Travon is a landscape architect who has received a $300,000 budget from the city to build a new park. From experience, Travon knows that the budget is 1/3 for the materials, 1/2 for the labor, and the remainder for the anticipated profit margin. The dimensions for the park are 600×400 square feet and the specifications require 52,500ft2 (square feet) of flower/tree gardens; 15,000ft2 of playground equipment area; 30,000ft2 of walkways; and 112,500ft2 of open green space. Complete parts 1 through 4 below. 1. What is the expected dollar amount for materials, labor, and profit, and what fraction of the cost does profit represent? Solve for the expected dollar amount for materials and labor. $ for materials $ for labor

Travon is a landscape architect who has received a $300,000 budget from the city to build a new park. From experience, Travon knows that the budget is 1/3 for the materials, 1/2 for the labor, and the remainder for the anticipated profit margin. The dimensions for the park are 600×400 square feet and the specifications require 52,500ft2 (square feet) of flower/tree gardens; 15,000ft2 of playground equipment area; 30,000ft2 of walkways; and 112,500ft2 of open green space. Complete parts 1 through 4 below. 1. What is the expected dollar amount for materials, labor, and profit, and what fraction of the cost does profit represent? Solve for the expected dollar amount for materials and labor. $ for materials $ for labor

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter12: Capital Budgeting: Decision Criteria

Section: Chapter Questions

Problem 8P: Edelman Engineering is considering including two pieces of equipment, a truck and an overhead pulley...

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Concept explainers

Production Budget

A budget can be defined as a financial plan designed by an undertaking for a definite period in the future that can contribute towards enhancing the financial success of the business undertaking. It is used to estimate the revenue and expenses. The budget generally takes into account both current and future income and expenses.

Question

Travon is a landscape architect who has received a

$300,000

budget from the city to build a new park. From experience, Travon knows that the budget is

1/3

for the materials,

1/2

for the labor, and the remainder for the anticipated profit margin. The dimensions for the park are

600×400

square feet and the specifications require

52,500ft2

(square feet) of flower/tree gardens;

15,000ft2

of playground equipment area;

30,000ft2

of walkways; and

112,500ft2

of open green space. Complete parts 1 through 4 below.

1. What is the expected dollar amount for materials, labor, and profit, and what fraction of the cost does profit represent?

Solve for the expected dollar amount for materials and labor.

$		for materials
$		for labor

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