Project budget - £170,000 Labour and Material costs - £153,000 Proposed Profit -
ID: 3196683 • Letter: P
Question
Project budget - £170,000
Labour and Material costs - £153,000
Proposed Profit - £17,000
Month and Year - June 12th 2004
Activity
Duration (Weeks)
A2
7
A3
10
A4
8
B3
4
B5
2
C6
3
D6
5
E6
2
F7
1
Status Update: Aug 27th 2004
Activity
% Complete
Actual Costs
Time Remaining (weeks)
A2
100
£23,500
0
A3
60
£19,200
4
A4
87.5
37,500
1
B3
50
8,000
2
B5
50
5,500
1
Work is linear with time and nonlinear with cost
Project planning budget
Identify the true status of the project along with the expected profit at completion.
Activity
Duration (Weeks)
A2
7
A3
10
A4
8
B3
4
B5
2
C6
3
D6
5
E6
2
F7
1
Activit 10 13 14 15 1 2000 3000 5000 4 12 A2 A3 A4 B3 B5 C6 D6 E6 F7 2000 3000 5000 4000 4000 4000 3000 4000 3000 3000 3000 3000 40000 40000 4000 4000 2000 1000 3000 6000 2000 1000 6000 4000 4000 4000 6000 5000 2000 4000 2000 3000 3000 3000 3000 3000 4000 2000 3000Explanation / Answer
Total spending on project till Aug 27th 2004 = (100% of A2 + 60% of A3 + 87.5% of A4 + 50% of B3 + 50% of B5)
= 23500+19200+37500+8000+5500 = 93700
total future spending on future after August 24th 2004 = (40% of A3 + 12.5% of A4 + 50% of B3 + 50% of B5 + 100% of C6 + 100% of D6 + 100% of E6 + 100% of F7)
= 9000 + 1000 + 9000 + 6000 + 8000 + 17000 + 4000 + 3000 = 57000
So, total expected spending on project = (total spending till Aug 24th 2004 + future expected spending after Aug 24th 2004)
= 93700 + 57000 = 150700
so, total expected profit on completion = 170000 - 150700 = 19300
Now total time to completion of project = 7+10+8+4+2+3+5+2+1 = 42 weeks
amount of work completed in time = 7+6+7+2+1 = 23 weeks
so,amount of work completed according to time taken = 23/42 = 54.76 %
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