Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

0 1 4 5 You are working as the Project manager of a residential land development project which consists of six major activities. Activity A-Clearing

image text in transcribed
0 1 4 5 You are working as the Project manager of a residential land development project which consists of six major activities. Activity A-Clearing (starting activity), Activity B- Excavation (starts after Activity A is finished), Activity C-Sewer, water, and drainage 2 (also starts after Activity A is finished), Activity D- Curbing and paving, and Activity - Vegitation and Landscaping (both 3 activities D and E start just after completion of both the Activity B, and the Activity C). Activity F (Marking and boundary setting) starts just after completion of Activity D and activity E. The following Table 1 shows the direct costs (labour, material and other direct overhead cost) for each activity, the duration of the activities, and their sequences. On top of this direct costs, you have to spend $ 25,000 indirect costs for staff salary, and other indirect overhead costs which were planned to be spent uniformly over the project life. According to the contract condition, you are receiving 12% mark-up (profit) for the whole project, and each period's progress payment will be made at the end of the following period (such as period 1 payment will be made at the end of period 2). Assume a weekly quantity proportional charge cashflow method. Table 1: Details of the activities 5 3 Direct Costs Duration (wks Immediate Preceding activity Activity A-Clearin 20000 1 Starting Activity Activity B-Excava 80000 4 Activity A Activity C-Sewer, 120000 4 Activity A Activity D-Curb & 50000 3 Activity B and C Activity E-vegital 75000 2 Activity Band Activity F -- Marki 15000 1 Activity E a) Estimate the week by week overdrafts. b) Average overdraft. Mavimum overdraft. 0 1 4 5 You are working as the Project manager of a residential land development project which consists of six major activities. Activity A-Clearing (starting activity), Activity B- Excavation (starts after Activity A is finished), Activity C-Sewer, water, and drainage 2 (also starts after Activity A is finished), Activity D- Curbing and paving, and Activity - Vegitation and Landscaping (both 3 activities D and E start just after completion of both the Activity B, and the Activity C). Activity F (Marking and boundary setting) starts just after completion of Activity D and activity E. The following Table 1 shows the direct costs (labour, material and other direct overhead cost) for each activity, the duration of the activities, and their sequences. On top of this direct costs, you have to spend $ 25,000 indirect costs for staff salary, and other indirect overhead costs which were planned to be spent uniformly over the project life. According to the contract condition, you are receiving 12% mark-up (profit) for the whole project, and each period's progress payment will be made at the end of the following period (such as period 1 payment will be made at the end of period 2). Assume a weekly quantity proportional charge cashflow method. Table 1: Details of the activities 5 3 Direct Costs Duration (wks Immediate Preceding activity Activity A-Clearin 20000 1 Starting Activity Activity B-Excava 80000 4 Activity A Activity C-Sewer, 120000 4 Activity A Activity D-Curb & 50000 3 Activity B and C Activity E-vegital 75000 2 Activity Band Activity F -- Marki 15000 1 Activity E a) Estimate the week by week overdrafts. b) Average overdraft. Mavimum overdraft

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Life Audit Journal What Is My Why

Authors: A S

1st Edition

B08F6TXV7Z, 9798672209692

More Books

Students also viewed these Accounting questions

Question

1. What are five ways to create you-attitude? (LO 3-1)

Answered: 1 week ago