A retaining-wall package on a hillside road shows negative cost variance. What does that mean for the associate reading the report?
Select an answer to reveal the explanation.
Short Explanation
Negative CV on the retaining wall means the dollars spent outran the value earned—over budget for the work done. It is not a secret code for being ahead on time or for automatic quality passes.
Full Explanation
Negative CV means AC > EV for the work performed, so the package is over budget relative to earned value. CV and SV answer different questions; one does not imply the other. Quality and remaining duration require their own measures.