The air pollution project discussed in the chapter has progressed over the past

ID: 2699781 • Letter: T

Question

The air pollution project discussed in the chapter has

progressed over the past several weeks, and it is now

the end of week 8. Lester Harky would like to know

the value of the work completed, the amount of any

cost overruns or underruns for the project, and the

extent to which the project is ahead of or behind

schedule by developing a table like Table 12.8. The

revised cost figures are shown in the following table:

PERCENT OF ACTUAL

ACTIVITY COMPLETION COST ($)

A 100 20,000

B 100 36,000

C 100 26,000

D 100 44,000

E 50 25,000

F 60 15,000

G 10 5,000

H 10 1,000

Value = 20,000 + 36,000 + 26,000 + 44,000 +0.5*25,000 + 0.6*15,000 +0.1*5,000 + 0.1*1000 = $148,100

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