Question 3 [Total 15 marks]

Nowadays prefabricated buildings are getting popular. Prefabricated buildings are made of portable modular structures that can be easily installed in any area and are produced in a factory environment in a very short time, and are installed in the place where installation and assembly are requested and with a modular structure.

You are required to estimate the total costs for 20 modular structures for constructing a prefabricated school building. Each structure provides 1000 square feet of floor space. In 2017, you had experience in producing a similar but smaller (500 square feet of floor space) structure consisting of the same materials and having the same ceiling height. Assume the total costs for each structure have three cost components material costs, manufacturing costs, and costs for one special structure.

The total material cost for one similar but smaller structure in 2017 was $250,000, and the cost capacity factor is 0.6. The cost index values for 2017 and 2022 are 200 and 300 respectively.

The manufacturing costs for the first 1,000 square-feet structure was $800,000. Assume a learning curve of 90% learning rate. For cost estimation purpose, use the cost of the 100^th structure for estimating the manufacturing cost for one modular structure in 2022.

(a) Estimate the total material costs for 20 modular structures in 2022. Round off your final answer to the nearest thousand.

(b) Estimate the total manufacturing costs for 20 modular structures in 2022. Round off your final answer to the nearest thousand.

(c) Assuming one special structure currently costs $200,000. Estimate the total costs for 20 modular structures in 2022. Round off your final answer to the nearest thousand.

Question 3 [Total 15 marks] Nowadays prefabricated buildings are getting popular. Prefabricated buildings are made of portable modular structures that can be easily installed in any area and are produced in a factory environment in a very short time, and are installed in the place where installation and assembly are requested and with a modular structure. You are required to estimate the total costs for 20 modular structures for constructing a prefabricated school building. Each structure provides 1000 square feet of floor space. In 2017, you had experience in producing a similar but smaller (500 square feet of floor space) structure consisting of the same materials and having the same ceiling height. Assume the total costs for each structure have three cost components material costs, manufacturing costs, and costs for one special structure. The total material cost for one similar but smaller structure in 2017 was $250,000, and the cost capacity factor is 0.6. The cost index values for 2017 and 2022 are 200 and 300 respectively. The manufacturing costs for the first 1,000 square-feet structure was $800,000. Assume a learning curve of 90% learning rate. For cost estimation purpose, use the cost of the 100th structure for estimating the manufacturing cost for one modular structure in 2022. (a) Estimate the total material costs for 20 modular structures in 2022. Round off your final answer to the nearest thousand. (b) Estimate the total manufacturing costs for 20 modular structures in 2022. Round off your final answer to the nearest thousand. (c) Assuming one special structure currently costs $200,000. Estimate the total costs for 20 modular structures in 2022. Round off your final answer to the nearest thousand. Question 3 [Total 15 marks] Nowadays prefabricated buildings are getting popular. Prefabricated buildings are made of portable modular structures that can be easily installed in any area and are produced in a factory environment in a very short time, and are installed in the place where installation and assembly are requested and with a modular structure. You are required to estimate the total costs for 20 modular structures for constructing a prefabricated school building. Each structure provides 1000 square feet of floor space. In 2017, you had experience in producing a similar but smaller (500 square feet of floor space) structure consisting of the same materials and having the same ceiling height. Assume the total costs for each structure have three cost components material costs, manufacturing costs, and costs for one special structure. The total material cost for one similar but smaller structure in 2017 was $250,000, and the cost capacity factor is 0.6. The cost index values for 2017 and 2022 are 200 and 300 respectively. The manufacturing costs for the first 1,000 square-feet structure was $800,000. Assume a learning curve of 90% learning rate. For cost estimation purpose, use the cost of the 100th structure for estimating the manufacturing cost for one modular structure in 2022. (a) Estimate the total material costs for 20 modular structures in 2022. Round off your final answer to the nearest thousand. (b) Estimate the total manufacturing costs for 20 modular structures in 2022. Round off your final answer to the nearest thousand. (c) Assuming one special structure currently costs $200,000. Estimate the total costs for 20 modular structures in 2022. Round off your final answer to the nearest thousand