Holly is the project manager of the NDS project and she is 85 percent complete with her project
though she should be 95 percent complete. Her project has a BAC of $9,850,400 and she has
spent $8,011,221 to date. What is Holly’s schedule variance for this project?

A.
$163,626

B.
$130,901

C.
-$985,040

D.
0.16

Explanation:
The schedule variance for a project can be found by subtracting the planned value from the
earned value. In this instance, it would be as follows:
SV = EV – PV
=(0.85*9,850,400) – (0.95*9,850,400)
= 8,372,840 – 9,357,880
=-985,040
Schedule variance (SV) is a measure of schedule performance on a project. The variance notifies
that the schedule is ahead or behind what was planned for this period in time. The schedule
variance is calculated based on the following formula: SV = Earned Value (EV) – Planned Value
(PV) If the resulting schedule is negative, it indicates that the project is behind schedule. A value
greater than 0 shows that the project is ahead of the planned schedule. A value of 0 indicates that
the project is right on target.
Answer option B is incorrect. $130,901 is the cost variance.
Answer option A is incorrect. $163,626 is the variance at completion for this project.
Answer option D is incorrect. 0.16 is the difference between the schedule performance index of
.84 and a perfect schedule.