A Cost Variance Index (CVI) threshold value is expressed as a ratio. An issue is generated if the CVI (the ratio of the cost variance to the earned value of work performed) falls beyond the threshold values.
The Cost Variance Index is calculated as CVI = Cost Variance (CV) / Earned Value Cost.
A value less than 0 indicates that actual costs have exceeded the value of work performed.
If the lower threshold value is 0, an issue is generated whenever the actual costs exceed the value of the work performed.