According to the PMBOK® Guide, specifically the Control Costs process, Earned Value Analysis (EVA) is used to assess project performance and progress. This involves calculating variances and indices based on Planned Value (PV), Actual Cost (AC), and Earned Value (EV).

To determine which indicator is correct, we must perform the standard calculations:

Cost Performance Index (CPI):

Formula: $CPI = \frac{EV}{AC}$

Calculation: $CPI = \frac{28}{35} = 0.80$

Interpretation: A CPI of 0.80 means the project is only getting 80 cents of value for every dollar spent. Since it is less than 1.0, the project is over budget.

Cost Variance (CV):

Formula: $CV = EV - AC$

Calculation: $CV = 28 - 35 = -7$

Interpretation: A negative CV indicates the project is over budget.

Schedule Variance (SV):

Formula: $SV = EV - PV$

Calculation: $SV = 28 - 30 = -2$

Interpretation: A negative SV indicates the project is behind schedule.

Schedule Performance Index (SPI):

Formula: $SPI = \frac{EV}{PV}$

Calculation: $SPI = \frac{28}{30} \approx 0.93$

Interpretation: An SPI of 0.93 means the project is progressing at 93% of the planned rate (behind schedule).

Why other options are incorrect:

Option A: The SV is actually -2, not 2. A positive 2 would incorrectly suggest the project is ahead of schedule.

Option C: The SPI is 0.93, not 1.93. An SPI of 1.93 would suggest the project is nearly twice as fast as planned.

Option D: The CV is -7, not 7. A positive 7 would incorrectly suggest the project is under budget.