i need the answer quickly Q3/ A construction project have the following data in the table below:-Activity Duration(weeks)Activity totalcost (S)400Critical ActivityDependency3503A300450DE12960F15A. B600Total project cost = E Activity total cost ($)3060Required:-Calculate the contract value, the monthly value of the planned work to be completed(Budget value) and the monthly amounts (payments) that expected to be received(Expected payments) If the ratio of profit that the contractor desires is (20%) and thecontract for this type of project provides for the deduction of the amount of 5% (retentionrate) from value of monthly payments to pay 50 of the total deductions upon completion ofthe work and pay the remaining 50 after the end of the maintenance period of 3 monthsand the first monthily payment received after one month from the start of the project, Drawthe curves of the value of the planned work done and the amounts expected to be received.

The network diagram as per the above given details-

Answered: Q3/ A construction project have the…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter9: Decision Making Under Uncertainty

Section: Chapter Questions

Problem 30P

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n additional equipment (AE) costing$3,500,000 will be needed at the end of year 3. At the end of seven(7) years, the original equipment, IE, will have no resale value butthe supplementary equipment, AE, can be sold for $50,000. A workingcapital of $1,350,000 will be needed.The project is forecast to generate sales of agri-products over theseven years as follows:Year 1 70,000 unitsYear 2 100,000 unitsYears 3-5 250,000 unitsYears 6-7 325,000 unitsA sale price of $150 per unit for the first two years is expected andthen decline to $90 per unit thereafter as the newness of the productloses some sheen. The variable expenses will amount to 30% of salesrevenue. Fixed cash operating expenses will amount to $1,100,000 peryear.The company falls in the 25% tax category for ordinary income and 40%tax category for capital gain.The initial equipment is depreciated as per the 7-year MACRS systemand the additional equipment is depreciated on a straight-line basis.In the event of a negative taxable…
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Case – Recreational Park Project 2024 The public has recognized the benefits of recreation and parks as essential to their health and quality of life. A recent survey conducted in 2022 found that the construction of more recreational facilities was a top priority among residents of Lazarette Town on Fugit Island. As such, the town council in Lazarette, with the help of other key stakeholders, has sourced and secured three (3) million dollars of grant funding from the Caribbean Wellness Community (CWC) for the development of a mini outdoor recreational park on four (4) acres of land donated by a benevolent resident of the town. The park will contain sporting facilities among other recreational facilities (e.g., walking trails, children playground, tennis court, basketball court, work-out stations, benches, shower facilities, an Olympic size swimming pool, restrooms etc.). All major key stakeholders and sponsors have unanimously agreed that that the facility should cater for residents of…
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Rare Agri-Products Ltd. is considering a new project with a projected life of seven (7) years. The project falls under the government’s subsidy program for encouraging local agricultural products and is eligible for a one-time rebate of 25% on any initial equipment installed for the project. The initial equipment (IE) will cost $41,000,000. An additional equipment (AE) costing $3,500,000 will be needed at the end of year 3. At the end of seven (7) years, the original equipment, IE, will have no resale value but the supplementary equipment, AE, can be sold for $50,000. A working capital of $1,350,000 will be needed. The project is forecast to generate sales of agri-products over the seven years as follows: Year 1 70,000 units Year 2 100,000 units Years 3-5 250,000 units Years 6-7 325,000 units A sale price of $150 per unit for the first two years is expected and then decline to $90 per unit thereafter as the newness of the product loses some sheen. The variable expenses will amount to…
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