of the work actually performed), and Actual Cost (the money spent). The phrase “budgeted cost for the work actually performed” is the Earned Value, BCWP. It represents the value, in budget terms, of the completed work and is the figure used to compare progress against both the plan and actual spending (leading to CPI and SPI calculations). The other terms describe different concepts: BCWS is the planned budget for the work scheduled, BAC is the total project budget, and ACWP is the actual cost incurred to perform the work.

In earned value management, three values track how the project is performing: Planned Value (the budgeted cost of the planned work), Earned Value (the budgeted cost of the work actually performed), and Actual Cost (the money spent). The phrase “budgeted cost for the work actually performed” is the Earned Value, BCWP. It represents the value, in budget terms, of the completed work and is the figure used to compare progress against both the plan and actual spending (leading to CPI and SPI calculations). The other terms describe different concepts: BCWS is the planned budget for the work scheduled, BAC is the total project budget, and ACWP is the actual cost incurred to perform the work.