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You are working as the Project manager of a residential land development project which consists of six major activities. Activity A - Clearing ( starting

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 (also
starts after Activity A is finished), Activity D- Curbing and paving, and Activity E-Vegitation and Landscaping ( both 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
a) Estimate the week by week overdrafts.
b) Average overdraft.
c) Maximum overdraft.
d) Comment on the outcomes.
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