Given the following cost expenditures for a small warehouse project (to include direct and indirect changes):

Calculate the peak financial requirement.

Sketch a diagram of the overdraft profile.

What would be the impact on the maximum overdraft of giving the contractor a $25,000 mobilization payment? (Show calculation.)

Assumptions:

The markup for this project is 12%.

Retainage is 10 percent throughout project.

Finance charge is 1.5 percent per month.

Payments are billed at the end of the month and are received one month later.