You are the project manager for your organization. Your current project has a schedule variance of - $37,500 and a schedule performance index of 0.94. What do these values mean in regard to project performance?

A schedule variance is found by subtracting the planned value from the earned value. A -$37,500 schedule variance is considerable for most projects, but combined with a schedule that is six percent off schedule is more serious. The size of the project, however, and the defined project budget, needs to be determined to evaluate how serious the variance is. 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. This project is not performing well based on the given information. Answer option A is incorrect. This project is likely to be late, but we do not know how costs are performing in this question. Answer option C is incorrect. There is not enough information to determine how well the project is performing from this answer.