In the Osann Corporation, an advertising project is fore- cast to cost $100,000, generate $200,000 in additional variable contribution margin, and take 6 months to complete. It is now 4 months into the project, and $60,000 has been spent. Osann estimates that it is one-third done and that it will take another 8 months and $100,000 to complete the project. Current estimates now show that the forecast additional variable contribution margin will be $160,000. Osann is at a "go" or "no go" point on this project.

Required:
1. How does Osann report the project relative to the budget?
2. How does Osann report this project in its “plan of action,” if approved for continuation?
3. Should the project be “canned” or continued at this “go” or “no go” point?
Explain.