In Earned Value Management Analysis,the Cumulative Amount of the Budget

question 102

Multiple Choice

In earned value management analysis,the cumulative amount of the budget becomes the:

• A)planned value.
• B)scheduled value.
• C)cost basis.
• D)cost driver.

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Definitions:

Variable Costs

Expenses that fluctuate in direct proportion to the production or sales volume, for instance, direct labor and raw materials.

Budgeting

The process of creating a plan to spend your money, allocating financial resources for various purposes over a specified period.

Machine-hours

A measure of the operating time of machines or equipment, typically used as a basis for allocating manufacturing overhead in product costing.

Supplies Costs

Supplies costs are expenses related to the consumable items used in the operation of a business, not directly part of the finished product.