Your team put together the Gantt Chart for this project and the Business Sponsor approved it. This signals the approval of your project's scope. Now it's time to determine how much it will cost to deliver this project's scope. In other words, we're building the project's budget.

1. Your first step is to create the structure of your budget. Please use the provided Microsoft Excel and your Gantt chart.

1. Your second step is to estimate the labour and non-labour costs.

Estimating labour costs requires you to estimate how long the work will take (durations) and how much you will pay the people performing the work. Use the duration estimates provided in your Gantt chart.

As a group, determine the hourly rates for the human resources required.

With respect to the non-labour costs of this project, consider the equipment and materials or rental space required to complete the project. Ensure you document your assumptions clearly. This includes a description of what the cost represents and how you determine the dollar amounts.

1. Your third step is to create the total budget.

This requires you to sum up the costs of each major deliverable. Create subtotals at the major deliverable level. Create subtotals for the labour and non-labor costs as well. Use formulas whenever possible so you fully harness the power of Microsoft Excel.

Establish a reasonable contingency for this project. You are free to make any assumptions you like; simply ensure they are well documented.

1. Your final step is to create the time-phased budget.

As discussed in class, the objective of the time-phased budget is to determine the cash flow needs of the project. for creating a time-phased budget, you need to consider when the work will be done. Refer to your Gantt chart and activities duration for guidance.