Planned Value Means How Much Should Have Been Spent per Schedule
Planned Value establishes what the estimated value of the work that was planned to be done is worth. It is the money that you should have spent as outlined in the project schedule. In other words, Planned Value is the predetermined value of the work to be completed in a given time. It is part of cost management on the scheduling side and is used when calculating schedule variance and the schedule performance index. Planned Value provides us with the dollar worth of work complete.
Present Value vs. Net Present Value
There is a difference. Present Value is the expected value of the project in today’s dollars, while Net Present Value is the expected value in today’s dollars less the costs associated with the value of the work.
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