The project in Problem 10 is expected to take 9 months to complete. The costs for the project at the end of the second month are shown in Figure 4-16. You have a meeting with project’s owner to discuss the financial status of the project. Using the committed cost worksheet from Problem 10, update the estimated cost at completion and determine if the project is over or under budget. The supervision and temporary utility costs should be prorated over the life of the project. The pouring of the footings, foundations, and floor slab are complete.

Data from in Problem 10

Your company has been hired to act as a construction  manager for the construction of a bookstore for a fixed fee of $32,000. When the design was 90% complete, you prepared a budget for the project, which is shown in Figure 4-13. During the buyout, the subcontracts shown in Figure 4-14 were signed and the purchase orders shown in Figure 4-15 were issued. No additional costs are expected for the contracts in Figure 4-14 and the purchase orders in Figure 4-15. A purchase order has been issued for concrete for $115 per cubic yard. This price is 4% below the costs used in the budget.

In Figure 4-15

Code 05100 05300 06120 07700 08110 08700 10400 10800 Description Structural Steel Joist and Deck Lumber Roof Specialties Metal Doors and Frames Hardware Signage Toilet & Bath Accessories PO Amount 10,250 15,500 875 945 2,725 1,864 486 965