Cost variance is:
A)the planned value plus actual costs.
B)the earned value minus the actual cost.
C)the rate of performance minus earned value.
D)the planned value minus the rate of performance.

Question

Cost variance is:
A)the planned value plus actual costs. 
B)the earned value minus the actual cost. 
C)the rate of performance minus earned value. 
D)the planned value minus the rate of performance.

Quizplus · Accepted Answer

Cost variance (CV) is the earned value minus the actual cost. If cost variance is a negative number, it means that performing the work costs more than planned. If cost variance is a positive number, performing the work costs less than planned.

Cost Variance Is