What is the purpose of a cost performance index (CPI)?
A) indicate that a project is under budget if CPI is less than one
B) estimate the projected cost of completing the project
C) indicate that the planned and actual costs are equal if CPI is more than one
D) estimate the ratio of earned value to planned value

Question

Quizplus · Accepted Answer

The cost performance index (CPI) is the ratio of earned value to actual cost; it can be used to estimate the projected cost of completing the project.

What Is the Purpose of a Cost Performance Index (CPI)