Description
Option #2: Managing the Construction Project Budget
Assume you are managing a construction project with a schedule as shown in the textbook’s Figure 3.5b. A budget of $24M has been assigned to it and you have distributed this budget among the project activities as follows:
| Percent of Budget Allocated (%) | |
|---|---|
| Utilities and Site Work | 0.13 |
| Structure | 0.35 |
| Envelope | 0.15 |
| Finishes | 0.08 |
| Systems | 0.25 |
| Closeout | 0.04 |
Assuming that each project activity will consume it’s budget uniformly throughout its duration, develop a cost flow diagram that shows the project budget expendable (per month) and the cumulative amounts (per month) in the form of a histogram that shows the values over time with monthly time periods.
Assuming that project funds will be allocated per the below schedule, develop a cash flow diagram that shows the total funds received and the cumulative amounts in the form of a histogram that shows the amounts received over time with monthly time periods.
| Amount of funds allocated at the beginning of period | |
|---|---|
| December | $5,420,168 |
| March | $3,551,597 |
| April | $4,361,267 |
| May | $7,759,354 |
| September | $2,907,615 |
Once you have developed the cost and cash flow diagrams, prepare a narrative to describe the function of cost and cash-flow diagrams as well as your findings in developing the cost and cash flow diagrams for the project in a reference. To do so, please describe, at the minimum, the following:
a) How the budget is consumed over time;
b) How the funds will be allocated over time; and,
c) Whether funds are adequate to execute the project per the schedule shown in the textbook’s Figure 3.5b.
Paper Requirements:
- Your paper should be 1-2 pages long, not including the required title page and reference page. Nor does the page requirement include any supplemental pages, should you use them, such as appendices.
- Prepare your work using at least one of this week’s recommended readings and one outside (not a reading from this course) reference. This outside reference should be a peer-reviewed, current scholarly article published in the last five years. The CSU Global Library is a good place to find these resources. Properly organize your writing and include an introduction, headings / subheadings for the body of your work, and a conclusion.
- Format your entire paper according to the CSU Global Writing Center (Links to an external site.).
Get FAST homework help. Place a similar order and get a 15% Discount for your first three orders. We have a team of professional tutors to help you with any assignment regardless of the deadline. Contact us for immediate Homework Help.
