📌 The Golden EVM Rule

For every variance and index formula on the PMP exam, Earned Value (EV) always comes first. Variances are Subtraction (EV - ...). Indexes are Division (EV / ...).

VISUAL FRAMEWORK: THE 3-STEP EVM DECODER 1. The 3 Inputs ($) PV = Planned Value EV = Earned Value AC = Actual Cost 2. Variances (Subtraction) SV = EV - PV Positive = Ahead of Schedule CV = EV - AC Positive = Under Budget 3. Indexes (Division) SPI = EV / PV > 1.0 = Ahead of Schedule CPI = EV / AC > 1.0 = Under Budget

How to Solve Any EVM Scenario on the PMP Exam

When you encounter an EVM situational question on the PMP exam, follow this 3-step decision flow:

  • Step 1: Identify EV. What is the monetary value of the work physically completed?
  • Step 2: Check Schedule (PV). Is EV greater than PV? If yes, you are ahead of schedule.
  • Step 3: Check Cost (AC). Is EV greater than AC? If yes, you are under budget.