Abstract: The present invention describes an improved method of calculating the bipolar violation rate (BPV) in DS1 signal transmission which may be implemented in a computer program subroutine which efficiently and without undue processing steps will accurately generate alarms when the bipolar violation rate exceeds predetermined service affecting and non-service affecting and other desired thresholds. These rates are automatically computed over different time intervals depending upon the quantity of errors which are detected such that for the case of a large number of errors only a short duration time interval is examined in the course of calculation of the bipolar violation rate while in the case of few errors a longer timing interval is automatically examined and utilized in the course of calculation of the bipolar violation rate, all for the purpose of accurately generating alarms when necessary.